one of the difference between contract of life assurance and non life insurance is?
-
A.
non-life requires renewal while life does not -
B.
life requires renewal while non-life does not -
C.
life is subject to indemnity while non life is not -
D.
non-life is subject to compensation while life is not
Correct Answer: Option D
Explanation
Life insurance is a contract between an insurance policy holder and an insurer or assurer, where the insurer promises to pay a designated beneficiary a sum of money in exchange for a premium, upon the death of an insured person.
Non– life insurance refers to the insurance of goods and properties. … Non– life insurance is taken as a means of providing financial protection for building, machinery, equipment, furniture, and vehicle and merchandise items against the risk of fire, earthquake, accident and theft.