insurance-focus.net/ An insurance focus is an insurance focus. But what is insurance? Insurance comes in many shapes and sizes. Their main characteristic is risk spreading. Someone who insures himself against a certain risk hopes that if that risk occurs, an insurer will take it for him. Insurance is wise in many cases. Anyone who fails to insure their home against fire takes for granted that they will have to bear the damage alone if the home is damaged or lost at any time by fire. Anyone who fails to insure their legal liability runs the risk of having to pay for the damage of another, should it happen that he accidentally causes damage to another. Certainly if there is personal injury, it can involve large amounts. A party held liable for payment can go bankrupt if he has not insured his liability and is also sued for several days afterwards.
Is risk spreading?
In fact, the oldest form of insurance is the agreement of a number of people that they come to the aid of each other if an emergency occurs in one of them. This has led to the establishment of so-called mutual insurance companies with sufficient cash in hand to cover individual risks. Think of fire damage, death and accidents. The united East Indian company also had the character of an insurance company. When a ship returned from a trade mission the profit was very high, but when it was lost.