On the insurance law on the principle of compensation

Insurance system as a cornerstone of the theory, the principle of compensation is that the accident occurred so that the insured losses, the insurance must be within the scope of insurance liability by insurers to compensate the losses suffered. Academics on the application of the principle of compensation to a controversy for the sake of logic ZHOU, to apply the principle of compensation contracts suitable compensation. From the functional analysis, the principle of compensation is to contain gambling, and prevent the risk of moral hazard, the prohibition of unjust enrichment and other social effects.

Key words: insurance contracts; compensation; scope of application