Insurance has become an integral part of business and human life. "Fear of loss" has hindered business and trade growth. An uncertain business and personal future has always haunted him. Insurance has helped solve many problems in business and personal life.
Benefits of insurance include:
1.Providing Security:
There is always the fear of sudden loss. Fires can break out in factories, storms can break out at sea, and lives can be lost. In all these cases it becomes difficult to bear the loss. Insurance provides compensation for sudden loss . and fire insurance, the loss incurred by the insured is fully compensated and the insured is returned to its original condition.
Similarly, if a family member who brings bread dies prematurely, the family is provided with money to maintain their livelihood. Insurance therefore provides security for both individuals and businessmen. insurance, sickness insurance, accident insurance, health insurance and old age insurance .
2.Risk distribution:
The basic principle of insurance is to spread risk over a large number of people.Many people buy insurance and pay premiums to insurance companies.Each loss is reimbursed from the insurance company's funds.Losses are spread over a large number of policyholders.
Insurance covers individual losses, but it cannot eliminate social losses. If a person's property is lost in a fire, he will be compensated by the insurance company. Property damage remains a social loss .3. Funds collected from:
In lieu of insurance, the insured pays a premium to the insurance company. You receive your premium in regular installments. A huge amount of money is collected as a premium. These funds can be used lucratively for the industrial development of the country. Life insurance is purchased by people of all walks of life. Helps collect savings from many people.
In India, the Life Insurance Corporation of India provides the industry with significant funding for long-term investment. These funds will be used productively to develop natural resources that will accelerate the country's industrial growth. Employment opportunities will also increase due to large investments by insurance companies. As such, insurance has become an important source of capital formation.
4. Encourage savings:
Insurance not only protects against risks, but also provides an investment channel. Life insurance provides an investment vehicle. Insurance acquires the habit of paying insurance premiums and saving money. The insured amount is paid to the insured or the insured's designee. With term insurance, the insured receives a lump sum after the policy expires.
5. Facilitation of international trade:
International trade involves many risks when transporting goods from one country to another. Without insurance, traders always worry about their goods arriving safely. Trading volumes are limited due to the uncertainties and risks involved during transportation. Insurance provides protection against all types of maritime risks. It has helped develop large-scale international trade.
Related article:
Fire insurance: The meaning, procedures, and principles of fire insurance Explain
the role and importance of insurance!
ムラゴン ホーム
このブログへのコメントは muragonにログインするか、
SNSアカウントを使用してください。