Which of the following describes the characteristic of an aleatory contract?

An aleatory contract is defined by its reliance on uncertain events or outcomes, making the performance by one party contingent on events that are typically random. In the context of insurance, both the premium paid and the benefit received depend on occurrences like accidents, disasters, or other insured events that are uncertain and unpredictable. This nature of dependence on random events distinguishes aleatory contracts from other types of agreements where performance is more predictable and equal.

In comparison, contracts where both parties provide equal performance do not embody the aleatory aspect, as these rely on mutual contributions rather than uncertain circumstances. Providing insurance coverage for specific risks is a characteristic of insurance contracts in general but does not capture the essence of aleatory contracts specifically. Mandatory mediation clauses relate to dispute resolution and do not pertain to the fundamental nature of the contract's performance based on chance. Thus, performance determined by random events accurately captures the defining feature of an aleatory contract.