Wager Policy

In insurance law. A policy without any real interest to support it; a policy in which the insured has no interest, being in fact nothing more than a wager or bet between the parties, whether such a voyage would be performed, or such a ship arrive safe. 3 Kent, Comm. 277, 278. A mere hope or expectation, without some interest in the subject matter, is a wager policy. Id. 275. Mr. Amould defines a wager policy to be "one in which the parties, by express terms, disclaim, on the face of it, the intention of making a contract of indemnity." 1 Arnould, Ins. 276 (281, Perkins Ed.) Policies of this kind are now generally held to be illegal. Id. 285 (289); 1 Duer, Ins. 93-95, 154, 155.

One made when the Insured has no insurable interest. See Insurable Interest; Policy.

An insurance upon a subj'ect-matter in which the party assured has no real, valuable, or insurable interest. A mere wager policy is that in which the party assured has no interest in the thing assured, and could sustain no possible loss by the event insured against, if he had not made such wager. Sawyer v. Insurance Co., 37 Wis. 539; Embler v. Insurance Co., 8 App. Div. 186, 40 N. Y. Supp. 450; Amory v. Gilman, 2 Mass. 1; Gambs v. Insurance Co., 50 Mo. 47.

Defined under Policy of Insurance in Black's Law Dictionary.

A policy of assurance or party having no insurable interest. expressed in the deed et propositum purpose distinguish [the reputatur pro facto: Voluntas testamortem: the will of the voluntary conveyance;

contracts, is one made when the insured has no insurable interest. It has nothing in common with insurance but the name and form. It is usually in such terms as to preclude the necessity of inquiring into the interest of of the insured; as, ‘interest or no interest,” or, ‘* without further proof of interest than the policy.” Such contracts being against the policy of the law are void. 1 Marsh. Ins. 121; Park on Ins. Ind. h. t. Wesk. Ins. h. t.