There are 4 basic parts necessary to make a contract enforceable.
1. Competent parties
The parties to the agreement have to be of sound mind and legal age.
2. Legal in purpose
Speaks for itself. The courts won’t enforce agreements which are not legal.
3. Offer and Acceptance
An offer with necessary terms was made and a party accepted that offer.
This usually applies to something of value exchanged between the parties. In an insurance agreement, consideration would include premium payments and a promise to abide by the policy conditions.
If you have any questions, feel free to contact Alexander Perchekly