What term describes the obligation imposed on either the insured or insurer in an insurance contract?

The term that describes the obligation imposed on either the insured or insurer in an insurance contract is "condition." Conditions in an insurance policy establish the duties and responsibilities of both parties. These obligations can relate to a variety of aspects, such as the requirement for the insured to pay premiums on time or for the insurer to pay claims once they are notified of a loss. Conditions ensure that both parties understand their expectations under the contract, thus providing clarity and structure to the agreement.

While "requirement," "clause," and "provision" may seem similar, they do not specifically capture the nature of obligations as effectively as "condition." A requirement can imply a broader necessity, a clause is typically a segment of the policy that outlines specific content but may not denote an obligation, and a provision is often a specific stipulation or regulation within a policy. In contrast, a condition directly articulates the contractual obligations, making it the correct term in this context.