Explain each of the following classes of insurance:
(a) Marine insurance
(b)Accident insurance
(c)Group insurance
(d) Fidelity Guarantee insurance
(e) Consequential Loss Insurance.
Explanation
(a) Marine Insurance: This is the type of insurance that covers possible losses in respect of ships and goods against the perils of the sea e.g. Hull, Time, Voyage, Cargo.
(b) Accident Insurance: This makes provision for compensation against injuries or hazards which may occur to a Yt person or group of person which may include personal accident, employers liability, accident to property.
(c) Group Insurance: This is the type of policy that is taken to cover a number of people (students on excursion football teams, employees’) instead of issuing each person with a separate policy.
(d) Fidelity Guarantee Insurance: This is a policy taken by an employer to cover losses resulting from employees’ dishonesty and fraudulent practices.
(e) Consequential Loss insurance: This is taken to cover lose of revenue to a firm as a result of being out of business after a fire incidence.