Asked by Kaylee Dalena on Jun 07, 2024
Verified
How does an insurance company fully perform on an insurance contract?
A) Pay out the amount specified in the contract when an event occurs
B) Accept the insured premium payment
C) Notify the State of the contract
D) File the insurance contract with the court
Pay Out
The process of disbursing or distributing money from a fund or account, commonly related to dividends by corporations, insurance claims, or winnings.
Insured Premium
The amount paid periodically to an insurance company for coverage, which guarantees compensation for specific potential losses.
Event Occurs
A moment or situation that takes place, typically triggering a specific reaction or process in a legal, contractual, or social context.
- Identify the lawful legitimacy of insurance agreements and the criteria needed for their establishment and execution, encompassing the elements of offer, acceptance, and consideration.
Verified Answer
KA
Kaycee AlanisJun 14, 2024
Final Answer :
A
Explanation :
An insurance company fully performs on its contract by paying out the amount specified in the contract when an event occurs.
Learning Objectives
- Identify the lawful legitimacy of insurance agreements and the criteria needed for their establishment and execution, encompassing the elements of offer, acceptance, and consideration.