Insurance Coverage Basics
Insurance Coverage Basics Brief Summary Of Key Insurance Terms And Concepts Insurance can be a complex industry, but having a good understanding of its key terms and concepts is essential in making informed decisions regarding coverage. One of the most important concepts in insurance is risk. Insurance is essentially a way of transferring risk from the insured party to the insurer. Premiums are paid to the insurer in exchange for the promise that the insurer will cover any losses that may occur. Another key term in insurance is deductible, which is the amount that the insured party must pay out of pocket before insurance coverage takes effect. Additionally, coverage limits refer to the maximum amount that an insurer will pay for a covered loss. It's important to understand these terms and others in order to make the most of your insurance coverage. Types Of Insurance Coverage There are many different types of insurance coverage availab