Insurance Flashcards
1
Q
Insurance and assurance
A
Insurance: is a contract of utmost faith between an insurance company and the individual( IN case )
Assurance : covers risk that is Certain! Aims to cover long term
2
Q
Types of assurance
A
Life Term Endowment Trauma Disability Retirement
3
Q
Non-compulsory insurable risks
A
Fire Vehicle Home owners Money in transit Fidelity Liability Crop Group life Loss of income
4
Q
Compulsory insurance
A
UIF
COIDA
RAF
5
Q
Advantages of assurance
A
Security of families
Protects creditors
Provides compensation in an evident of an accident taking place
6
Q
Advantages of insurance
A
Insurer is put back in the same financial position as before
Protect business and individual form insurable losses
7
Q
Insurance
A
Is taken out to cover potential losses such as a loss of assets due to theft or damage
