Insurance refers to the protection from financial losses, arising due to some uncertain event. It involves at least two parties: The first party is the one who is protected against the risk of loss, and the second party is the one who undertakes to protect the other party from the risk arising due to an uncertain event.
In other words, insurance is a form of risk management in which the potential risk is transferred from the insured to the insurer, on the payment of a nominal premium by the insured. For example, the insurer and the insured sign a legal contract for the insurance policy in which it states everything in detail about the conditions and circumstances under which the insurance firm will pay out the insurance amount to the nominee or to the insured person.
There are various types of insurance products and each has its own benefits. The various types of insurance you can purchase are General insurance, Health insurance, Life insurance, Marine Insurance, Rural Insurance, and Travel Insurance.