The aim of all insurance is to compensate the owner against loss arising from a variety of risks, which he anticipates, to his life, property and business. Insurance is mainly of two types: life insurance and general insurance. General insurance means Fire, Marine and Miscellaneous insurance which includes insurance against burglary or theft, fidelity guarantee, insurance for employer's liability, and insurance of motor vehicles, livestock and crops.

A contract of insurance contained in a fire, marine, burglary or any other policy (excepting life assurance and personal accident and sickness insurance) is a contract of indemnity. This means that the insured, in case of loss against which the policy has been issued, shall be paid the actual amount of loss not exceeding the amount of the policy, i.e. he shall be fully indemnified.

Types of Insurance

• Two Wheeler Insurance :Two wheeler insurance provides a kind of personal accidental cover for owners, while driving the vehicle. The policy generally provides protection from any loss or damage to the vehicle arising out of natural calamity like fire, protection against third party injury, burglary etc. The amount insured will depend on the current showroom price multiplied by the depreciation rate fixed by the Tariff Advisory Committee at the time of commencement of policy period. Fast and easy claim process by most insurance companies will ensure existing customer loyalty and widen the customer base.
   

• Car Insurance : Car insurance is the fastest growing segment in the auto insurance category. This is so, because insuring car is mandatory for everyone buying a new car. Major car manufacturers are tying up with leading insurance companies to provide hassle free and quick insurance. Car insurance includes loss or damage by accident, third party insurance, insurance against burglary etc. The amount of premium will depend on the make and value of the car, state where the car is registered, year of manufacture etc. Insurance companies are trying hard to make the claim process simpler and quicker to widen the existing customer base.
   

• Commercial Vehicle Insurance : Commercial Vehicle Insurance covers all vehicles not used for personal purpose. Trucks and HMVs are covered under this insurance. The insurance protects against damage caused due to accident, third party injury, protection against natural calamity, burglary etc. The premium amount depends on a number of factors like showroom price of the vehicle at the commencement of the insurance period, make of the vehicle, place of registration of the vehicle etc. Fast and easy claim processing by leading insurance companies is the key to ensure satisfied and loyal customers.
   

• Agriculture Insurance :  The objective of Agriculture Insurance is to provide insurance coverage and financial support to the farmers in the event of failure of any of the notified crop as a result of natural calamities, pests & diseases. The list of crops being covered for insurance differs from state to state. Generally quite a few Kharif and Rabi season crops are covered. These crops are insured at the community/block/gram panchayat levels. Agriculture insurance schemes are of immense help to farmers, providing them with financial security.
   

• Fire Insurance : Fire Insurance is governed by All India Fire Tariff effective from 31.3.2001 issued by Tariff Advisory Committee, a Statutory Body. It is a commercial policy covering building, offices, machinery, contents and personal belongings of the office. It mitigates the risk of loss of customers arising from fire breakout. The insured should take all possible steps to minimize the loss.
   

• Industrial Insurance : Industrial insurance is a comprehensive policy covering a gamut of products. This is a specially designed policy covering any kind of loss or damage caused to the products it covers.
   

• Marine Insurance : Marine insurance falls under commercial insurance. The policy is taken to reduce business risks. It caters to small scale business organisations to large corporates. policy does not cover loss or damage due to wilful misconduct, ordinary leakage, improper packing, delay, war, strike, riot and civil commotion.
   

• Shop Insurance : Shop Insurance is specially designed to meet the needs of small shopkeepers. It is a comprehensive insurance, catering to different insurance needs of shopkeepers. One policy per shop is generally given by insurers. It covers damage/ loss to shop due to fire, burglary, riot, strike, loss of money in transit, fraud committed by client's employees etc. The policy is meant for shops only, hence restaurants and tea /coffee shops cannot be insured under this insurance policy.
   

• Home Insurance :Your home is a fruit of your labour, it is your pride and provides you with immense joy. Insurance companies have come out with unique home insurance policies to protect it from various natural and man made disasters. Home insurance protects your house against burglaries, theft, fire, earthquake, explosion etc.
   

• Life Insurance : Life Insurance policy is the most popular and taken my the most number of people. Many of us buy life insurance policies, because we want to make sure our loved ones remain financially secure after we die. Insurance companies offer both individual as well as group insurance policies.
   

• Accident Insurance : Accident insurance is gaining popularity with the increase in the number of Accident injuries and deaths. Insurance companies accidental covers for individuals and families as well. This means you can cover your spouse and children in the same policy but by paying a higher premium. The plan can be customised to suit the needs of different clients.
   

• Personal Accident Insurance: This means insurance for individuals or groups of person against any personal accident or illness. In India this type of insurance is done by the General Insurance Corporation. The risk insured in personal accident insurance is the bodily injury resulting solely and directly from accident caused by violent, external and visible means.
   

• Medical Insurance : Medical insurance in India is gaining such a high trend that policies are out even for infants. It is the buffer against medical emergencies. This cover is a hospitalisation cover and reimburse the medical expenses incurred in respect of covered disease /surgery while the insured was admitted in the hospital as an in patient.
   

• Travel Insurance : A travel insurance policy is possibly the best way to protect you against medical costs through illness or injury, against theft or loss of possessions and other accidents that may occur during your domestic/international / travels. Attractive plans for student travel are also available.