There are several types of general insurance policies. General insurance policies are all non-life insurance policies that are undertaken by individuals. The product you go for will largely depend on your need and the level of risk you want to be covered for. These types of general insurance policies can be grouped under six major headings, namely; Travel insurance, worker’s compensation, mortgage insurance, business insurance, motor vehicle insurance, and home and contents insurance.
These are the types of general insurance policies that an individual undertakes in order to cover risks associated with travelling. In this policy, risks such as lose of property (luggage) and accidents are covered by the insurance company. The type and extent of cover you go for will depend on the type of journey you are undertaking and the duration of the journey. Usually, longer durations attract higher premiums than short journeys.
Workers compensation insurance
These types of general insurance policies are increasingly becoming popular because of the clamor for employees to be treated fairly and justly by their employers. A typical worker’s compensation plan will cover any risk associated with the job that results to loss of life or injuries to the employee. Those that take up occupations that are hazardous are expected to take up this policy, and the premium is usually paid by the employers.
Here, the insurance company insures the policy holder against risk of loss of property through theft, fire destruction, or natural disasters. The policy can include a single clause like natural disaster or a combination of several clauses. Usually, the more clause included in the policy the higher the chance of occurrence and the higher premium charged by the insurance company. These types of general insurance policies can either be on a home property or an office building.
These types of general insurance policies are undertaken by business organizations to protect their business against unexpected occurrence that can lead to closure or loss of profits. A typical business insurance can cover freight risk, liability risks, fire incident and other risks that can lead to closure of the business. Again, the more clauses included in the policy the higher the amount of premiums to pay.
Home and content insurance
This provides cover for loss of property through burglary, theft, fire, and natural disasters. It is similar to the mortgage insurance but different as it covers a wider spectrum of clauses which includes both the home and properties in the home.
Motor Vehicle Insurance
These are the most common types of general insurance policies. This policy mainly covers the risk of car theft and accident, although there are other clauses that may be included depending on the anticipated risk. The premium for motor vehicle insurance can either be paid by the car dealer or the car owner, depending on the agreement reached.
There are other types of general insurance policies offered by different insurance companies. They include:
* Public and Products Liability
* Professional Indemnity
* