All About Insurance – Why is it an Indispensable Act ?

 

There is a certain level of uncertainty that is always associated with the world in which we live in. Nobody knows what will happen in future and therefore we can’t determine any unfortunate incident that might happen to us in future. If we check the world around us, we will learn that most of the people have had a big mis-fortunate incident or two in their life. Someone might have lost their close ones, others might have being a victim a terrible accident, which he  was lucky enough to escape and some others might have had developed a serious ailment in a certain phase of their life.

 

Seeing these kind of unfortunate incidents happening to others, it is but natural that one might start feeling insecure about his own future. But then, the fact is that there are certain incidents that happen in our life as destiny and we are not able to do much about them because they are more or less beyond our control. However, the best that we can do is to try to minimize their severity as much as we can and insurance is one of the ways to do it.

 

General-InsuranceHow can insurance help you?

 

By getting insured, one can reduce the risk factor involved with the insured commodity. For example, you can’t do much if you have a fatal car accident in which you get serious injuries and your car also get badly damaged.  In case you have a health insurance and car insurance, then it can greatly help you under such a situation. Depending on the kind of insurance plan you have and the situation concerned, you can get up to 100% reimbursement for all the damages done to you car and you can also get your accident treatment done under you health insurance plan.

 

insuranceHow it works?

 

Well to get insurance, you would require contacting an insurance company and then selecting an insurance plan. Under this plan, you have to pay a fixed yearly premium to the company and in return you get an insurance cover from them. For example, if you have got a car insurance and the later, you meet with an accident, where your car gets damaged, then you can get your car repaired under the insurance and it is the insurance company which is going to pay for the repair charges.

The amount of insurance claim that you can get depends on the kind of plan you have and its terms and conditions. In car insurance, there is an insurance plan called zero debt plans, which covers all the car damages in full. This means that if you get a zero debt plan, then any damages done to the car and will be recovered as insurance claim. In case your car is stolen, then too, you can claim the theft under your insurance plan and you will get the money reimbursed against theft, which will be equivalent to the market price of the car at the time of the theft. So, you can easily understand the benefits of insurance with help of this simple example.