Contribution
The contribution condition in insurance terms will be enforced where, at the time a loss is reported, it comes to light that there is more than one insurer or policy covering the same loss, Firstly, something like this should not take place as you are legally not allowed to insure an asset or risk more than once.
This practice will be in contradiction with another insurance rule namely that one cannot be placed in a better position after instituting a claim(s) than you were in before the claim. You therefore cannot insure your car with two different insurers and then claim from both should the car be stolen—even if you have been making premium payments to both.
Should this situation arise from oversight on the part of the insured he will only be able to claim from one of the insurers. The insurers may renegotiate contributions between themselves afterwards. According to the contribution condition each policy provider should only be responsible for a ratable proportion of the loss in the ratio that the insured sum, in their policy issued to the insured, bears to the loss. The principle that is applicable in this case is the same one that applies to the average clause. (See Average Clause.)