What does Contract of Adhesion mean? Read on to discover the definition & meaning of the term Contract of Adhesion - to help you better understand the language used in insurance policies.
Contract of Adhesion
A contract offered intact to one party by another under circumstances requiring the second party to accept or reject the contract in total without having the opportunity to bargain over the wording. Insurance policies are contracts of adhesion and, as such, are construed strictly against the party writing them (i.e., the insurer).
We hope the you have a better understanding of the meaning of Contract of Adhesion.