WHAT IS INSURANCE | TYPES OF INSURANCE

What is Insurance?

In our life, Every individual wants to secure from every field of life. Insurance means of the protective covering from financial loss. It is a form of risk management, primarily used to protection against the risk of a possible or hesitant losses. Insurance is known as an insurer, A person or entity who buys insurance is known as an insured or as a policyholder. The insurance group action involves the insured assuming a guaranteed and known - relatively small - loss in the form of payment to the insurer in exchange for the insurer's promise to compensate the insured in the circumstance of a covered loss. The loss may or may not be financial, but it must be reducible to financial costs. Insurance provides certainty. Insurance provides certainty of payment at the uncertainty of loss, Insurance provides protection, Risk-Sharing, Prevention of loss, It Provides Capital, It Improves Efficiency, It helps Economic Progress.

You should have life insurance if:

You have family members who are supported by your income.

You would like to leave your younger children a college fund.

You have special needs children that may need very long-term assistance.

Your spouse would not be able to support themselves financially without your income.

You own a business.

You have a lot of debt.

You don’t have enough savings to cover all of your debts and final expenses.

You would like to leave an inheritance for someone. You can even designate a charity as your beneficiary.

 

You might not need insurance if:

No one but you depends upon your income.

You have no debt.

Your savings are sufficient to cover any taxes or expenses that would be incurred by your passing.

Your spouse could maintain the same lifestyle without your income.

Your children are grown and have no significant need for financial assistance.

Insurance


What are the features of insurance?

Sharing of Risk. Insurance is a device to share the financial losses which might befall an individual or his family on the happening of a specified event, Co-operative Device, Value of Risk, Payment at Contingency, Payment of Fortuitous Losses, Amount of Payment, A large number of Insured Persons.


Types of Insurance are

1. Life Insurance.

2. Liability Insurance.

3. Property insurance.


1. Life Insurance:

Life insurance is a written agreement between you and an insurance company. Essentially, in exchange for your premium payments, the insurance company will pay a lump sum known as a death benefit to your beneficiaries after your death. Your beneficiaries can use the money for secure life. If you're asking yourself whether life insurance is worth it, Yes, life insurance is worth it especially if you have loved ones who rely on you financially. Term life insurance, in particular, provides coverage at an affordable price during the years your financial dependent need it most.


Life Insurance Plans in India:

Plans

Plan Type

Min/Max Entry Age

HDFC Life Sanchay Plus

Savings Plan

5 years/60 years

SBI Shubh Nivesh plan

Savings Plan

18 years/60 years

ICICI iProtect Smart

Term Insurance Plan

18 years/65 years

Max Life Online Term Plan Plus

Investment Plan

18 years/60 years



2. Liability Insurance:

General liability insurance is an essential coverage that many businesses need because it helps to protect them from certain lawsuits. Public liability insurance for individuals is not required by law but you can see that this should be a top priority. Public liability cover is optional but recommend that you consider having it. You may also want to look at getting tools cover to protect your vital equipment from being lost or stolen.


3. Property insurance: 

Property insurance is a term meaning the insurance or coverage of anything whose loss will cause untold damage to the policyholder. For a factory owner, it will be the value of inventory, equipment and raw materials that will be insured. A property insurance policy covers all these risks. Some of the property insurance in united states are Homeowners Insurance, Car Insurance, Condo Insurance, Renters Insurance, PowerSports Insurance and Landlord Insurance.

 The largest P&C insurers in the United States: 

This Top 100 U.S. Property & Casualty Insurance Companies directory is based on research data from rating agency A.M. are, STATE FARM GROUP, BERKSHIRE HATHAWAY INS, PROGRESSIVE INS GROUP, ALLSTATE INS GROUP, LIBERTY MUTUAL INS COS, TRAVELERS GROUP, USAA GROUP, CHUBB INA GROUP, NATIONWIDE GROUP, AMERICAN INTL GROUP (AIG), FARMERS INS GROUP, HARTFORD INS GROUP, AMER FAMILY/MAIN STREET AMERICA GRP, AUTO-OWNERS INS GROUP, FAIRFAX FINANCIAL (USA) GROUP, ERIE INS GROUP, TOKIO MARINE US PC GROUP, CNA INS COS, MUNICH-AMERICAN HLDG CORP COS, W. R. BERKLEY INS GROUP

  

 

 

2 Comments

  1. Is there any possibility to take insurance through Online ? Can you write post for Online insurance.

    ReplyDelete
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