What is Insurance
Insurance is a special type of contract between an insurance company and its client (Insured person) in which the insurance company agrees that on the happening of certain events the insurance company will either make payment to its client or meet certain costs. Lets take example of car insurance, in a car insurance policy, the insurance company agrees that if the car is damaged, the insurance company will pay the cost of repairing it. Under an income protection policy, the insurance company agrees that if its client is unable to work, the insurance company will pay its client an agreed amount.