In our lives we need a lot of things. Own home, vehicle, a good life standard, an active and healthy life style, own and family, a superior and running business, entertainment and relaxation are some core things that we needed all around the life. The life of man is full of dangers and risks. We may loss our life. We may loss our home and vehicle due to happening of any misfortune. We may loss our cash, gold or any other form of wealth due to fire, theft or any other unfortunate state of affairs. We may ill and caused the serious disability, we may loss our mortgage property due to fail in payments. Our business may destroy due to any unseen danger. So we can’t be assure that every things is safe everywhere.
Getting Protection against Threats in Life
So in order to avoid from such troubles and dangers we must have to develop some precautionary measures in order to develop the sense security. There are several measures which can be adopted to remove such dangers of security threats in our life. The most appropriate and affordable among them is the insurance. That can protect you under such unfortunate state of affairs. It provides protection to you, your investment, and your business. It gives you peace of mind and assures you that in case of happening anything to you, your family or business your will be fully secure financially. It encourages you to do best without any fear.
Insurance and Risk
Insurance is an ultimate move of the risk of the loss from one entity (insured) to another (insurer) in exchange of payment usually called premium. Naturally it is the shape of risk management that is use to prevaricate against the risk of contingent or uncertain loss. As here we are talking about risk, it necessary to explain that risk in order to making the concept of insurance more clear and precise. Risk is a situation involving exposure to danger, or in other words it can be said it is the possibility of losing some or the entire amount invested in any sector. By making it more precise we say it is the chance of the actual return of the investment will be differ from the expected return. There are several types of risk including compliance, environmental, employee, financial, health and safety, political and economical, operational and strategic and many other risks in our life and business.
Two Major Types
There are several companies offering insurance facility to their clients. They are offering insurance policies which cover the every part of your intrinsic as well as extrinsic life. It is divided in two major types as first one is life and second one is the general insurance. The life insurance cover all risks those are associated with your life and the general insurance cover all the risks other than those are covered by the life insurance. Usually the time period for first one is more than one year and for the second one is one year of less.
Protect Your Mortgage Property
Insurance secures the future of your children. While you have a mortgage home and you are paying the installments suddenly you face any disability in payment due to any unfortunate event like as illness, accident or job loss. You have not enough amounts to pay your mortgage installment and here you are in danger to lose your home that may worst for the future of your children. But don’t worry! The mortgage protection insurance policy has been introduced by the insurance experts in order to secure your mortgaged property in such situation. If you purchase this policy and immediately you died or disable due to any specified reason in this case your insurance company will pay your mortgage amount to your mortgage lender directly. So we can say it roles as the home saver.