When an employer offers to give an employee a wage increase in the amount of the premium on a new life insurance policy, this is called

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When an employer offers to give an employee a wage increase in the amount of the premium on a new life insurance policy, this is called

a. aleatory contract
b. executive bonus
c. key person
d. a fraternal association

Answer: b. executive bonus

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An insured's building has an actual cash value of $200,000, and he has insured the property for $120,000 with an 80% coinsurance clause. A $40,000 loss occurs. How much will the policy pay?

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