Page 2 - MODULE1_Insurance Introduction_CHA
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1. General aspects
The concept of Insurance
What brought insurance into being was popular concern for
future uncertainty? Man wanted to protect his life as well as
hard earned property from uncertainty and this simple
requirement was given a shape with the innovation of insurance!
The only principle was to make good out of any unexpected loss.
Hence, in, simple words the meaning of insurance is to try to
keep a person fearless and unworried about the future
happenings, which in general always tend to remain uncertain.
It absolves the risk of uncertainty to a certain extent and also
ensures peace of mind because insurance facilitates monetary
reimbursement during critical situations and compensate for any
potential future losses.
Ultimately, insurance is a means to ensure security of what a
person thinks is very important to him; it being his life, his car,
his house or his business!
How taking insurance cover helps?
In the present-day affairs, insurance means financial protection
against losses arising out of happenings of an uncertain event. In
order to protect against such losses, one pays a certain amount
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