Insurance sector in India (Life Insurance)

The function of the insurance sector is to protect one against losses he cannot afford. This is done by transferring the risks of a person, business, or organization known as, the ¿insured¿ to an insurance company, known as the ¿insurer¿. The insurer then reimburses the insured for covered losses i.e., those losses it pays for under the terms of the policy. Every family depends on its leader every day for financial support, food, shelter, transportation, education, and much more. Spouses have plans for their future and dreams for their family: another child, a bigger home, a new business, college education, travel, retirement. Insurance is all about ensuring that one¿s family has adequate financial resources to make those plans and children (as beneficiaries) count on him, he counts on his spouse. That is why coverage for his spouse is also important. This is especially true today, with so many ¿double income families¿ in this area. As the insurance consumer, the insured pays an amount of money, called a premium, to the insurer to transfer the risk.