What is the amount paid upon the death of the insured?

What is the amount paid upon the death of the insured?

• A. Death benefit
• B. Beneficiary
• C. Indemnity
• D. Warranties

Answer: (A)

In life insurance, the amount paid when the insured dies is called the death benefit. This is the money the insurer promises to pay to the named beneficiary and is defined in the policy. It provides financial support after death, helping replace income, cover final expenses, or pay debts. The other terms don’t describe the payment amount: the beneficiary is the recipient of that money, indemnity is a principle about restoring financial position (not the payment itself in life insurance), and warranties are contracts or promises, not the payout amount.

In life insurance, the amount paid when the insured dies is called the death benefit. This is the money the insurer promises to pay to the named beneficiary and is defined in the policy. It provides financial support after death, helping replace income, cover final expenses, or pay debts. The other terms don’t describe the payment amount: the beneficiary is the recipient of that money, indemnity is a principle about restoring financial position (not the payment itself in life insurance), and warranties are contracts or promises, not the payout amount.