What is the definition of 'contingent insurance'?

The definition of 'contingent insurance' is accurately captured by the idea that it involves coverage activated under specific conditions. This means that the policy does not provide benefits or coverage universally or at all times; rather, it is predicated on certain triggers or events occurring. For example, a contingent insurance policy might only pay out if a particular event, such as a loss or damage to an asset, occurs.

In contrast, other options describe different forms of insurance or coverage. Continuous coverage is not contingent because it applies universally without the need for specific conditions. Similarly, comprehensive coverage generally aims to cover a wide range of scenarios and risks without requiring particular triggers. Finally, insurance against legal claims does not relate to the 'contingent' aspect since it suggests an indefinite or broad scope rather than a focused condition-based approach to coverage.