The rules of law governing the formation of contracts of insurance are the same as those which govern the formation of most other kinds of contract: the ritual matching of offer and acceptance. This is true of most kinds of insurance contract, including those contracted at Lloyd's; however, in the Lloyd's market the ritual takes a form rather different from that described in this chapter. In a simple case the person seeking cover (the ‘applicant’) considers the insurance described in some form of advertisement or brochure (invitations to treat).
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