Learn more about insurance policy
What is insurance?
Insurance is a means of protection from financial loss. It is a form of risk management, primarily used to hedge against the risk of a contingent or uncertain loss. An entity whichprovides insurance is known as an insurer.
HOW DOES AN INSURANCE WORK.
Insurance works by pooling together the resources of a large number of people who have similar risks to make sure that the few people who experience loss are protected. ... When you pay an insurance premium, you will have access to the pool of money only if you claim a loss that is covered by your insurance policy.
We have different types of insurance
1. Motor insurance
2. Health insurance
3. Home insurance
4. Travel insurance
5. Life insurance
Insurance policy
is the contract that you take out with an insurer to protect you against specific risks under agreed terms.
List of five Insurance policy everyone should have
1) Long term disability insurance
2) Life insurance
3) Health insurance
4) Automobile insurance
5) Homeowner's insurance
Why do you need to have an insurance
~ Cover against Uncertainties. It is one of the most prominent and crucial benefits of
insurance. ...
~ Cash Flow Management. The uncertainty of paying for the losses incurred out of pocket has a significant impact on cash flow management. ...
~ Investment Opportunities.
The following are the benefits of having life insurance
Return on investment
Death benefits
Loanbenefits
Riders
Life stage planning
Assured income benefits