Vidyalelo
Commerce · Q327

Insurance

Graduate and Post Graduate · Commerce · question 327

Q327

Which of the following statements is true?

A.
Life insurance policies are contracts of indemnity, while general insurance policies are contracts of assurance
B.
Life insurance policies are contracts of assurance, while general insurance policies are contracts of indemnity
Answer
C.
In case of general insurance, the risk event protected against is certain
D.
The certainty of risk event in case of general insurance increases with time

Answer: Option B

Solution

Answer: Option B
Solution:
Life insurance policies are contracts of assurance, while general insurance policies are contracts of indemnity.