Is a Disability Insurance Policy a Contract

question 17

Multiple Choice

Is a disability insurance policy a contract?

• A) Yes.
• B) No, there is no mutual consideration
• C) No, there is no capacity by the insured once the disability results.
• D) No, it is a contract of wager, which is illegal.
• E) Yes, unless the beneficiaries are minors.

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Definitions:

Billing Process

The process of issuing invoices to customers for goods or services, tracking the payment status, and managing receivables.

Defect Rate

The percentage of products or services that fail to meet quality standards out of the total produced or delivered.

Confidence

A person's belief in their own abilities or in the likelihood of a positive outcome.

Billing Process

A systematic procedure that involves issuing invoices to customers for goods or services provided, tracking payments received, and following up on past due payments.