When a contract is described as "aleatory", what value relationship does it represent?

A contract characterized as "aleatory" reflects a situation where there is an unequal exchange of value between the parties involved, typically based on uncertain events. In an aleatory contract, one party may receive significantly more value than they have contributed, depending on the occurrence of a specific event. For instance, in insurance contracts, the insured pays premiums (a relatively small amount) while the insurer may have to pay out claims that far exceed the premiums received if a covered event occurs, such as a major loss or catastrophe.

This nature of inequality hinges on chance or risk; the outcome is not certain at the time the contract is made, thus one party bears a higher risk or has the potential for a larger gain depending on if the specified event occurs. This is distinct from contracts that involve equal value exchanges, long-term obligations, or immediate reimbursement, which do not capture the inherent unpredictability and potential imbalance of risk and reward found in aleatory contracts.