Which of the Following Is True of Insurable Interest

question 39

Multiple Choice

Which of the following is true of insurable interest?

• A)Sellers can retain the insurable interest to goods as long as they have the title to them.
• B)Buyers cannot place insurance on goods.
• C)Buyers cannot obtain an insurable interest if they might later reject the goods.
• D)Buyers can obtain insurable interest on goods that are not mentioned in the contract.

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Definitions:

Clayton Act

A U.S. antitrust law enacted in 1914 aimed at promoting fair competition and preventing monopolies by prohibiting certain actions that could lead to anti-competitive practices.

Exclusive Dealing

An agreement between a supplier and a retailer where the retailer agrees to only purchase goods from the supplier, excluding competitors.

Vertical Integration

A business strategy where a company expands its operations into different stages of production within its own industry.

Channel Captain

A dominant firm within a distribution channel that exercises authority and control over the activities of other channel members, often setting standards and practices.