Insurance
is a contract between two parties whereby one party called insurer undertakes
in exchange for a fixed sum of money called premium, to pay the other
party called insured a fixed amount of money on the happening of a certain
event.
Insurance
provides protection against financial loss arising on the happening
of an unexpected event. Insurance companies collect premiums to provide
for this protection. Each loss is paid out of the premiums, collected
from the insuring public.The Insurance Companies act as trustee to the
amount collected.
In India,
the Non-Life insurance schemes or General insurance schemes like Householders
Insurance, Shopkeepers Insurance, Fire Insurance, Burglary Insurance,
etc.are offered by the susidiary companies of the General Insurance
Corporation of India namely - Oriental Insurance Co., United India Insurance
Co., New India Assurance Co., National Insurance Co.
Insurance
can be obtained by approaching the Insurance Companies directly. It
can also be obtained through Insurance agents of the concerned companies
and through intermediaries. The insurance procedure involves the proposer
to complete a proposal form giving full details.
