82,891
edits
Insurance: Difference between revisions
no edit summary
Amwelladmin (talk | contribs) No edit summary |
Amwelladmin (talk | contribs) No edit summary |
||
| Line 1: | Line 1: | ||
In concept a great idea. In practice, often a stupid one which creates risks, costs and bureaucracy where none would otherwise exist.<ref>I told you I was a contrarian, didn’t I?</ref> | {{g}}In concept a great idea. In practice, often a stupid one which creates risks, costs and bureaucracy where none would otherwise exist.<ref>I told you I was a contrarian, didn’t I?</ref> | ||
An [[insurance]] contract protects a person of limited resources from a remote but outsized [[risk]]. The theory is that by being a small part of a large class of people each of whom paying an affordable running [[premium]], you are protected from colossal costs that may never happen. Thus you mutualise your risk of [[loss]]. | An [[insurance]] contract protects a person of limited resources from a remote but outsized [[risk]]. The theory is that by being a small part of a large class of people each of whom paying an affordable running [[premium]], you are protected from colossal costs that may never happen. Thus you mutualise your risk of [[loss]]. | ||