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Commerce · Q405

Insurance

Graduate and Post Graduate · Commerce · question 405

Q405

Which among the following can be categorised under contingency products?

A.
Bank deposits
B.
Life insurance
Answer
C.
Shares
D.
Bonds

Answer: Option B

Solution

Answer: Option B
Solution:
Life insurance can be categorised under contingency products. If there is no contingency, no payment is made. In life insurance contract, payment is certain because the death or the expiry of term will certainly occur.