Health Insurance Definition Economics In Hindi
Health Insurance Definition Economics In Hindi! Understand important insurance functions and benefits before deciding to use them. Moreover, understanding of insurance in Hindi is still low. This can be seen from the amount of public participation in insurance is still minimal aka not so many devotees.
In fact, insurance in general or specifically has a very large function and profit to provide compensation for protection funds in the long run, such as property/asset insurance, life insurance, and health insurance. Here we will discuss health insurance definition.
According to the Big Hindi Dictionary, insurance literally means coverage. In Hindi Law or the Commercial Law Act, insurance is defined as an agreement made by two parties or more, where there is mutual engagement between the insurer and the insured.
The insurer accepts insurance premiums from the insured as a manifestation of the risk change paid to the insured caused by certain events in the future. This particular event is commonly understood as a risk if it results in things we do not want.
Life Insurance Health Insurance
Insurance can be seen from a social or financial perspective. According to a social perspective, insurance can be interpreted as a social organization that accepts risk delegation and collects funds from its customers to pay losses against risks that might occur to the customer or member. In summary, insurance protects its customers from these losses which will be borne together.
According to the financial point of view, insurance is a tool used to reduce economic risk by cooperating with a number of work units/people / companies with the same or almost the same risk potential so that these losses can be borne by all parties in the combination. With funds collected in large quantities, these losses can be divided proportionally.
Terms in Insurance You Need to Know
In the world of insurance, there are many terms that you must understand well, including insurance policies, insurance premiums, insurance claims, guarantor, insured, and underwriting. The two terms that are most often expressed are related and insured. Understand both of them well and not to be mistaken or reverse their understanding. Because both will be closely related to the rights and obligations of each.
Health Insurance Definition In Hindi
The term insured in insurance in Hindi is a party that bestows risks, namely the public or insurance customers. Then the guarantor is the insurance company itself which will replace the risk of losses resulting from the events that befall the insured. Insurers in insurance services can be private legal entities or state-owned legal entities.
In addition, there is a term policy for insurance. The insurance policy is a written agreement that is contextual in nature. That is, there is an agreement between the parties that entered into the agreement. Usually, insurance policies contain the rights and obligations of both parties, namely the insured party and the insurer. In the policy (agreement), usually also mentioned the number of premiums that must be paid by customers when entrusting their rights to insurance companies.
Outside the business side, insurance is made by having clear and noble functions and objectives. The explanation in this paper at once convinced people who were still hesitant to take part in insurance. Because most people still think that there is no real benefit that can be felt directly by the following insurance.
The main function of insurance, when viewed financially, is part of one form of risk control. In addition, insurance also has several other primary functions, namely:
Join Insurance Means Active in Risk Transfer
One of the primary functions of insurance, other than as risk control, also functions as a risk transfer mechanism or the transfer of the possibility of risk so that the possibility of uncertainty of losses caused by unexpected events can be ascertained or changed into certainty in the form of compensation loss or compensation for claims from insurance premiums paid.
Risk transfer does not mean eliminating the possibility of misfortune from the insured / insurance customer. However, the risk transfer is intended to provide customers with peace of mind against the possibilities of adverse events. If you see the benefits that will be obtained, maybe the value of the premium paid is very little compared to the risks that might occur.
Health Insurance Definition Of Dependent
Health insurance in Hindi also functions to raise funds from customers or policyholders. The collected funds (from paid premiums) can be used and developed by insurance companies through more profitable investment channels. Because the duty of insurance companies is to raise funds. Therefore, investment is a choice that is often taken so that the money collected can be managed productively.
Investment activities carried out by insurance companies can be done anywhere. And the results of these investments can also be used as a strategy in reducing premium costs. After all, later the premium will also be used together to bail out the risks borne by premium payers or customers.
Insurance More Ensures Balanced Premium
The purpose of the balanced premium function here is that insurance can be relied on as a guarantor for someone’s loss by paying a clear premium and the amount can be accounted for. The size of the premium that must be paid also depends on the premium rate that applies after multiplied by the sum insured.
Premium rates are also known as the rate of premium. In the end, premium payments made by customers or policyholders will be fair or balanced with the risk transferred to the insurer (insurance). This condition is called equitable premium.
Other Functions Of Insurance
In addition to the primary functions above, insurance also still has several other functions, including:
Protection Against Possible Risk of Bankruptcy. Often if an entrepreneur wants to open a new business or expand his business, they always rely on insurance to get protection against the possibility of bankruptcy. Because so far we often see many entrepreneurs who fail to realize their plans, which in the end they discourage them from continuing the development of their business.
When there is an investment in, with insurance, employers can transfer risk. Insurance will provide a sense of security and can be relied upon to keep anxiety away from starting a business. Again the premium paid may not be as big as the risk of bankruptcy that is borne if indeed a failure actually occurs.
Health Insurance Definition What The Terms Mean
From the macro pad scale of health insurance, insurance also triggers economic growth. Because with the existence of insurance, interested parties can focus on the development steps and not worry about the risks due to adverse events. With the number of premiums received by insurance companies, it automatically becomes one of the sources of funding in various investment sectors. In the end, the investment was also aimed at the interests of the wider community.
Can Be Used As Media Investment
Because insurance also has properties such as savings, there is the possibility of accumulating profits from paying insurance premiums. We see today there is a unit link insurance program. That is, customers can invest safely while still getting the opportunity for insurance protection. In addition, especially related to life insurance, the return value of the premium paid can be promising savings. This unit link insurance has also been widely available on health insurance products in Hindi through various insurance companies.
With the availability of unit link-based health insurance, customers will certainly be more helped because besides getting health protection, they can also enjoy long-term investment returns. Remember that the money we pay in insurance will not expire and can be claimed according to agreed rules. Apart from some of the functions mentioned above, there are actually many other insurance functions, such as reduction of loss, closing loss of earnings power, etc. with a variety of advantages as described below.
Looking at the various insurance functions above, we can draw conclusions about the benefits obtained from insurance. Although the target of this insurance is individuals or individuals, the benefits can actually spread to the wider community. For example, the insurance function as invisible earnings, which can be national or international. With the invisible exports activities carried out by insurance companies, which are selling insurance abroad or transferring part of the risk to foreign parties, this will automatically increase the country’s foreign exchange. With the increase in foreign exchange, the benefits will be felt by many people in the country.