LML4805 INSURANCE LAW EXAM PREP 2026
ACTUAL QUESTIONS WITH VERIFIED ANSWERS
COMPREHENSIVE REVIEW GUIDE SCENARIOS
AND SOLUTIONS
◉Void contract . Answer: A contract with no legal effect, even when all
of the essential elements for a contract exist
◉Voidable contract . Answer: A contract that may or may not be
enforceable between the parties, and usually means one party did not
meet a legal requirement of the agreement
◉Valid contract . Answer: A contract that is binding and enforceable on
all concerned parties because it contains all essential contract elements
◉Unilateral contract . Answer: A contract in which only one party
makes a promise (to try to get the other party to do something)
◉Executory contract . Answer: A contract in which some of the terms
have not yet been completed
ACTUAL QUESTIONS WITH VERIFIED ANSWERS
COMPREHENSIVE REVIEW GUIDE SCENARIOS
AND SOLUTIONS
◉Void contract . Answer: A contract with no legal effect, even when all
of the essential elements for a contract exist
◉Voidable contract . Answer: A contract that may or may not be
enforceable between the parties, and usually means one party did not
meet a legal requirement of the agreement
◉Valid contract . Answer: A contract that is binding and enforceable on
all concerned parties because it contains all essential contract elements
◉Unilateral contract . Answer: A contract in which only one party
makes a promise (to try to get the other party to do something)
◉Executory contract . Answer: A contract in which some of the terms
have not yet been completed
