What is insurance meaning

1. an arrangement by which a company or the state undertakes to provide a guarantee of compensation for specified loss, damage, illness, or death in return for payment of a specified premium."many new borrowers take out insurance against unemployment or sickness"synonymes : indemnity, indemnification, (financial) protection, security, surety, cover, assurance
2. a thing providing protection against a possible eventuality."jackets were hung on the back of their chairs, insurance against an encounter with air-conditioning"synonymes : protection, defence, safeguard, safety measure, shelter, security, precaution, provision, preventive measure, immunity, guarantee, warranty, backstop

What is the meaning of insurance in simple words?

Insurance is a legal agreement between two parties – the insurer and the insured, also known as insurance coverage or insurance policy. The insurer provides financial coverage for the losses of the insured that s/he may bear under certain circumstances.

What are the 3 types of insurance?

Then we examine in greater detail the three most important types of insurance: property, liability, and life.

What is insurance and its type?

Insurance is a legal agreement between two parties i.e. the insurance company (insurer) and the individual (insured). In this, the insurance company promises to make good the losses of the insured on happening of the insured contingency. The contingency is the event which causes a loss.

What is the insurance answer?

Insurance is a contract between the insurer and the insured, whereby the insurer agrees to compensate the insured against the loss on account of unforeseen future event. It serves as a means of protection from financial loss.