Types of Insurance


Risk is everywhere: When you ride your bike to work, When you visit a new place, When you drive your car during picnic, when there’s a new issue going around in town. Overall, You need the security of insurance, security of minimum losses.

There are mainly two types of insurance:
  1. Life Insurance 
  2. General Insurance 
And trust me, you need both in life to insure the minimum losses if occurs.

What Is Life Insurance? 

Life insurance is a agreement between an insurance company and a policyholder that offers financial compensation in case of death or disability.

Some life insurance policies even offer financial compensation after retirement or a certain period of time. Life insurance, thus, helps you secure your family’s financial security even in your absence.

The policyholder agrees to pay a predefined sum of money on a regular basis or as a lump sum. These are known as premiums. In exchange, your insurer guarantees to pay an assured sum to the nominated beneficiary in the event of death, disability or at a set time.

What is General Insurance? 

Life insurance is a agreement between an insurance company and a policyholder that offers financial compensation on any loss other than death such as financial loss due to liabilities related to your house, vehicle, health, travel, etc.

The insurance company guarantees to pay a sum assured to compensate damages to your vehicle, medical treatments to cure health problems, losses due to theft or fire, or even financial problems during travel.