Insurance Policy
An insurance policy is literally a standard form of a contract between an insurer and the policyholder. The contract is made by the insurer to pay for any damage incurred or as an assurity for the value that is to be insured by the policyholder. The insured value may differ from user to user.
Insurance policies can be classified as:
- Life insurance
- General insurance
Life Insurance
Life insurance plan is availed by a policyholder to take care of various personal requirements like health and coverage against death or injury at times of any mishap. In India health insurance has been availed by almost all of the literate population. It is one of the fast growing aspect of among rural population. Life insurance can be availed by a person as an individual or as a family. Today all the governmental hospitals and some private hospitals has got the facility to avail health insurance.
General Insurance
This includes the insurance availed over commodities like vehicles, homes, etc. Property insurance,travel and liability insurance are all available to the policyholder. This also covers insurance over companies both small scale and large scale. Vehicle insurance has become a popular aspect as it provides coverage for more than 30% of the total cost incurred during purchase. Almost all the individual houses and plots in India has been insured by the user.
Insurance is a financial security which we purchase to get monetary help for our assets in case of any damage. Insurance has become an integral part of our lives and is sought by majority of the people today. This market as grown so large that even mobiles and laptops are insured today; there are anti-theft policies available for mobiles and laptops.