Classification of Insurance

When insurance is classified based on its subject, it is divided into three main categories:

·       Personal Insurance:

This includes insurance where the individual is the primary subject. Examples include disability insurance (illness), unemployment insurance, retirement insurance, early death insurance, and personal accident insurance.

·       Property Insurance:
This type of insurance covers assets owned by individuals or organizations. It aims to protect property against potential losses caused by various risks or unexpected events.
Examples include:

• Fire Insurance: Covers losses due to fires in residential or commercial buildings.
• Marine Transportation Insurance: Protects goods during sea shipping, including risks like sinking, fire, collisions, or damage from poor storage.
• Car Insurance: Covers physical damage to vehicles from collisions, fires, or other incidents.
• Theft Insurance: Protects against property loss due to theft, whether it involves homes, shops, or personal assets.
  Coverage details and conditions vary by insurance company, depending on factors like property value, location, and specific risks.

·       Liability Insurance:
This insurance covers liability for harm caused to others due to the actions of the insured. It protects the insured's wealth against potential financial obligations arising from such incidents.
Examples include:

• Personal Liability Insurance: Covers an individual's financial responsibility for bodily or material harm caused to others. For example, car liability insurance covers damages caused by drivers to others.
• Corporate Liability Insurance: Protects businesses from financial liability for harm caused to the public or customers due to their products or services. This may include legal defense costs and compensation in lawsuits.
• Professional Liability Insurance: Covers professionals (e.g., doctors, engineers, lawyers, accountants, and contractors) against financial liability for errors or negligence in their work, which could cause harm or loss to clients.

Insurance coverage and conditions depend on the type of activity, risk level, and specific requirements of the individual or organization. Plans can be customized to meet diverse needs.