ASSERTION: Life insurance is also called ‘life assurance’. REASONING: Life insurance is not a contract of indemnity because sum assured is always payable and only the time of payment is uncertain.

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A is true, and R is the correct explanation for A. Explanation: A is true, and R correctly explains it because life insurance is called life assurance because the sum assured is payable either on death or on policy maturity (only the timing is uncertain), so it is not a contract of indemnity.

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