In Auto insurance, insurable interest MUST exist at which of the following times?

In auto insurance, insurable interest must exist at the time of loss because this is when the policyholder is claiming a financial interest in the vehicle that is covered by the insurance policy. Insurable interest is a fundamental concept in insurance that ensures that the policy owner has a legitimate stake in the insured item or person, which helps prevent insurance fraud.

When a loss occurs, the insurance company needs to confirm that the policyholder would suffer financially from the loss of the vehicle, thus justifying the claim being made. This requirement protects the insurer from paying claims on behalf of individuals who have no actual financial stake in the assets insured.

The other times listed do not require the same level of insurable interest. For example, having insurable interest at the time a quote is requested or at each renewal date may be important for underwriting and maintaining coverage, but the critical moment for validating a claim is when the loss occurs. Thus, the emphasis on the timing of the insurable interest at the moment of loss underscores its significance in the claims process.