The term "lessee" in an insurance context typically refers to which party?

In an insurance context, the term "lessee" refers to the individual or entity that borrows property, typically through a lease agreement. This party receives the right to use the asset, such as equipment or property, for a specified period while agreeing to pay rent to the lessor, who is the owner of the asset.

Understanding the role of a lessee is crucial in contexts where insurance is applied to leased assets. For instance, if a lessee is using machinery or vehicles, they may need specific insurance coverage to protect against damage or loss during the lease term. This relationship highlights the importance of insuring the leased property, ensuring that both the lessee and lessor are protected from potential risks associated with the asset.

The other definitions do not align with this role; the provider of insurance refers to insurers or insurance companies, the lender of an asset is called a lessor, and the insurance agent is a professional licensed to sell insurance policies but does not typically hold the role of a lessee.