INSURANCE IS THE SPECIFIC TYPE OF ECONOMIC RELATIONS DESIGNED TO PROVIDE THE PROTECTION OF INSURANCE SAFETY FOR PEOPLE AND THEIR INTERESTS FROM VARIOUS HAZARDOUS OCCURRENCES.
Insurance (insurance business) in a broad sense - includes various types of insurance activities (insurance itself, or primary insurance, reinsurance, co-insurance), which together provide insurance protection.
Insurance in the narrow sense is a relationship (between the insured and the insurer) for the protection of the property interests of individuals and legal entities (insured persons) when certain events (insurance events) occur at the expense of monetary funds (insurance funds) formed from insurance contributions paid by them (insurance premiums).
The relationship between the insurer and the insured, which determines exactly how the insurance fund will be formed and how it will be spent, represents a method of creating insurance products. In the process of historical development, three methods of creating insurance products were developed: self-insurance, mutual insurance, commercial insurance.