INSURANCE LAW — Insurance Contract — Conditions Precedent — Compliance with Policy Conditions

This principle establishes that breach of a condition in an insurance policy gives the aggrieved party the right to treat the contract as repudiated. However, the aggrieved party has the election to affirm the contract despite the breach. The principle applies where policy conditions are breached. The aggrieved party must decide whether to waive the breach or terminate. The principle reflects the doctrine of election in contract law. It applies in insurance contracts where conditions precedent are not complied with. The insurer can elect to affirm or avoid the policy. The principle ensures fairness in insurance relationships.