Chinese Insurance Contracts: Law and Practice
| Chinese Insurance Contracts: Law and Practice, 2nd edition (c) 2026 |
Page 476
CHAPTER 13
Risk prevention and loss mitigation
13.1 Introduction
In addition to the function of indemnifying the insured for losses caused by an insured event, insurance also plays a positive role in risk prevention and loss mitigation. If positive measures are taken to protect the insured subject matters, risks and losses to them may be avoided or reduced, and both the insured and the insurer can then benefit from those measures.1