aleatory promise

Definition of "aleatory promise"
  1. An aleatory promise is a pledge to compensate someone, often insured, for a future loss, but this pledge only comes into effect based on the occurrence of an uncertain or unexpected event
How to use "aleatory promise" in a sentence
  1. The agreement included an aleatory promise to cover future losses if the business didn't reach its target revenue.
  2. Insurance policies usually contain an aleatory promise, assuring policyholders that they will be compensated in case of certain unforeseen events.
  3. An aleatory promise is not guaranteed but depends on the occurrence of a specific uncertain event.

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