Non-life or general insurance provides coverage for risks other than human life. It includes various types of insurance like health, property, liability, marine, fire, motor, and credit insurance. Health insurance covers medical expenses while property insurance protects insured property from risks like fire, theft, and natural disasters. Liability insurance protects against claims by third parties for damages. Marine insurance covers risks for ships, cargo and freight. [END SUMMARY]

1. NON LIFE INSURANCE/GENERAL
INSURANCE

2. Meaning of Non Life Insurance
• Non life insurance is insurance that is done except of Life insurance.
It is also called as General Insurance where the insurance of Marine
insurance, fire insurance, motor insurance and health and medical
insurance, Liability insurance or insurance related to property are
done in order to be secured from losses caused to the such types of
product to the insured. It provides the margin of safety in case of
loss caused in these insurance policies.
• It is a contract of indemnity whereby the insurer undertakes to pay
compensation to the insured for the actual loss only. If the loss does
not occur, the payment need not to be made.
• It is the insurance policy which is done for the physical property or
casualty other than the human life.

3. Types of Non Life Insurance
Types of Non Life
Insurance
Mortgage
Insurance
Accident
Insurance
Credit
Insurance
Health & Medical
Insurance
Fire Insurance
Marine Insurance
Motor Insurance
Property Insurance
Liability Insurance

4. Types of Non Life Insurance
• Health & Medical Insurance:
Health insurance policy
is a legal contract between an individual or a group of
individuals and a company or government program
that describes how the medical bills of the individual or
group will be paid. Health insurance policies provide
coverage for medicine, visits to the doctors or
emergency room, hospital stays and other medical
expenses. The covered groups or individuals pay
premiums or taxes to help protect themselves from
unexpected healthcare expenses.

5. Classification of Health Insurance
1. Health Expenses Coverage
a. Hospital Insurance
b. Surgical Expenses Insurance: Covers surgeons fee
c. Physician Expense insurance: Covers physician fee like
Lab tests and X-Rays and surgical insurance.
d. Dental Insurance
2. Disability Income Coverage
Disability income insurance replaces income not earned
because of illness or accident. Individually purchased
disability income insurance can be important in cases
where other sources of funds are inadequate or
unavailable.

6. Products of Health and Medical
Insurance
• Individual v/s Family Health Insurance
• Travel Health Insurance
• Group Health Insurance
• Critical Illness Insurance

7. Types of Non Life Insurance
• Property Insurance
Property insurance
provides coverage for insured property and
compensation for loss associated with fire, theft,
vandalism, or natural calamities. The property
insurance also covers land, building, crops. The
property insurance is basically required for the
financial security it provides to the property in case of
any loss suffered. This includes specialized forms of
insurance such as fire insurance, flood insurance,
earthquake insurance, home insurance.

8. Types of Property Insurance
• Building Insurance
• Earthquake Insurance
• Flood Insurance
• Fire Insurance
• Home Insurance
• Motor Insurance

9. Liability Insurance
• Liability Insurance:
Liability insurance is insurance
which protects a person or entity from claims initiated
by another party. It is one of the most popular because
it costs much less than any other insurance policies.
Liability insurance is only responsible for other party’s
losses. A person and his property are unprotected, but
it is the liability insurance that protects him from being
held responsible for other party’s damages.
Liability insurance is insurance
which protects a person or entity from claims initiated
by another party

10. Types of Liability Insurance
• General Liability Insurance: Covers financial losses arising
from physical injury or damages of property caused by
insurer or employees of his company to others. This policy
apply when accidents take place at premise of insurer or at
customer’s location. It is also provided in case of any
damages or theft to the hardware or software of company
along with physical damages of the company’s properties.
• Employers Liability Insurance: It protects employers when
they have to tackle legal liability claims. Employees injury or
illness due to employer’s negligence or faulty work
conditions that could have been controlled or managed.
• Public Liability Insurance: It offers financial coverage to
protect policyholder from financial damages payable to third
party in case of injury, disease or death. It covers damages
caused to another’s property because of policyholders.

11. Types of Liability Insurance
• Product Liability Insurance: Product liability insurance
protects the business from claims related to manufacture
or sale of product, food, medicine or other goods to the
public/Consumers. It covers the manufacturer’s or seller’s
liability for losses or injuries to a buyer. Ex: Suppose any XYZ
Products exceeding of lead in ingredients led to death of
some children, in such case the product liability insurance
can be beneficial to manufacturer.
• Professional Liability Insurance: It protects professional
practitioners such as architects, surveyors, inspectors,
lawyers, physicians or accountants against negligence
claims made by their client/patients.

12. Marine Insurance
• Marine Insurance basically covers three risk areas
namely hull, cargo and freight. The risks which these
areas are exposed to are collectively known as “Perils
of the Sea”. The perils include theft, fire, collision etc.
• Marine insurance means the business of effecting
contracts of insurance upon vessels of any description,
including cargoes, freights and others interests which
may be legally insured in or in relation to such vessels
cargoes, freights, goods, wares, merchandise and
property of whatever description insured for any
transit by land or water or both and whether or not
including warehouse risks or similar risks of at the time
of transit.

13. Features of Marine Insurance
• Based on utmost good faith where both the
insured and insurer must disclose everything
which is in their knowledge that can effect the
contract.
• Contract of Indemnity where the insured is
entitled to recover only the actual amount of
loss from the insurer.

