New Click here to Enroll for SIDBI MSME Expert Classes by Experts

    Register

    Question

    Which type of insurance is not covered under the

    rule/contract of indemnity?
    A Health insurance Correct Answer Incorrect Answer
    B Travel insurance Correct Answer Incorrect Answer
    C Mobile insurance Correct Answer Incorrect Answer
    D Property insurance Correct Answer Incorrect Answer
    E Life insurance Correct Answer Incorrect Answer

    Solution

    As in the contract of indemnity a legal contract between the parties is made whereby one party commits to indemnify, i.e. to compensate, the loss incurred to the other party, by the conduct of the party, who is making the promise or by the conduct of the third party. So in Life insurance that is not possible as it may be due to an act of God or any natural calamity.

    Practice Next