Insurance Flashcards
1
Q
Insurance
A
A ‘risk transfer, loss-spreading arrangement.
2
Q
What is the purpose of Insurance?
A
To distribute risk through providing a mechanism by which individuals and organisations purchase, by way of a premium, insurance products to mitigate that risk.
Risk is then transferred to the insurer which indemnifies them against future events that may cause a lost.
3
Q
What are some types of Insurance?
A
- Home and contents
- Travel
- Income Protection Insurance
- Funeral
- Consumer Credit
- Life cover
