Functions of Insurance

7 Main Functions of Insurance

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Meaning of Insurance The term “insurance” can be defined in both financial and legal terms. The financial definition focuses on an arrangement that redistributes the cost of unexpected losses. That is the collection of a small premium payment from all exposed and distributed to those suffering loss. The legal definition focuses on a contractual arrangement … Read more

Insurance: Meaning, Definition, 5 Characteristics, Nature, Functions, Limitations

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What is Insurance? Insurance is a contract whereby one person, called the insurer, undertakes in return for the agreed consideration called premium, to pay to another person called the insured, a sum of money or its equivalent on a specified event. In other words, Insurance may be described as a social device to reduce or … Read more