Which of the Following Statements About Consideration in an Insurance

question 4

Multiple Choice

Which of the following statements about consideration in an insurance contract is (are) true?
I.The insured's total consideration is submission of a completed application.
II.The insurer's consideration is the promise to do those things specified in the policy.

• A)I only
• B)II only
• C)both I and II
• D)neither I nor II

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Definitions:

Discussion

An exchange of ideas or opinions on a particular issue, especially in a formal or organized setting, aimed at reaching a consensus or deepening understanding.

Hours

Units of time equivalent to 60 minutes, used to measure the duration of events or the length of time dedicated to activities.

Coal

A combustible black or brownish-black sedimentary rock, formed as rock strata called coal seams, used primarily as a fuel.

Starting Material

The raw substances or components that are used as the basis for a chemical reaction or manufacturing process.