Types of Insurance

In Insurance there are basically two types of insurance which any company can offer to a person, they can be classified as follows –

1. Life Insurance – It refers to the insurance of life of the person buying the policy and covers the risks which are related to the death of the person, hence in case of death of the person who has bought the life insurance policy insurance company will pay the amount of insurance to the family of that person.

2. General Insurance – It refers to all those kinds of contracts other than life insurance. There is however further classification of general insurance based on the risk against which the general insurance is taken. So for example against the risk of fire there can be fire insurance, or against the risk of water there is marine insurance which is taken by ships, or against earthquake, theft, even health insurance comes under the category of general insurance and not life insurance etc….. So there can be insurance against any risk provided it is predictable and quantifiable

0 comments… add one

Leave a Comment

Related pages

dvr abbreviation meaningunqualified audit report exampleadvantages of decentralizationunearned fees adjusting entrymeaning of cagrfull form nasdaqwhat is skimming pricing in marketingnon diversifiable risk examplediscounting bill of exchangesocial media merits and demeritshow to find errors in trial balancedefine market skimmingmerits and demerits of internetexamples of process costingfeatures of monopolistic competition pptconglomerate merger examplewhat is barter system with examplefactoring accounts receivable definitionfifo disadvantagesdifferent types of chequesdisadvantages of mixed economyexample of the law of diminishing returnsinelastic goods exampleswhat is absolute advantage in economicsadvantages and disadvantages of pricing strategieswhat is an explicit costfeatures of capitalist economydifference between monopoly and oligopolysocialism disadvantagesa horizontal mergerunitary elastic exampleloan tenure meaningeffects of advertising in monopolistic competition3 golden rules of accountancyexamples of conglomerate mergersaccounting entries for prepaid expensesskimming strategieshow to record accrued revenuepaid salaries to employees journal entryauthorized vs issued sharesdifference between accounts payable and accounts receivableadvantages of ppfwhat is vertical analysis of financial statementsipo price of moildifference between bills receivable and accounts receivablewhat are the differences between horizontal analysis and vertical analysisretail banking vs wholesale bankingdisadvantages of merger and acquisitionassumption of diminishing marginal utilityfounder of icici bankmarketing skimmingdifference between fund flow and cash flow statementadvantages of retailingdisadvantages of paybackelastic goods examplesadvantages and disadvantages of global tradeadvantages and disadvantages of direct investmentmarginal costing definition accountingexplain capital rationingpaid salaries to employees journal entryadvantages of a mixed economic systemlimitation of payback perioddisadvantages capitalismventure capitalist advantagescorruption advantages and disadvantagesdisadvantages of competitive pricingdifference between capitalist and socialistnonsystematic risksemi durable consumer goodsdefinition consigneedisadvantages of payback perioddisadvantages of transfer pricingtraditional economy country examplesexamples of substitute goods and complementary goods