Many attempts have however been proffered as to open a concise meaning to his term insurance Market. Before other attempts are been carried out as regards throwing light to the concept of the insurance market, it will be very necessary to get to understand the concept separately.
Insurance is said to be a contract that takes place between two or more parties represented by a policy in which an individual receives financial protection or reimbursement against losses, damages or theft from an insurance company. There are however four major kinds of insurance and they are; Life insurance, Business Insurance, health insurance, and disability insurance. Like it was clearly stated insurance can either be done by an individual or an organization or an entity. Their finance is been offered to the company all I the name of premium and they are been insured of which when anything happens, it is the duty of the insurance company to compensate them through the agreed term as stipulated in the Policy.
A market has however been described to be a place in which exchange occurs, as well as buying and selling, is currently ongoing. It can also be said to be a Medium in which the buyer and the seller exchange values for goods and services. Thus, one most important thing here is that in every market, there must be an exchange.
The insurance market is therefore said to be a place of which may not necessarily entail meeting physically in the office because most times these insurance marketers go to their house to make known their different services available for rendering; they can also be called agents or brokers. Thus, insurance market consists of a place in which there are buyers of insurance, sellers of insurance, as well as the agents or brokers who stand as the intermediaries and bring both persons (customers and sellers of the insurance together). To postulate further it can also consist of other bodies such as the regulators, representatives, consultants and technical advisers who are part of the Market. Thus, from the definition above, it becomes clear enough that the insurance market is a very broad one at that.
BUYERS
There are people in whom they have valuable interest as regards insurance; that is to say legally recognized relationship with properties as well as pecuniary interest. This relationship may arise from ownership, partly ownership or the responsibilities for goods or liability to pay damages or certain benefits. The buyers can be an individual, company, an entire family, multinational corporations, health institutions, factories, transport industries as well as oil and energy industries.
SELLERS
The sellers are referred to as the insurance company that sells the insurance. There are different aspects as well as types of insurance companies, while some offers insurance for health, others offers insurance for business, some for life etc. this shows that insurance can truly have a huge effect in our century today.
BROKER, AGENTS OF INTERMIDIARIES
These are another set of individuals in which have the place of acting as marketers most times for an insurance company. They are most times referred to by a Layman as a middle person.
It is worthy to conclude at this point that the Insurance market involves the buying and selling of insurance-related goods and services etc.
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