Insurance is a means to secure oneself from financial losses. The person availing the service is called the insured, and the entity that provides the insurance is known as the insurer. The insured has to make periodical payments called premium over a fixed period of time to receive a lump sum amount at the end of the maturity period or when the claim is made. There are different kinds of insurance: Life Insurance, Health Insurance, Auto Insurance, etc. Although, in case of life insurance, the loss is not financial in nature, but the insurance claim received by the beneficiaries, specially if received upon the death of a close one, can be of great financial help if they were dependent on the deceased.
Insurance is a means to secure oneself from financial losses. The person availing the service is called the insured, and the entity that provides the insurance is known as the insurer. The insured has to make periodical payments called premium over a fixed period of time to receive a lump sum amount at the end of the maturity period or when the claim is made. There are different kinds of insurance: Life Insurance, Health Insurance, Auto Insurance, etc. Although, in case of life insurance, the loss is not financial in nature, but the insurance claim received by the beneficiaries, specially if received upon the death of a close one, can be of great financial help if they were dependent on the deceased.