WAEC - Insurance (2016 - No. 14)
one of the difference between contract of life assurance and non life insurance is?
non-life requires renewal while life does not
life requires renewal while non-life does not
life is subject to indemnity while non life is not
non-life is subject to compensation while life is not
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.