What must be fulfilled for a policy to remain valid?

For a policy to remain valid, it is essential to fulfill the conditions precedent to the policy. These conditions are specific stipulations outlined in the insurance contract that must be met by the policyholder before the insurance coverage comes into effect or remains in effect. Conditions precedent might include requirements such as timely payment of premiums, notification of claims within a specified period, or adherence to specific underwriting guidelines. Meeting these conditions is crucial; failing to do so can result in a claim being denied or the policy being voided.

While duties of negligence, contractual obligations, and general exclusions may also play significant roles in the functioning of a policy, they do not specifically address the foundational requirements needed for the policy to be valid in the first place. Contractual obligations are generally broader and encompass all duties arising from the contract without solely focusing on the necessary conditions for validity. General exclusions refer to circumstances or events that are specifically not covered by the policy, whereas conditions precedent are instrumental to establishing and maintaining coverage. Therefore, the correct answer highlights the critical nature of conditions precedent in ensuring the ongoing validity of an insurance policy.