2. Fire Insurance: Fire Insurance is a contract whereby the insurer, in recognition of the premium paid, promises to make good any damage or loss caused by fire during a specific period up to the amount stated in the policy. In fire Insurance, the insured should have an insurable interest in the basic matter of the insurance, and should be in good faith and strict indemnity. The insurer is liable to compensate only when fire is the proximate cause of damage or loss.
3. Marine Insurance: A marine insurance contract is an agreement whereby the insurer promises to indemnify the insured in the manner and to the extent thereby agreed against marine losses. Ship or hull insurance, Cargo Insurance, and Freight insurance are sub clauses in the Marine Insurance.
4. Motor Vehicle Insurance: This insurance is becoming very popular in which the owner’s liability to compensate people who were killed or insured through negligence of the motorists or drives is passed on to the insurance company.
5. Burglary Insurance: Loss of damages of household goods and properties and personal effects due to theft, larceny, burglary, house-breaking and acts of such nature are covered.
Archive for September, 2008
Various types of insurance exist by virtue of practice of insurance companies and the influence of legal enactments controlling the insurance business. Broadly speaking insurance may be classified as
1. Life insurance: This insurance provides protection to the family at the premature death or gives adequate amount at old age when earning capacities are reduced. This insurance is not only a protection but is a sort of investment because a certain sum is returnable to the insured at the time of death or at the expiry of a certain period.
Life insurance offers different types of policies such as Whole Life Policy, Endowment Life Assurance, Policy, Joint Life Policy, Annuity Policy, Children’s endowment Policy suitable according to the needs of the person.
