The correct answer is: D. Both the statements above are wrong.
A. Every plan of insurance is a combination of two basic plans.
This statement is wrong because there are many different types of insurance plans, and each one has its own unique set of benefits. For example, health insurance plans typically cover medical expenses, while life insurance plans typically pay out a death benefit to the insured’s beneficiaries.
B. The name given to a plan indicates the benefits available under the plan.
This statement is also wrong because the name of an insurance plan does not always accurately reflect the benefits that are included. For example, a plan called “Basic Health Insurance” may not actually cover all of the basic health expenses that an individual might incur.
It is important to read the fine print of any insurance policy before you purchase it to make sure that you understand the benefits that are included.