0
Insurance is the financial instrument invented to protect people from significant financial loss. The basic way insurance works is that the insured person pays a premium to the insurance company in exchange for insurance coverage in the event that something happens. When something does happen that would have otherwise financially ruined the insured, the insurance company pays for it. The insurance company makes money by playing the odds that all the people they will insure will not need insurance all at the same time and that the premiums they pay will outweigh the coverage they will need.
What else can I help you with?
How does insurance reduce the risk of financial loss?
It protects your assets. If you never get in an accident, or hurt anyone else, it INCREASES your financial loss, simply because you paid monthly to protect yourself from something you never did.
What to protect your business from unexpected loss due to hazards?
Insurance is purchased to protect a business from unexpected loss.
What is identity insurance?
It's insurance designed to protect you against loss should someone appropriate your identity and use it to make unauthorized transactions.
Is it safe to disclose which bank you use to someone?
It is generally not safe to disclose which bank you use to someone, as it can make you more vulnerable to fraud or scams. It is important to keep this information private to protect your financial security.
How can insurance protect us against financial loss?
Insurance protects us against financial loss by providing a safety net that covers unexpected events, such as accidents, illnesses, or property damage. By paying regular premiums, policyholders transfer the risk of significant financial burdens to the insurance company, which can pay for repairs, medical expenses, or lost income. This helps individuals and businesses manage risks and recover more quickly from unforeseen circumstances, ultimately promoting financial stability.
How does insurance reduce the risk of financial loss?
It protects your assets. If you never get in an accident, or hurt anyone else, it INCREASES your financial loss, simply because you paid monthly to protect yourself from something you never did.
What does idemnity mean?
Indemnity is protection against a financial loss. An example would be when a person purchases an insurance policy to protect themselves from large financial losses due to sickness, accidents, or loss of material property.
What risk management strategies does progressive insurance company employs to protect against financial loss?
They dont. They have crappy risk department
How does someone with depression compensate?
Person with depression suffers. There is no compensation. There is loss of money, job, studies. Personal, academic, social, financial loss is what the person suffers.
What should you do if someone forges your signature?
If someone forges your signature, you should report it to the authorities and your bank or financial institution immediately.Forgery is a serious crime and should not be ignored. Take steps to protect your identity and financial security.
What is the difference between life insurance and annuities?
Life insurance protects one's beneficiaries against financial loss as a result of the purchaser's dying too soon, while annuities protect purchasers against financial loss as a result of living longer than their funds do.
What it mean to have a disruptive loss to one's life?
A major incident that would disturb your life. - Death of someone close, personal injury, large financial loss etc.
What does it mean to have a disruptive loss to one's life?
A major incident that would disturb your life. - Death of someone close, personal injury, large financial loss etc.
What does to have a disruptive loss to ones life mean?
A major incident that would disturb your life. - Death of someone close, personal injury, large financial loss etc.
What does it mean to indemnify and hold harmless in a legal context?
To indemnify and hold harmless in a legal context means to protect someone from financial loss or legal responsibility for certain actions or situations. It involves one party agreeing to compensate or protect another party from any damages, liabilities, or costs that may arise from a specific situation or agreement.
Difference between assurance and insurance?
Assurance is a feeling you give someone when they are confident in you. Insurance is a financial instrument that protects you if you experience a loss.
What kind of damages will be awarded when there is no actual financial loss?
People can be compensated for emotional distress or other intangible loss, in addition to financial loss, although financial loss is generally the easiest kind to prove. Exactly what will be awarded, one can never tell.
