Business Studies

Select the option from the choice given below:
The principle of indemnity is not applicable to _____ insurance.


ANSWER

life


SOLUTION
Under life insurance, subject matter of insurance is the life of an individual. The principle of indemnity does not apply to a life insurance as the life of a person cannot be valued in terms of money. For the reason, actual loss cannot be arrived at. The amount of insurance is decided by each individual.
Fire and marine insurance are contracts of indemnity as the loss is measurable.
View Full Answer

Its FREE, you're just one step away


Single Correct Medium Published on 18th 08, 2020
Next Question
Questions 244531
Subjects 8
Chapters 125
Enrolled Students 145
Enroll Now For FREE

Realted Questions

Q1 Single Correct Medium
The share which a director must buy as a condition for this directorship is called _______________.
  • A. Qualification share
  • B. Equity share
  • C. Ordinary share
  • D. none of these

Asked in: Business Studies - Business Services


1 Verified Answer | Published on 18th 08, 2020

View Answer
Q2 TRUE/FALSE Medium
State the following statement is True or False:
The Chairman's special voting right is called the casting voting.
  • A. True
  • B. False

Asked in: Business Studies - Business Services


1 Verified Answer | Published on 18th 08, 2020

View Answer
Q3 Single Correct Medium
The principle of indemnity does not apply to __________.
  • A. Burglary insurance
  • B. Fire Insurance
  • C. Marine Insurance
  • D. Life and Personal Accident insurance

Asked in: Business Studies - Business Services


1 Verified Answer | Published on 18th 08, 2020

View Answer
Q4 Subjective Medium
Write short notes on the following:
Bank Overdraft.

Asked in: Business Studies - Business Services


1 Verified Answer | Published on 18th 08, 2020

View Answer
Q5 Single Correct Medium
The service provided to improve the standard of living of the weaker sections of society are ______________.
  • A. Business services
  • B. Social services
  • C. Personal services
  • D. None of the above

Asked in: Business Studies - Business Services


1 Verified Answer | Published on 18th 08, 2020

View Answer