Which of the following is NOT an example of an insurable interest?

An insurable interest refers to a legal or equitable stake in the value of an item or person, meaning that the policyholder will suffer a financial loss if the insured item is damaged or lost. For a policy to be valid, the insured must have a legitimate interest in the subject of insurance.

In the case of a business liability policy for a company you do not own, you do not possess an insurable interest in that company. This means you would not face any financial loss if an incident occurred that prompted the use of that liability policy. Insurable interest requires that the insured party has a vested interest in protecting the insured entity—typically through ownership, a contractual agreement, or a legal duty.

On the other hand, a life insurance policy on oneself, a homeowner's policy on a personally-owned residence, and a renter's insurance policy for a tenant all demonstrate legitimate insurable interests. Each of these scenarios involves a direct connection between the policyholder and the insured property or person, establishing the financial risk and stake that justifies insurance coverage.