Insurance, as defined in Act No. 2 of 1992, Chapter 1, paragraph 1, related to insurance work, is an agreement between two or more others, the insurer commits itself to insurance, and accepts insurance premiums, to pay the insured for. loss, damage or loss of expected benefits or legal liability of third parties that may be suffered by the insured due to an uncertain event, or payment in case of death or it’s the life of the insurer. The organization that distributes the risk is the “insured” and the organization that accepts the risk is the “insured.” The contract between the two is a legal contract that defines the time and conditions of each insured, and the costs paid by the “insured” and the “insurer” for the risk covered. is “premium”.
How do you understand the meaning of the mask? The general definition of insurance is a risk system in which third parties guarantee partial or full financial compensation for damage / loss caused by events beyond the control or unforeseeable of the customer of insurance products. In the insurance contract, it is stated that the insurer pays for the third party (customer / client) for the loss of a certain amount resulting from the possibility of a specified loss within a certain period of time, the customer paying a fee or money. In other words, insurance is a form of risk management that involves the transfer of risk from one party to another, namely the insurance company.
In the concept of insurance itself, it does not only guarantee health problems, it means that many things can be insured. Starting from legal fees, education, human health and other interests that can be lost, damaged or reduced, in insurance, the three main guiding principles of the risk reduction system of insurance, namely:
- less
Premium is a duty that the insurance customer must pay to the insured party as required by the risk transfer service. In order to get the benefits or benefits of risk transfer by the insured, the responsibility of paying the premium must be paid to the insured or the customer. 2. insurance policies
With the premium paid for the insurance service, the insured has the right to purchase the insurance policy. The definition of an insurance policy is a letter of agreement or agreement given by the insurer to the customer which is the basis for paying the liability to the customer for the losses they have suffered. This policy contains all the provisions that guarantee any loss that is adequately covered by the insurance policy. 3. Complaints
When you suffer because of an event, you can check whether the risk has been covered and mentioned in the policy or not. If this is the case, you can apply for compensation for the losses you have suffered.
Examples of perils in insurance are guaranteed
After explaining the details and contents of the insurance, we will give some examples of the risks that the insurers can handle. The risk of destruction of the vehicle following an accident.
Risk of loss of property following theft. The risk of not being able to continue their education due to the lack of money the parents are missing.
The danger of the fire house due to low electric current. The risk of losing money in case of death.
Risk of damage to homes, vehicles and property due to natural disasters. The risk of disability associated with driving.
However, you have to be careful when you want to file a claim, because there are many requirements that we need to know about and which risks must be met, so that the insurance company can approve the claim that you submit. These are the risks that may be permitted using no money.
The accident will be clean: In the other things, risks make it really unknown. For example, the risk of an accident or the risk of death.
It can be measured in money: This means that the transfer of risk must be measured from a financial point of view, not based on the emotions of the insured. For example, in the case of life insurance, the insurers can only transfer in the form of sum insured, and cannot replace the deceased.
Even: The insured is not required to be considered for transferring the risk of loss that may occur due to unforeseen events. Can be proven: In this case, the insurer needs good proof of the damage you suffered before you will be compensated. For example, when your insured car is lost, you must have a certificate of insurance
Have a loss: And the risk that you insure will affect you. If the risk is only a risk to others, the insured cannot transfer the risk. So, complete coverage details and coverage examples can help you gain knowledge about coverage. Insurance cannot eliminate the risks that may arise in your life.
Conclusion
What Is Insurance? right now you knowing about this. I hope you use insurance for you need, because no one knowing happen for future. Don’t forget to share this article. And i hope you always visit this website. Because i want update article every day.
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