Personal Insurance | types of personal insurance | income insurance

 

Personal Insurance;   

                             

personal-insurance

                                

                             Personal insurance is the one whose purpose is to cover the risks that affect people, their life, physical integrity or health. According to this author "contrary to what happens in damage insurance, there is no objective limitation on the amounts that can be received as a result of a claim. In most cases, the agreed guarantee is calculated as an amount payable in the event that any of the situations provided for in the contract, relating to the person of the insured (death, temporary or permanent disability, etc.) "Or benefits aimed at restoring lost health (medical services, hospitalization, etc.). 

                                    "The personal insurance contract includes all risks that may affect the existence, bodily integrity, or health of the insured ".

                                             

                     This, then, is the area of personal insurance, as opposed to insurance for damage to things or those that affect people's assets or responsibilities.

                     In reality, such a distinction between personal insurance, damage and property insurance (also called civil liability), starts from the very concept of risk and the diversity of its classes.

                    The insurable risk understood as the possibility of occurrence of a future event, beyond the control of the parties, uncertain and economically unfavorable, which can be measured by procedures.

                    The insurable risk understood as the possibility of occurrence of a future event, beyond the control of the parties, uncertain and economically unfavorable, which can be measured by technical-statistical procedures and affects a sufficient mass of subjects, can be effectively classified into three groups: 

                     > Personal risks

                 > Risks that affect things.

                  >Risks affecting assets or liabilities globally considered.

                 The fundamental distinction between the different types of risk, which it bears parallels with its corresponding insurance coverage, it lies, not only in the different object on which the risk falls - people on the one hand;

                                                                                   Properties, assets, or liabilities, on the other - but also in the different nature of the obligation that the insurance company assumes.

                   "The contract insurance is the one for which the insurer undertakes, by collecting a premium and in the event that the event occurs whose risk is subject coverage, to compensate, within the agreed limits, the damage produced to the insured or to satisfy a capital, an income, or other agreed benefits ".

                                           

                     The obligation therefore of the insurer can be expressed in two different ways:

                                        > Obligation to compensate for damage.

              > Obligation to satisfy capital, income, or other agreed benefits.

                     This last terminology is what the Insurance Contract Law repeatedly quoted uses when referring to personal insurance.

                        Hence, in these, one cannot actually speak of a function indemnity insurance, but only to satisfy benefits agreed, established according to the subjective criteria of the policyholder according to their financial possibilities.

 

CLASSES OF PERSONAL INSURANCE;

                                                                  Offers a first classification of personal insurance, depending on the type of risk that the human person may suffer:

                                           >  Insurance on the risks that refer to the existence of persons, that is insurance in case of life or in case of death. In particular, this group includes all types of life insurance, the specific case of life insurance deaths or burial and also death insurance for accident.

                > Insurance Affecting Integrity Maintenance Risk people's bodies, that is insurance that covers the risk of injuries of any nature. It's about insurance incapacity or disability.  

               > Insurance on the risks that affect people's health, that is, health care insurance and health insurance.

                              Expanding and deepening this classification, we arrive at the classic division into the following insurance lines:

                                                        

Ø Life insurances;

                               They cover the risk that the insured or insured will die or survive from a given moment.

In turn, they can be classified as follows:

 

Ø For the risk covered in the contract;

                                                                Death insurance also called death insurance risk:

                                             They guarantee the payment of an agreed sum or sums, in case of death of the insured.  

        > Life insurance also called savings insurance: Guarantee the payment of a capital or an agreed rent if the Insured lives on or after a certain date.

 

Ø By the number of people covered in the contract;

                                                                                    >Individual insurance (on an insured head):  The insured is a natural person whose life the insurance is contracted for sure.

> Insurance on two or more heads:

                                                                 The risks covered are referred to as the life or death of one / s insured heads related to the survival or death of the other / s.

 >Group or group insurance: inclusion in a single insurance contract the life insurance of several insured persons, but whose benefits are independent of each other, or in other words, the benefits in favor of one insured / s are not linked to the survival or death of another / s.

  

Ø For the duration of coverage;

                                                    > Temporary insurance: the insurance ends within the stipulated period.  

>Life insurance: the insurance ends at the time of

Death of the insured.

                                                

 

Ø For the insured benefits;

                                            > Capital insurance: the insured benefit is a sum that the insurance company will pay in case of the event covered object.

    >Income insurance: the insured the benefit is a succession of periodic payments that the insurance company must make to the occur the insured event, for a specified time or while the beneficiary lives.

>Insurance with constant benefits.

 >Insurance with variable benefits (increasing or decreasing).

>Insurance with or without profit sharing.

 

Ø For the form of payment of premiums;

>Single premium insurance.

>Temporary premium insurance, with annual or fractional payment.

> Life premium insurance, with annual or fractional payment.

> Insurance with premium payment for the entire duration of the sure.

> Insurance with premium payment for a period less than the

Duration of insurance.

 

Ø Accident insurance;

·                For the risks covered;

            > Insurance that covers the case of death by accident.

            > Insurance in case of disability by accident, in its different

Degrees: permanent or temporary, total, or partial.

 By the scope of coverage;

                                > Insurance in the professional field.

                               > Insurance in the extra-professional field.

 By the number of people covered in the contract;

 > Individual insurance.

 >Cumulative or group insurance.

 

Ø Health insurance;

·       By type of benefits, they are classified as:

                                                    > Health insurance proper, in which the benefits consist of financial subsidies in case of the insured's illness.

>Health care insurance, in which the benefit is concrete in the medical and surgical assistance service, without that there are financial benefits in favor of the insured.

                                       

 

Ø Death insurance;                                

                                   Whose coverage consists of the payment of the cost of a service burial, in case of death of the insured? In certain cases, economic benefits are also offered within the policy.

    However, given that, in practice and in positive law,the                        Accident insurance does not repair the damage but rather                    satisfies a capital or another previously agreed lump sum benefit,      regardless of the real economic consequences that the loss                  produces, it must be concluded that accident insurance benefits          are of a non-specific nature indemnification and can be                      classified within the insurance of people. This is how we have            considered it in the present work.