Answer: (c)

Explanation:
Statement 1 is correct: Aviation Hull Insurance is a specialized insurance policy that protects the physical structure of the aircraft itself. It covers losses or physical damage occurring to the fuselage (body), engines, standard operating systems, and any permanently attached on-board equipment whether the plane is in flight, taxiing, or parked on the ground.

Statement 2 is correct: The Montreal Convention of 1999 (MC99) established a uniform legal framework for international airline liability. A core pillar of this treaty is a two-tier strict liability system for passenger injury or death. Under the first tier (up to a set limit measured in Special Drawing Rights), the airline is strictly liable-meaning the victim's family or legal nominee is legally entitled to compensation automatically, without any requirement to prove negligence or fault on the part of the airline. India is a signatory and implemented this into domestic law via the Carriage by Air (Amendment) Act.