What is
insurance, insurance can be defined as a contract by
which one party undertakes to indemnify another against loss, damage, or liability arising from an un known or contingent event.
Insurance is another division of commerce. it is based on the principle of the pooling of
risks.This means that by insuring a life or property, those who insure contribute to a common fund out of which compensation is paid to those
insured who suffer loss.This is what insurance is about.themoney which the insurer pays is called premium and it is collected from a large number of people who are insured against a particlar risk or loss.