We face a great number of hazards as we go about our daily lives, and although possible, it would be difficult to protect ourselves against all potential eventualities. There are, however, a number of common areas where it is relatively easy and straightforward to financially insure ourselves and our families, as well as others who may be adversely affected by our actions.
These areas are widespread and include cover for your home, when you travel on holiday, when you use your car or any other form of motor vehicle, taking your pet to the vet, visiting the dentist or receiving other forms of medical health treatments. Advice about all these types of cover is included in this section, as well as information about acquiring home and life insurance policies.
Taking out a general insurance policy can sometimes seem daunting, but the basic principals are quite simple to understand. Essentially, when you apply for insurance, the plan provider assesses how likely it is that you will make a claim, and calculates its premiums based on this assessment. They use a variety of factors to decipher the level of risk that you pose, including experience of current and past policy holders with a similar profile to yours. The same process will apply to all areas of insurance, whether you are insuring a person, an object or an animal.
Once the assessment has been made and you agree to the fees, terms and conditions of the policy, the insurance firm is legally obliged to honour any claim that you make subject to any contracted excesses or limits, as long as it conforms to the rules and regulations of your agreement.
The three main areas of insurance are as follows:
General insurance - this covers a range of areas that pose a potential threat to individuals and businesses.
Life and pensions - these allow people to save and plan for the future, and offer financial protection to policy holders and their families if the worst happens.
Health and protection - this form of insurance offers policy holders financial assistance when they require medical care, and can also provide an income during times of sickness and unemployment.