What is Insurance?
A contract (Policy) in which an individual or entity receives financial protection or reimbursement against losses from an insurance company. The company pools client's risks to make payments more affordable for the insured.
Why is insurance Important?
Insurance is important because it protects a person or entity from extreme financial loss or responsibility due to an unfortunate emergency, accident or negative unforeseen event. There are many different kinds of Insurance, some of which cover a person and some of which cover businesses and other entities.
Who is Insurer ?
The party to an insurance arrangement who undertakes to indemnity for losses.
Who is insured ?
A person whose interests are protected by an insurance policy.
What are the different types of Insurance available?
There are various types of general insurance policies to cater for individuals, industries, trade and commerce. To name the few are Households Insurance, Fire and Allied Perils Insurance, personal Accident insurance, Burglary and Housebreaking Insurance, marine Cargo/ Transit Insurance, cash in safe Insurance, Cash in transit insurance, Fidelity Guarantee Insurance, Travel Medical Insurance, Medical Insurance, Public Liability Insurance, aviation Insurance and so on.
What is Sum insured ?
Declared value of assets or property.
What is Premium ?
Financial cost of obtaining an insurance cover, paid as a lump sum during the duration of the policy.
What is Policy ?
Written contract or certificate of insurance.
What is Re- Insurance?
It is the practice of insurers transferring portions to other parties by some form of agreement in order to reduce the likelihood of having to pay a large obligation resulting from an Insurance claim. The intent of reinsurance is for an insurance company to reduce the risks associated with underwritten policies by spreading risks across alternative institutions.
Difference between insurance and Re- Insurance?
Insurance is basically covering of risk against adversity. Insurance is where insurance companies cover the risk of the general public through different lines of business and types of products for which they charge a premium amount from the customer for the coverage period.
Re- Insurance is a company that provides insurance for Insurance Company or in other words shares the risk with the insurance company and also shares the premium amount received. So for example customer A has bought a policy with Insurer X who has been Re- Insured by Y. Now when A pays X the premium, X will give a % of the premium to Y. similarly tom if A were to file a Claim with X, X would pay A the sum assured post which Y would pay a% of the sum assured to X.
When does coverage become effective?
As per the insurance Act without the payment of premium the insurance policy will not be valid Therefore after paying premium against the risk and it can be effected policy thereafter. The liability of insurance company does not commence until the proposal has been accepted by the company and premium is paid.
What is the purpose of filling up the proposal form ?
Proposal form is the most important and basic document required for insurance contract between the insured and insurance company (Insurer). which is also a part of the legal contract.
What is a deductible?
A deductible is the amount you’re responsible for in the event of a covered loss. In most covered loss. In most covered loss cases, you are responsible for any amounts up to your deductible level and your insurance would cover anything beyond that up to your coverage limit.
What are duties of insurance policy holder?
The insurance policy holder should check the “Policy Schedule” for the confirmation of insured name, policy period, property/ person/ liability insured, risks covered, premium, special exclusions etc. and “policy” for terms, conditions, exclusions, warranties, limitations etc. The insurance policy holder should also check the premium calculation.
What is Risk ?
The possibility of financial and physical loss.
How do I report a claim?
You can report a claim to our Hunting No. 5111111. You can also visit our claims section for or contact information, or visit one of our branches. We will take your details and try our best to settle the claim as soon as possible.