WAEC Commerce 2006 Theory question 103

(a) Non-indemnity insurance is insurance where the loss cannot be measured in money, such as life or personal accident, so an agreed sum is paid rather than restoring an actual loss.
(b) Any three, explained: whole life assurance – pays the sum assured only on death, whenever it occurs; endowment policy – pays on a fixed date or on earlier death; term assurance – pays only if death occurs within a stated period; group life – covers a group of employees under one policy.
(c) Surrender value is the amount the insurer pays the assured if he discontinues (cashes in) a life policy before it matures.

Life assurance is the main example of non-indemnity insurance.