What is insurance
What is insurance
Insurance is a risk management technique. Insurance transfers large uncertain risk to a pool by choosing to be a certain price call premium, in the insurance company does insurance policy and offers insurance coverage. Insurance by in short the policyholder the person or entity binding shops policy premium payable to cover a rest then the sum assured among the factor the amount of money. Policyholders get in case the grid is the sum assured. Where is this covered by insurance company took a loss due to fire flood untimely death disability insurance protects. The financial interest of the individual in various acid All enjoyed banking awareness concepts in detail.
What is general insurance :
The general insurance and history of life insurance is the protection from financial loss or you can say it is the unexpected eventuality. If someone purchases a new car after some time while traveling on the road it met with an accident and unexpected loss occurred in a shop some that occurred and some fire occurred in some office and a family the earning member of the family dies suddenly what will happen to the family so to take care of the risks associated with the unexpected events. Very important risks associated with unexpected events that are set to protect from financial loss and to act as a financial safeguard to the family is something happened. This type of situation insurance is used or insurance is useful so if someone asks insurance protection from financial loss. The forest management or to take care of unexpected event quality and I would like to tell you.
This is the part of the broadly banking sector you may ask what is the banking sector? The banking sector is the banking financial services and Insurance sector. I would like to tell you two important points as insurance is concerned first and insurance is the subject matter of solicitation. It is the subject matter of solicitation what is exactly the meaning of its insurance is not for sale. It is to be promoted to why because if I want to purchase this product. I have so many alternatives and by paying money. I will get this material immediately if I want to purchase this product. I mean to know about the alternative and after knowing the alternative. I will purchase this product so this is the purchasing of the product. But insurance is not the purchasing of the product. Insurance is risk management. Insurance easiest subject matter of solicitation that means you have to explain the risks associated with insurance with certain events to the people. That means you can promote insurance but not the cell that means insurance is not a product for selling just like this product. it is a product to explain various people concerning the risks associated with it this is very important. So several times we come across the insurance is the subject matter of solicitation.
The second important point is Misselling. Discovered Misselling is very important if you look at insurance. Because of the reason insurance service comes after that damage is done that means if the husband dies wife will get money if car damages then only you can have an Insurance claim that means it is different from other products. Two points are very important that one is insurance is the subject matter of solicitation because of the reason it is the name of the product of for sale. it can only be promoted by explaining the associated with life and various other products. like cause travels heavy vehicles, fire first and second important point is before giving any product or before giving any insurance product the discovered should be properly explained. That means they should not be any scope for the misspelling. Write this word please don’t forget when we are talking about insurance and letters. The second important point is your purchase two-wheeler and son accident frequently they will be lost the vehicle 10 Health Insurance no one knows which type of disease will come to. The person and similarly if a person is traveling on a motorcycle and unfortunately something happened after the accident. Then come on to purchase a new house and that house was damaged because of fire. So I think anything will happen within your fraction of second so to act as a risk management process to take care of the financial loss.
The history insurance business—
The history insurance business that is life insurance business was Nationalised in 1956. General The insurance business was Nationalised in 1972 all of you available. But from 1919 from 1991 onwards when PV Narasimha Rao was the prime minister and Manmohan Singh was the finance minister liberalization to place in our country. Liberalization started in the year 1991. 94 banking sector was opened for private companies and accordingly, ICICI Bank, HDFC Bank, came into existence around 1993. Also started General Insurance Corporation Foreign direct investment of 46% was allowed. for indirect investment as it is allowed in India with Indian companies founded a joint venture with foreign companies and like that is Bajaj Allianz, Birla Sun Life, history of the standard they evolved and you know what is the mean of these Indian financial companies with the foreign insurance companies there are two reasons for it one is the Foreign capital will flow into the country and second important point is we do not have much expertise in Insurance sector because the Insurance sector prior to 2012 in the hands of the Government of India.
The insurance policy of Indian company vs foreign company :
A monopoly Insurance sector is opened for a private placement. Insurance sector 10 reasons this Indian company head foreign companies Bajaj Allianz this is a joint venture of the Bajaj India Company and Alliance Munich Germany based companies. Sun Life financial belongs to Toronto Canada belongs to Edinburgh The UK. ICICI Prudential belongs to an Indian company and Prudential belongs to New Jersey United States of America, Tata AIG belongs to Hong Kong like that other forms Bharti Axa, AXA belongs to Paris France. The exclusive domain of government sector before 2000 and this is for private sector participation in insurance if Life insurance companies were established at Calcutta by Europeans and usually Hooghly.
Medical insurance :