Insurance, Nature of Insurance

Insurance - Definition :
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Insurance is a co-operative device to spread the loss, it caused by a particular risk over certain number of peoples and who are exposed to it , and who are agree to insure themselves against the risk.

Nature of Insurance :
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1) risk of sharing
2) co-operative device
3) risk value
4) payment contingency
5) amount of payment
6) more no. of insured persons
7) Insurance is not a gambling
8) Insurance is not a charity