14. Marine Insurance Product/Types
1. Voyage Policy: Where the subject matter is insured
for a particular voyage irrespective of time involved.
2. Time Policy: It is a policy in which the subject matte is
insured for a definite period of time/stated period of
time.
3. Mixed Policy: It is combination of voyage and time
policies which covers the risks during the particular
voyage for a specific period of time.
4. Valued Policy: Is a policy in which the value of subject
matter/goods/product is agreed upon between
insured and insurer.
5. Port Risk Policy: It covers all the risks of a vessel/Ship
while it is standing at a port for particular period of
time.

15. Fire Insurance
• Fire insurance provides protection against
damage to property/goods caused by
accidents due to fire, lightening or explosion.
Fire insurance also includes damage caused
due to other perils like storm, flood, burst
pipes, earthquake, aircraft, riot, civil
commotion.

16. Features of Fire Insurance
• Written Contract-Between insured and
insurer
• Two Parties-Contract between insured and
insurer
• Period of insurance- Done for maximum of 1
year.
• Use of word insurance- ‘Insurance’ word is
used instead of ‘Assurance’ meaning
compensation will be paid only if there is loss.

17. Fire Insurance Products
1. Valued Policy: In this policy, the value of property is determined at
the inception of the policy where the insurer pays the total
admitted value irrespective of the then market value of the
properties
2. Floating Policy: It is the policy which cover one or more kinds of
goods at one time under one sum assured for one premium.
3. Average Policy: Policy which contains the average clause is the
average policy. The amount of indemnity is determined with
reference to the value of property insured.
4. Declaration Policy: Under the declaration policy, the insured takes
out insurance for the maximum amount that he considers would
be at risk during the period of the policy.
5. Comprehensive Policy: It undertakes full protection not only
against the risk of fire but combining within the risk against
burglary, riot, civil commotion, theft, lightning. This policies is
termed as “All in Policies”

18. Motor Insurance
• Motor Insurance is the insurance for motor vehicles
which secures the insured form the various loss or
damages to motor vehicles like theft, fire or any
accidental damages. The rate of premium is
standardized where no insurer can charge lower rates
than the tariff rates .
• The motor insurance is subject to:
Loss or damage to the motor vehicles.
Death or injury to the owner or passenger of vehicles.
Damages payable to third parties by the owner of
vehicles for accident.

19. Feature of Motor Insurance
• Unilateral- only imposes legal duties on the
insurer(Insurance Company)
• Executory: Unless the loss occurs/ damages in
the vehicles occurs.
• Conditional: Unless the insured report
forward notice of suits, protect damage
property, notify the company in case of loss.

20. Motor Insurance Products
1. Act/Liability Policy: It aims at complying the insurance companies to
cover act risks. The policy provides for compulsory insurance of motor
vehicles in relation to liabilities arising out of the use of motor vehicles
in public places. This policy covers the unlimited liability towards third
party bodily injury also the damages to the property of third parties,
unlimited liability towards bodily injury of passengers of vehicles.
2. Third Party Policy: This policy provides insurance against the liabilities
towards third parties suffering loss pertaining the damage of property
or persona injury or death. It may also include the fire, theft or legal
liability to persons employed in operation or maintenance.
3. Packages/Comprehensive Policy: It is an optional policy which
provides cover against own damages, losses and act liability. It is a
package policy issued by the insurance companies for comprehensive
risks. It covers the following sections
• First Section covers the damage to the vehicles and the risk like
fire, explosion, burglary, theft, riot, strike, flood, typhoon, etc
• Second Section covers the insured liability to third parties.
• Third Section differs according to the class of the Vehicles.

21. Credit Insurance
• Credit insurance is a type of insurance policy purchased by
a borrower that pays off one or more existing debts in the
event of a death, disability, or in rare cases, unemployment.
• Credit insurance is marketed most often as a credit
card feature, with the monthly cost charging a low
percentage of the card's unpaid balance.
• Credit insurance can be a financial lifesaver in the event of
certain catastrophes. However, many credit insurance
policies are overpriced relative to their benefits, as well as
loaded with fine print that can make it hard to collect. If
you feel that credit insurance would bring you peace of
mind, be sure to read the fine print and compare your
quote against a standard term life insurance policy.

22. Types of Credit Insurance
• Credit Life Insurance: This type of life insurance pays off loans if you die.
• Credit disability insurance: Also called accident and health insurance, this
type of credit insurance pays a monthly benefit directly to a lender equal
to the loan’s minimum monthly payment if you become disabled. You
must be disabled for a certain amount of time before a benefit is paid. In
some situations, the benefit is retroactive to the first day of disability. In
other cases, a benefit may begin only after a waiting period is satisfied.
Common waiting periods are 14 days and 30 days.
• Credit unemployment insurance: With this type of insurance, if you
become involuntarily unemployed, this insurance pays a monthly benefit
directly to the lender equal to a loan’s minimum monthly payment. You
must remain unemployed for a certain number of days before a benefit is
paid. In some cases, the benefit is retroactive to the first day of
unemployment. In other cases, the benefit begins only after the waiting
period is satisfied. The common waiting period is 30 days.

23. Mortgage Insurance
• Mortgage Insurance (also known as mortgage
guarantee and home-loan insurance) is
an insurance policy which compensates
lenders or investors for losses due to
the default of a mortgage loan. Mortgage
insurance can be either public or private
depending upon the insurer. The policy is also
known as a mortgage indemnity guarantee
(MIG), particularly in the UK.

24. Accident Insurance
• Accident insurance is a type
of insurance where the policy holder is paid
directly in the event of an accident resulting in
injury of the insured. The insured can spend
the benefit payment however they choose.
Accident insurance is complementary to, not a
replacement for, health insurance.