Why Insurance is Important for us & What condition can insurance be in?

Insurance is Important for us & Can insurance be 

Insurance is called the means by which the risk of loss may be put on the other side (insurer or insurer) by giving some charges (which are called premium). The part of which the risk is put on the insurer is called 'insured'. The insurer is usually a company that is willing to divide the loss or damage of the insured and he is able to do so.

Insurance is a type of contract (contract). An agreement between two or more persons, which can be legally enforceable, is called an agreement. The insurance contract has a broad meaning that in the event of the event described in the insurance policy, the insurer provides a certain amount of money to the person who insures it. The insurer who keeps on giving an insurer, premium insurance to the insurer, is the refund of this contract. The word 'insurance' has come from Persian, which has the implications - 'take responsibility'. Dr. Raghuveer has translated it - 'Agap' His English option is "Insurance".

Insurance is actually a contract between the insurer and the insured, in which the insurer gives a certain amount of money to the insured, in the event of the occurrence of certain event (such as in the event of a certain age ending or death) instead of a fixed amount (premium) or Indemnifies the actual loss due to the risk of the insured.

Thinking about the basis of insurance, it is found that insurance is a kind of collaboration in which all insured people, who can be at risk, pay premium, whereas only a few (very few) of them are actually Lose damage, compensation is given. In fact, the number of people with the potential for risk is high, but only a few of them suffer losses in a given period. The insurer (company) works to distribute the loss of the insured parties to the remaining insured parties.

What condition can insurance be in?

In the case of gaming or betting, the two people compromise that if another incident happens, the other person will pay a certain amount of money. But he can not be called an insurance because there is no independent interest of the bettor in the event that he or she does not happen. Indeed, the existence of insurable interest is necessary in addition to the elements of general contract for insurance contract. For example, the life of a person can not be bribeed by a stranger because there is no independent interest in the survival of a person or not. But if B has a wife, then due to the inadequacies of B in the survival of A, it would be reasonable to insure the life of A through B.

The meaning of insurance interest is broad. The interest of each other in the survival of husband wife is obvious. Mahajan's interest in the life of the debtor is also valid. Similarly, the owner of that property, insured for property insurance, has only one. This interest becomes available to that person, which is available under any contract. Not only this, by being mere possession of property, even if the possession is illegal, insurance becomes available. For example, if any person has any property in his possession under Diwali, even if he is automatically unlawful because the officer is entitled to his property on the property after the inspection of bankruptcy - but also to pay that insolvency to insure that property. The officer is assumed. The basis of an insurance contract to generate interest can be both liability or interest. For example, when a person rents a house, there is no liability for the protection of that house, but since that contract provides the benefit of the security to the tenant, so that the tenant is insured for the security of that house. The interest becomes available.

The requirement of insurance interest for insurance contracts is to assess the validity of the said contract, it is also necessary to follow the rules of indemnity. In this regard, there is some difference between the English law (rule) and the Indian law. According to the English law (sea insurance law 1906 and life insurance method 1774) virtually existence of superfluous interest is essential. But this is not so in Indian law. According to Section 30 of the Indian Contract Law, because the compromises of gambling or betting etc. have been given illegal contracts, therefore the existence of the insured may not be in reality, but it is adequate to validate the validity of the insurance contract even if it is expected on a reasonable basis to make it available. is.

The second major basis of the insurance contract is harmony and honesty. Therefore, it is necessary that both parties (insurers and insurers) disclose all facts related to insurance. Disclosing this is to say that there is nothing to be hidden knowingly. If no abstract fact has been disclosed, then the other party can obtain release from the said contract.

There is also some difference between English and Indian law in this regard. According to section 45 of the Indian Insurance Act, it is considered to be forgiveness if a mistake arises in intention of intentionally and deliberately in life insurance. But according to the general law (English law), any misinformation inadvertently affects that contract.