This rule says that if we insure against a certain eventuality we are entitled to compensation only if that eventuality is the immediate (or proximate) cause of the loss. If the immediate cause is some other peril, which has been especially excepted by the insurance policy, then no claim arises. For instance, if I insure my house against fire and a petrol tanker runs into it and cause a blaze, the chain of events to a fire (an insured peril) and I may claim. Suppose the policy excludes fires cause by road accidents-because the house is situated at the bottom of a hill on the way to an oil refinery. The excepted peril is clearly the proximate cause of the loss, fire following naturally as a consequence of the accident, and no claim arises.
I will go into further details on this subject 'proximate cause' in the future posting in this site.
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