Introduction:
Life insurance is a contract between the policyholder and the insurance company, where the insurer promises to pay a sum of money (the death benefit) to the designated beneficiaries upon the death of the insured individual. It provides financial protection and support to the policyholder's family in the event of their untimely demise. Various terms and conditions govern the life insurance contract, ensuring both parties' rights and obligations.

Unilateral Contract:
A unilateral contract is a type of contract where only one party, the insurer, makes a legally binding promise. In a life insurance contract, the insurer promises to pay the death benefit to the beneficiaries upon the insured's death. The policyholder, on the other hand, is not legally obligated to continue paying premiums beyond the initial premium payment.

Conditional Contract:
A conditional contract is a contract that is dependent on certain conditions being met. In the context of life insurance, the policyholder must fulfill specific conditions to maintain the policy's validity. These conditions typically include paying the premiums regularly and providing accurate information during the application process. Failure to meet these conditions may result in the policy being voided or certain exclusions being applied.

Indemnity Contract:
An indemnity contract is a contract where one party agrees to compensate the other party for any losses or damages incurred. In life insurance, the contract is not based on the principle of indemnity. Rather, it is based on the principle of utmost good faith, where the insured is expected to disclose all relevant information to the insurer at the time of application. The insurer, in turn, agrees to pay the death benefit to the beneficiaries upon the insured's death.

Conclusion:
In conclusion, the correct answer is option 'C' - Indemnity contract. While life insurance contracts have elements of unilateral and conditional contracts, they are not based on the principle of indemnity. Instead, they are based on the principle of utmost good faith, where the insured is expected to provide accurate information, and the insurer promises to pay the death benefit upon the insured's death.