Insurance is a vast and complex industry that provides financial protection and risk management to individuals, businesses, and organizations. It involves the transfer of risk from an individual or entity to an insurance company in exchange for regular premium payments. Here is a description of insurance words to help you understand some key concepts and terms associated with the insurance industry:
Insurance: Insurance refers to a contract between an individual or an entity (the insured) and an insurance company (the insurer), where the insurer agrees to provide financial compensation or benefits for specified risks, damages, losses, or liabilities in exchange for premium payments.
Policy: A policy is a legal document that outlines the terms and conditions of an insurance contract. It specifies the coverage provided, the premium amount, the duration of coverage, and other important details.
Premium: The premium is the amount of money an insured person or entity pays to the insurance company in exchange for insurance coverage. Premiums can be paid annually, semi-annually, quarterly, or monthly, depending on the terms of the policy.
Insured: The insured is the person, business, or organization that purchases an insurance policy and is protected against specified risks or losses.
Insurer: The insurer, also known as the insurance company or underwriter, is the entity that provides insurance coverage and assumes the risks specified in the policy. It collects premiums and pays out claims when necessary.
Coverage: Coverage refers to the extent of protection provided by an insurance policy. It specifies the risks, events, or circumstances for which the insured will be compensated.
Deductible: A deductible is the portion of a claim that the insured must pay out of pocket before the insurance coverage comes into effect. It is a predetermined amount set by the insurance policy.
Claim: A claim is a formal request made by the insured to the insurance company to seek compensation or reimbursement for a loss, damage, or liability covered by the insurance policy.
Underwriting: Underwriting is the process through which an insurance company assesses the risks associated with insuring an individual, business, or organization. It involves evaluating factors such as the applicant’s health, age, occupation, and other relevant information to determine the insurability and premium rates.
Policyholder: The policyholder is the person or entity that owns the insurance policy. They are responsible for paying the premiums and are entitled to the benefits and coverage provided by the policy.
Risk: Risk refers to the potential for loss or damage that an insured person or entity faces. Insurance helps mitigate risks by providing financial protection against unforeseen events or liabilities.
Liability: Liability refers to legal responsibility for one’s actions or omissions that result in harm or damage to others. Liability insurance provides coverage for legal claims and expenses in such cases.
Life Insurance: Life insurance is a type of insurance that provides a death benefit to the beneficiaries of the insured person upon their death. It helps protect the financial well-being of loved ones by providing a payout to cover expenses or replace lost income.
Health Insurance: Health insurance is a type of insurance that covers medical expenses incurred by the insured. It helps individuals and families afford healthcare services and can provide coverage for doctor visits, hospital stays, prescription medications, and more.
Auto Insurance: Auto insurance is a type of insurance that provides coverage for vehicles against damage, theft, or accidents. It can also provide liability coverage for injuries or damages caused to others in an automobile accident.
These are just a few of the many terms and concepts related to insurance. The insurance industry encompasses various types of coverage, including property insurance, business insurance, disability insurance, and more, each with its own specific terminolo
Mainly in my channel (keshan Hareshu) we are talk about Colombo share market. Colombo share market also called CSE. That mean Colombo stock exchange.
So how to join Colombo stock market?
How to invest First rupee in Share market?
How to get Profit from buying shares?
Which one is better ? Capital Gain or Dividends?
I know u have lot of questions about Share market..
But don’t worry i can teach step by step about Colombo share market in Sinhala.
If you want to learn About Colombo stock Exchange A-z
you can use below play list
https://www.youtube.com/playlist?list=PLQLNYUyXg7IhvphGOm_OW6LNoawjsLtjS