A. no legal liability obligation B. legal liability obligation C. need to refund a premium D. delay in payment of compensation
Correct Answer: A
Explanation
ex gratia payment. A sum of money paid when there was no obligation or liability to pay it. For example, a lump sum payment over and above the pension benefits of a retiring employee. In insurance claims, it may take the form of payment for which the insurer did not appear to be liable.