Insurable Interest and It's Definition Which is Taken From Wikipedia

The beneficiary who would suffer loss if the event insured against occurs. An insurance company will issue a policy by handed an insurable interest.
This is taken from http://en.wikipedia.org that Insurable interest exists when an insured person derives a financial or other kind of benefit from the continuous existence of the insured object. A person has an insurable interest in something when loss-of or damage-to that thing would cause the person to suffer a financial loss or other kind of loss.

For example, if the house you own is damaged by fire, the value of your house has been reduced, and whether you pay to have the house rebuilt or sell it at a reduced price, you have suffered a financial loss resulting from the fire. By contrast, if your neighbor's house, which you do not own, is damaged by fire, you may feel sympathy for your neighbor and you may be emotionally upset, but you have not suffered a financial loss from the fire. You have an insurable interest in your own house, but in this example you do not have an insurable interest in your neighbor's house.

Home Insurance

If you've never owned a home before or are moving into your first apartment, start off on the right foot by purchasing home or renters insurance. Home insurance protects more than four walls and a roof - you're protecting just about everything in it, as well.

Insurance Tips for Homeowners
After unpacking your things and settling into your new home, it's time to think about your needs for homeowners insurance and other insurance.

New Homeowner Insurance Basics
The lowest mortgage rates in more than three decades have fueled America's appetite for home buying and refinancing, driving new home sales to a record level .

Get the Home Insurance Facts
Buying a home is one of the single largest investments that most people ever make. Homeowners insurance is protection for your home.


Source : www.insurance.com