What is a Condition Subsequent to Insurance Coverage?

J.P. Gonzalez-Sirgo
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Founder of J.P. Gonzalez-Sirgo, P.A.

The broad definition provided in the Restatement of Contracts Law can help you understand this concept in the context of insurance by giving you a simpler explanation of this legal concept. A condition subsequent is a contractual condition which, if performed or violated, may defeat the contract or no longer bound a party to the terms of the contract. This principle is similarly applied when discussing insurance contracts but is tailored more towards insurance by using terminology and customs typical to the industry.

While condition precedents are requirements that must be met before the occurrence of loss to not forfeit your claim, conditions subsequent are actions that must be taken after the loss or must occur in order to recover. Examples of this are mitigation of damages or providing proof of your loss.  This can range from notice within a certain time period after the damages have been incurred or taking proper steps to not let the costs of damage rack up by failing to take the proper steps of mitigation required by your policy. Sometimes this can be a required occurrence of an event in order to recover. Regardless of why it may be, it ultimately can be found within the provisions of your policy.

Failure to meet the required condition may be used as proof that the insurance company no longer is bound by the original contract due to non-compliance of the insured. However, if these conditions are set forth in your policy using ambiguous language it is typical that the Court will read the ambiguity in favor of the insured because of the likely use of such language to confuse lay individuals. This means that failure to meet a condition subsequent does not automatically mean that you will be barred from recovering from your claim and may be disputed by an experienced insurance claims attorney if proper justification prevented the occurrence of a required subsequent condition or it was not clearly set forth in your contractual language. 

You can reach Miami Insurance Claims Lawyer J.P. Gonzalez-Sirgo by dialing his direct number at (786) 272-5841, calling the main office at (305) 461-1095, or Toll Free at 1 (866) 71-CLAIM or email Attorney Gonzalez-Sirgo directly at[email protected].

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