What Is Insurance

It is a form of risk management primarily used to hedge against the risk of a contingent or uncertain loss. The insurance company insurer and the individual insured.

Insurance

Insurance refers to a contractual arrangement in which one party ie.

What is insurance. An agreement in which a person makes regular payments to a company and the company promises to pay money if the person is injured or dies or to pay money equal to the value of something such as a house or car if it is damaged lost or stolen. English language learners definition of insurance. In this the insurance company promises to make good the losses of the insured on happening of the insured contingency.

Insurance is a contract represented by a policy in which an individual or entity receives financial protection or reimbursement against losses from an insurance company. Insurance is a means of protection from financial loss. An insurance premium is the amount of money an individual or business must pay for an insurance policy.

An entity which provides insurance is known as an insurer insurance company insurance carrier or underwritera person or entity who buys insurance is known as an insured or as a policyholder. Insurance company or the insurer agrees to compensate the loss or damage sustained by another party ie. The insured by paying a definite amount in exchange for an adequate consideration called as premium.

The contingency is the event which causes a loss. Insurance is a legal agreement between two parties ie. Insurance premiums are paid for policies that cover healthcare auto home and life.

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