What term describes the transfer of legal rights or interest in an insurance policy to another party?

The term that describes the transfer of legal rights or interest in an insurance policy to another party is "Assignment." In the context of insurance, assignment involves an insured party transferring their rights and responsibilities under the policy to another individual or entity. This process is typically governed by the terms of the insurance contract, which may contain specific provisions regarding the assignment of rights.

Assignment is important because it allows for flexibility in managing insurance interests, particularly in situations such as selling a property or transferring benefits after an insurance loss. The new party receiving the assignment may then have the authority to make claims, access policy benefits, or handle other aspects of the insurance policy.

In contrast, "Transfer" is a broader term that could refer to many types of transfers and does not specifically capture the legal nuances of assignments in the context of insurance. "Endorsement" refers to a modification or addition to an insurance policy, which changes its terms but does not involve transferring rights. "Succession" typically relates to the transfer of rights or assets upon the death of an individual and does not directly apply to the mechanism of transferring rights within insurance policies. Therefore, the most precise and fitting term is Assignment.