Ans: Insurance in its basic form is defined as " A contract between two parties whereby one party called insurer undertakes in exchange for a fixed sum called premiums, to pay the other party called insured a fixed amount of money on the happening of a certain event."
Insurance is basically a protection against a financial loss which can arise on the happening of an unexpected event. Insurance companies collect premiums to provide for this protection. By paying a very small sum of money a person can safeguard himself and his family financially from an unfortunate event
For Example if a person buys a Life Insurance Policy by paying a premium to the Insurance company , the family members of insured person receive a fixed compensation in case of any unfortunate event like death.
Q. What are the type of Insurance Products?
Ans: There are different kinds of Insurance Products available such as Fire Takaful, Marine Takaful, Motor Takaful, Engineering Takaful, Miscellaneous Takaful etc. For more details <Click Here>