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prohibition of voluntary payments provision

A prohibition of voluntary payments provision is a clause found in some liability policies barring coverage in the event that an insured makes a payment to a third party and then seeks reimbursement from the insurer.

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prohibition of voluntary payments provision

A prohibition of voluntary payments provision is a clause found in some liability policies barring coverage in the event that an insured makes a payment to a third party and then seeks reimbursement from the insurer.

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In the standard commercial general liability (CGL) coverage form, such a prohibition is included as one of the insured's "Duties in the Event of Occurrence, Claim, or Suit."