Which term describes a contract between a policyowner and an insurer that specifies payments for losses caused by certain events?

• A. Whole life insurance
• B. Term life insurance
• C. Insurance contract
• D. Insurance policy

Answer: (D)

An insurance policy is the written contract between the policyowner and the insurer that spells out what losses are covered, the events that trigger a payout, the amount of coverage, premiums, and any terms or exclusions. This document binds the insurer to pay for losses that occur within the covered events in exchange for the premium. It’s the standard label for the actual agreement outlining payments and protections. The other options describe the type of life insurance (how the coverage works over time) or use a broader term for the agreement, but they don’t name the document in the same precise way.