Question 1001 of 303 · California Life-Only Agent Exam
Under California Insurance Code section 22, insurance is best described as which of the following?
Exactly one answer is correct.
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Correct answer to question 1001
- C: A contract in which one party agrees to indemnify another against loss arising from a contingent or unknown event
Explanation
Insurance is a contract of indemnity against loss, damage, or liability from a contingent or unknown event. It is not a savings plan or a government guarantee.
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