Overview
The principles of insurance are essential for understanding how insurance works and the responsibilities of both insurers and policyholders. Key concepts such as risk pooling, indemnity, and utmost good faith form the foundation of insurance practices, ensuring that individuals are protected against...
Key Terms
Example: You pay a monthly premium for your health insurance.
Example: Your car insurance has a $500 deductible.
Example: Your home insurance provides coverage for fire damage.
Example: Flood damage may be an exclusion in your home insurance.
Example: Underwriting assesses your health history for life insurance.
Example: You file a claim after your car is damaged in an accident.
Related Topics
Key Concepts
Risk PoolingIndemnitySubrogationUtmost Good Faith