General Knowledge · Principles of Insurance
In insurance, the principle of 'Proximate Cause' (Causa Proxima) refers to:
- 1Causes arising exclusively from natural disasters
- 2The cause incurring the maximum monetary financial loss
- 3The most dominant, direct, and effective cause of the loss✓
- 4The initial chronological cause leading to damage
Correct answer
The most dominant, direct, and effective cause of the loss
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