A loss which is a direct consequence of a particular peril. Fire damage to a refrigerator would be a direct loss. Spoiling of food in the refrigerator as a result of the fire damage would be an indirect loss.
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A circumstance is material if it would affect the decision of the Insurer to accept the risk, or in the rating of the premium. Non-disclosure of a material circumstance entitles the Insurer to avoid the insurance contract.