Answered

Which of the following is NOT an example of insurable interest?
An airline insuring the lives of its passengers
A corporation insuring the life of a key executive
A person insuring his/her own life
A husband insuring the life of his spouse

Verified Answer :

GinnyAnswer

Final answer:

Insurable interest is essential for a valid insurance contract; an airline insuring the lives of its passengers does not demonstrate insurable interest.


Explanation:

Insurable interest refers to having a financial stake in the continued existence of the insured person or property. In the context of insurance, it is necessary for a valid insurance contract to exist. An airline insuring the lives of its passengers does not have insurable interest as the passengers are not directly tied to the airline's financial well-being.


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