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

    Register

    Question

    Losses other than property damage that occur as a result

    of physical loss to a business for example, the cost of maintaining key employees to help reorganize after a fire is called?
    A Conditional Contract Correct Answer Incorrect Answer
    B Conditional Receipt Correct Answer Incorrect Answer
    C Conditional Renewable Correct Answer Incorrect Answer
    D Consequential loss Correct Answer Incorrect Answer
    E None of these Correct Answer Incorrect Answer

    Solution

    The conditionally renewable provision that allows an insurance company to cancel or not renew a policy benefits the insurer, not the policyholder. ... The insurer may increase the insurance premium on the policy if it decides to let the policyholder renew for another period.

    Practice Next