Non-indemnity insurance policies are referred to as

Non-indemnity insurance policies are referred to as benefit policies. Indemnity insurance policies are designed to compensate policyholders for losses they have suffered, typically by reimbursing them for the cost of repairs or replacements. Non-indemnity insurance policies, on the other hand, provide policyholders with a specific benefit, such as a fixed amount of money, regardless of their actual losses. For example, a health insurance policy is a type of benefit policy that provides policyholders with a set amount of coverage for medical expenses, regardless of the actual cost of those expenses. Similarly, a life insurance policy provides a death benefit to the policyholder's beneficiaries, regardless of the actual expenses incurred as a result of the policyholder's death.