GENERAL KNOWLEDGE

Detailed explanation-1: -AFFIRMATIVE WARRANTY: An agreement between an insurance company and an agent, granting the agent authority to write insurance from that company. It specifies the duties, rights, and obligations of both parties.

Detailed explanation-2: -When a principal grants an agent express authority to complete a task, they also grant that agent authority to take any steps reasonably necessary for the completion of that task. For example, if a principal asks an agent to take his car to the mechanic, the agent has the implied authority to drive that car.

Detailed explanation-3: -Express authority is the authority which the principal has expressly given to the agent whether orally or in writing. Implied authority (sometimes described as usual authority) is the authority of an agent to do acts which are reasonably incidental to and necessary for the effective performance of his duties.