What characterizes a reimbursement contract in insurance?

A reimbursement contract in insurance is characterized by its payment structure, where the insurer compensates the insured based on the actual loss incurred. This means that the policyholder must provide evidence of the expenses or losses they have faced, and the insurer will reimburse those costs up to the agreed limit specified in the policy.

This approach is common in many types of insurance, particularly health insurance, where the insured may need to submit bills or receipts to demonstrate the medical expenses they have covered. The focus here is on the actual financial impact on the insured rather than a predetermined sum, which can provide a more accurate reflection of the losses faced. This characteristic allows for flexibility and ensures that insured individuals receive compensation proportional to their true expenses.

The other options present payment structures that do not align with the nature of reimbursement contracts. For instance, fixed-sum payments regardless of the loss or immediate cash benefits do not require the insured to demonstrate actual losses incurred. These are separate forms of insurance policy arrangements that are based on different principles.