Life insurance is a contract of?

A. indemnity
B. subrogation
C. benefit
D. contribution

Correct Answer: Option C

C. benefit

Explanation

A life insurance policy is a contract with an insurance company. In exchange for premium payments, the insurance company provides a lump-sum payment, known as a death benefit, to beneficiaries upon the insured’s death. Typically, life insurance is chosen based on the needs and goals of the owner. is a contract of benefit