Final answer:
The two parties involved in the contract of adhesion for insurance are the insurance company (insurer) and the individual or organization purchasing the insurance (insured).
Step-by-step explanation:
In the contract of adhesion for insurance, there are two parties involved: the insurance company (insurer) and the individual or organization purchasing the insurance (insured).
The insurance company provides coverage against specific risks in exchange for premium payments from the insured. The terms of the contract are typically drafted by the insurance company and presented to the insured on a take-it-or-leave-it basis. This creates a situation where the insured has limited negotiating power and must accept the terms as offered.
For example, when someone buys car insurance, they enter into a contract of adhesion with the insurance company. The insurance company sets the terms and conditions, such as coverage limits and deductibles, and the insured must agree to these terms in order to be insured.