Insurance refers to a mutual agreement or a policy that an individual purchases from an insurance company by paying premiums on yearly, monthly or quarterly basis to the insurance company. In return, the insurance company protects the buyer or the policyholder from any kind of loss or risk that may occur in the future.
Apart from individuals, both public and private sector organization can purchase insurance to protect their employees. It's basically a kind risk management scheme by using which the insured person can get protection against possible eventualities such as loss, sickness, death, loss done to his/her belongings etc.
Insurance is the only financial instrument that helps you manage your financial risks smoothly and reduces your financial worries.
There are different types of issuance available in India. Listed below are the major types: