Insurance transfers and allocates risks from the person taking the policy or "the insured" to the insurance company or "insurer." An insurance policy is a special agreement between the insurer and the insured. To be enforceable, the insurance policy must meet all of the usual requirements of a contract and, in addition, the insured must have an "insurable interest" in the subject matter being insured, such as property, life, and health. Businesses usually carry basic property insurance and commercial liability policies. But they may also carry fidelity insurance, business interruption insurance, and directors and officer's liability insurance.Property Insurance: Property Insurance is insurance on real property for protection against most risks, hazards, and perils, such as fire, theft, and some storm and weather damage. Property insurance can also include specialized forms of insurance such as flood and earthquake insurance. Property is generally insured in the manner of open perils, which covers all causes of loss not specifically excluded in a policy, or named perils, which covers only causes of loss listed in a policy. Property can be valued through loss of use, replacement value, and market value methods. Commercial property insurance is often bundled with liability insurance, which protects your business assets if the business is sued for bodily injury or property damage.A natural disaster occurs when a catastrophic event, such as a hurricane, a flood, an earthquake, a volcanic eruption, a landslide, a blizzard, or some other natural phenomena causes extensive human casualties, property damage, or both.Life and Health Insurance group plans are frequently offered as an employee benefit. Individual insurance plans may also be purchased. Life insurance is a contract to pay a beneficiary, in return for a premium, a specified amount of benefits upon the death of the policy holder, or under other circumstances specified in the policy. Life Insurance protects the family, dependants or survivors of the insured and provides a measure of financial security after his or her death. Health insurance is insurance against loss by sickness or bodily injury. Health Insurance helps cover health care expenses, including doctor visits, tests, admission into hospitals, surgeries and other medical treatments.
