What is a characteristic of a policy of adhesion?

A policy of adhesion is characterized by being offered on a "take it or leave it" basis. This means that the insurer sets the terms and conditions of the policy, and the insured has limited ability to negotiate or modify those terms. In essence, the insured must accept the policy as it is presented, making it a standard form contract that does not allow for alterations by the insured.

This characteristic is important in understanding the nature of such policies because it places the responsibility on the insurer to make sure that the terms are clear and not ambiguous. Since the insured cannot negotiate, any unclear or ambiguous terms are typically interpreted in favor of the insured in legal contexts. This principle protects consumers in situations where they may not have the same level of bargaining power as the insurance company.