Something about insurance

To date, only insurance against the possible events, ie these events, about which previously could not know for sure they will happen or not. Events, which is known in advance that they will necessarily occur, or, conversely, will never happen, not the insurance.

Insurers, given the likelihood of any insured event, as well as data on the number of objects in a single occurrence, the average amount of damage and, consequently, the average size of payments to determine the amount of premiums paid by insurers.

Through these contributions, insurance funds are used by insurers for payment of compensation in the event of damage to insured property interests of the insured. Therefore, the insurance fund is an instrument layout, the reallocation of loss among insurers. But the redeployment is not just between insurers. Damage can be redistributed, and in time. In a more quiet periods of insurance cases occur less, which allows the insurer to reserve funds and use them to compensate for the adverse years. But in any case there is a repayment of funds raised by the insurers in the insurance funds. These funds, minus the overhead costs of insurers, are returned to policyholders in the form of insurance payments. However, the implementation of this feature of the insurance activities carried out in different ways in storage and risk types of insurance.

For events for which at present are the insurance contracts, include:
1) damage or destruction of property insured;
2) damage to life and health of the insured;
3) causing damage to the insured property or the life or health of any third party;
4) endowment until retirement age;
5) endowment policyholder before the contract of events, or age.

Insurance of the first three groups of risk relates to risk insurance. Insurance of the fourth and fifth groups, the risks are cumulative.

All types of commercial relationships based on the equivalence of the binding and transfer of goods or services for cash buyer. In insurance, these principles appear sufficiently specific. In the short-term or risky forms of insurance an insured person, payment of contributions, may not receive insurance services in the form of insurance payments, if time does not happen is an event for which the contract was made. Do not be returned to the policyholder and the insurance premiums paid by them. Materialization guarantee is made only for the affected policyholders. In other words, the insurance company may be a year to insure 10 OOO people, and insurance services actually receive only 50 Moreover, the insured, paid at the conclusion of the contract, such as 5% of the sum insured when the insured event may receive compensation in the amount of 100% of the value of the insured property, ie in the risky types of insurance in the relationship between the insured and the insurer has no self-equivalence.

Insurance equivalence in this case is that all of the premiums (net of overhead insurer), received from customers for the tariff period (say, over 5 years) will be paid during this time, but only the affected policyholders. The basis of insurance is based on the joint venture mode of damage.

In the longer accumulating types of insurance relationship the insured and insurer are always equivalent. In this case the insurer required to obtain insurance payment in one form or another, but the insurer must provide the appropriate amount of savings for each concluded contract. Form can be, first, to obtain contributions from insurers and, secondly, by investing the proceeds in directions determined by the state. Money, «work», yield revenue that will allow the insurer to reduce this amount, contributions insurers.

Thus, insurance can be defined as a set of re-cycle the participants about the formation through their contributions of insurance trust fund designed to compensate the possible damage to property of legal persons and natural persons, as well as for maintenance of citizens with certain events in their lives.