Which of the following best defines a "non-renewable" insurance policy?

A non-renewable insurance policy is characterized by its lack of renewal options after the initial term expires. This means that once the policy reaches its expiration date, it cannot be extended or renewed for another term. The insured must seek a new policy if they wish to maintain coverage beyond the initial period.

This distinction is crucial because it affects the insured's planning and risk management strategies. Unlike renewable policies, where coverage continues based on the insurer's discretion or the insured’s needs, non-renewable policies conclude definitively at the end of their term, requiring the policyholder to reassess their insurance needs upon expiration. This can lead to gaps in coverage if the policyholder does not take appropriate action to secure new insurance.

The other options imply forms of renewal or continuation which do not align with the definition of non-renewable policies. For example, options suggesting automatic renewal or renewal at discretion contradict the fundamental concept of a non-renewable policy.