aleatory contract
noun[C]
ukusINSURANCE,FINANCE,LAW
anagreementthat isconnectedwith aneventthat is not under someone'scontrol, that may or may nothappen, and of which theresultisuncertain. Mostinsuranceagreementsandderivatives(=financialproductsbasedon thevalueof anotherasset)are aleatorycontracts:
The mostcommontypeof aleatorycontractis aninsurancepolicy, in which aninsurancecompanymust makepaymentonly after afortuitousevent, such as afire,occurs.