In what instance should Nathan's insurer settle his loss?

The most appropriate instance for Nathan's insurer to settle his loss is according to the policy provisions. Insurance policies outline specific terms, conditions, and coverage details that dictate how claims should be handled and settled. These provisions ensure that both the insurer and the insured understand their rights and responsibilities. By adhering to the policy provisions, the insurer can provide a settlement that aligns with the agreed coverage and limits stipulated in the contract.

Reliance on advertised provisions can often lead to misunderstandings, as promotional materials may not accurately reflect the detailed legal language or exclusions found in the policy documents. An adjuster's recommendation, while valuable, is not a sole determining factor in settlement; the decision must still conform to the policy's terms. Additionally, requiring additional information for settlement can delay the process unnecessarily and is not a standard practice unless specific information is needed to assess the claim accurately. Therefore, settling according to the policy provisions ensures compliance with the contractual agreement between Nathan and the insurer.