Life Insurance: Benefits and Types

Kathmandu : Non-life insurance is an insurance to be freed from the risk of loss of movable and immovable property. Non-life insurance is a contract for a fixed period. There is an agreement between the insurance company and the insured person. Such agreements are called contracts.

In the case of damage to the insured property or death or disability of a person, etc., within the specified period of the contract, the insurance company pays the compensation to the concerned party based on the amount of actual loss within the scope of the policy.

In case of any incident, the insured has to give early notice to the company. After going to the company and filling the form, the insurance company appoints a surveyor to investigate the incident. A surveyor is a person or organization licensed by the insurance authority to carry out a financial assessment of the damaged property, based on whose report the insurance company pays the claim amount to the insured.

Miscellaneous insurance includes personal accident insurance, group accident insurance, road insurance, workers’ compensation insurance, domestic insurance, animal insurance, medical expenses insurance, theft (robbery) insurance, bankers’ indemnity insurance and fidelity bond insurance.

Accidental fire and open flames are covered under fire insurance. Compulsory third party liability insurance, package insurance are types of motor insurance. Insurance can also be provided for the risk of strikes, riots and subversive activities.

Types of Life Insurance:

Marine Insurance:

Carrying goods from one place to another during trade or business or doing other work can be bad. The insurance that covers the damage caused while transporting goods from one place to another is called marine insurance. This insurance is suitable for doing business.

Fire insurance :

Fire insurance is included under non-life insurance. With the development in the insurance sector, the trend of fire insurance is seen to increase. Fire insurance is insurance for fixed assets such as buildings, goods kept inside buildings, machinery.

The situation in which an accident occurs due to the accidental release of flames is called fire, and in such a situation, the insurance that provides financial compensation from the said risk is called fire insurance.

Fire insurance is the contract between the insured person and the insurance company for compensation in case of fire damage. Fire insurance is provided for what to do if there is any loss due to fire in the future.

If fire insurance is taken, the insurance company will provide compensation in case of fire and accidental damage.

Air insurance :

Even air transport has not been free from risks. The danger of various types of damage and loss is prevalent in this area as well. Insurance that covers loss of life, property, etc. due to an air accident is called air insurance.

Vehicle insurance :

Vehicles running on roads by mechanical power, motorcycles, cars, buses and other equipment are included in this insurance. There is a lot of risk of vehicle breakdown, so the risk or damage can be reduced by getting vehicle insurance.

Advantages of insurance:

Savings: Insurance can also be taken as savings, but this savings cannot be withdrawn at any time like in a bank. Any citizen takes insurance for his goods and equipment. As a result, the insured gets the amount for the claim payment.

Financial security :

Life insurance is the financial security that works for the financial security of the insured or the insured’s family. Provides financial assistance to return lost items due to accidents or theft at any time.

Loan facility-You can get loan facility from the insurance company while insuring. Companies provide loans to their insureds in a particular situation according to their needs and capacity.

Tax Exemption – Insured can benefit from insurance, according to the Income Tax Act, there is a provision of tax exemption on income if insured.

Tax Exemption – Insured can benefit from insurance, according to the Income Tax Act, there is a provision of tax exemption on income if insured.