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Question

Fire insurance contract includes the element of _____________.

A
Protection
B
Investment
C
Profit
D
Income
Solution
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Correct option is A. Protection
Fire insurance is a contract in which the insurer, in return for a consideration (premium), agrees to indemnify the insured for the financial loss which the latter may suffer due to damage to the property insured by fire during a specific period and up to a specific amount.

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