Some definitions of insurance jargon
Published On: August 19, 2020
Insurance is the transaction whereby one party (the insurer) undertakes to perform a service for the benefit of another party (the insured) in the event of the occurrence of a random event (the risk) in return for a sum of money (the premium or contribution).
This is the one who simply takes out an insurance contract within the framework of a risk transfer to the insurer. The subscriber may not be the one being insured.
It is the one on which the defined risk is based.
The risk may be based on goods (car, home, transport, business, etc.) and/or people.
This is the party who agrees to take on the risk to which the insured is exposed.
It is the sum of money paid by the insured to the insurer, so that the latter will assume the risk to which he is exposed, should it occur.
It is an uncertain event whose occurrence negatively impacts the achievement of an individual's goals.
It is the occurrence of the risk guaranteed in the insurance contract. The occurrence of this risk results in damage (material, bodily or immaterial) or loss.
In law, a damage is the prejudice that a person suffers.
It is the amount paid by the insurer to the insured, as compensation for the damage suffered by the latter, in the event of the occurrence of the event provided for in the insurance contract.