Heavy rain causes a drain to overflow into the basement storeroom of a nearby grocery shop. The perishable goods in the storeroom, which were NOT raised off the floor, have been written off. What is the proximate cause of the loss?

The correct answer highlights that the heavy rain serves as the proximate cause of the loss experienced by the grocery store. In insurance terminology, proximate cause refers to the primary event or factor that sets off a chain of events leading to a loss. In this scenario, the heavy rain is the event that initiated the overflow of the drain, resulting in water entering the basement storeroom where the perishable goods were stored.

This link is critical because it demonstrates that the heavy rain was the primary force that created the condition leading to the loss. Without the heavy rain, there would not have been an overflow, and subsequently, no loss of the perishable goods would have occurred. Understanding this causal relationship is essential in assessing liability and claims in insurance scenarios, as it distinguishes between direct causes and contributing factors. The other factors, while relevant to the overall situation, do not serve as the primary cause of the loss of inventory.