Explanation : Government debt (also known as public debt. national debt) is the debt owed by a central government. Government debt is one method of financing government operations. but it is not the only method. Governments can also create money to monetize their debts. thereby removing the need to pay interest. But this practice simply reduces government interest costs rather than truly canceling government debt. Governments usually borrow by issuing securities, government bonds and bills. Less creditworthy countries sometimes borrow directly from a supranational organization (e.g. the World Bank) or international financial institutions. Life insurance is a contract that pledges payment of an amount to the person assured (or his nominee) on the happening of the event insured against. ....Read more