All of the following are elements of a valid contract, except

A. Offer and acceptance

B. Capacity to pay premiums

C. Consideration

D. Capacity of the parties

Answer: Option B

Solution(By Examveda Team)

All of the following are elements of a valid contract, except Capacity to pay premiums. It is calculated as the total value of all claims paid by the company divided by the total amount of premium collected in a financial year.