Insurance – referát do angličtiny
In business, insurance has great importance. It is an aid to trade; businessmen can insure themselves against loss or damage to their property.
Importers and exporters must insure their goods while in transit, their stocks and other company property; they must recompense their employees if they are injured while working for them.
The Principles of Insurance
Insurable interest: It means that we must have a direct personal interest in the effect of a loss against which we are insuring. It applies to every contract of insurance.
Utmost Good Faith: It means that the person wishing to be insured must be absolutely open and honest in his dealings with the insurance company. It also applies to every contract of insurance.
Indemnity: It means that a person suffering a loss after insuring against it will be indemnified for the amount of the loss. He will be restored as nearly as possible to the condition that he was in right before the loss occurred. But the insured is not allowed to make a profit out of a loss. It applies to all contracts of insurance except personal accident and life insurance.
The written contract between the insurers and the insured is called the policy.
Insurance companies can only cover you against those risks whose statistical probability can be calculated with a high degree of certainty.
Insurable risks include such items as
fire,burglary,storm,collision,explosion,breakage,marine disasters etc.
It protects the insured person against his liability to pay compensation for losses caused to others by his own actions, and for whom he is responsible.
Product liability: It means that the manufacturers are liable for their products and should compensate their customers for any injuries their products cause.
Reinsurance is the sharing of a large risk among two or more insurers, each of whom takes responsibility for a fixed part of any loss, and receives a like proportion of the premiums.
The premium is the regular payment that has to be made by the insured under the terms of a policy. The insurers decide it.
It covers loss or damage to goods during sea transport. Insurers distinguish between total and partial loss, major perils and minor perils, and losses voluntarily incurred and those involuntarily incurred.
General average (=damage) is damage resulting from a voluntary loss.
Particular average is a partial, but an involuntary and accidental loss.
Floating Policies and the Open Cover
Regular exporters who make many shipments a year often go in for Floating Policies or Open Covers. They estimate the number of shipments they are likely to make in the coming year, and the total value.
They can take out a Floating Policy for this figure, under which every shipment is automatically covered.
Open Cover is slightly different. It is non-reducing; although it is usually only valid for twelve months, there is no total figure for any individual shipment. Such a contract is negotiated annually, at fixed rates for each type of goods.
The industry in the UK is broadly made up of 3 groups: insurance companies,Lloyd’s and insurance brokers.
The insurance companies and Lloyd’s combined provide a major reinsurance market. London’s importance as an insurance centre, as well as its comparative freedom from excessive regulation,has attracted many foreign reinsurance companies and brokers.
Insurance companies: There are around 850 insurance companies authorised in the UK but approx. one half of them handle more than 90% of company market business. They provide the full range of insurance contracts including life,pensions, permanent health insurance,marine,aviation,fire,accident,motor,travel and household insurance.
Lloyd’s: A unique international insurance market. Lloyd’s is a socicety of underwriters made up for mor than 26000 members or „names“ who as a private individuals,accept insurance risks and are liable for claims to the full extent of their personal wealth. The members are grouped in some 350 syndicates. Business is introduced by Lloyd’s broking fimrs who look for the best quotation on behalf of their clients. Although its origins lie with marine insurance,Lloyd’s now covers almost any risk. More than three-quarters of this busines originates from overseas and its premium income is 24m/day
Insurance brokers: Brokers or intermediaries look for the best cover for their clients and offer advice on insurance. Their size can range from a simple one-man operation to a City-based international broker with a turnover running into millions. Brokers place their business with theinsurance companies and with Lloyd’s. Brokers handle app. 70% of the general UK insurance business.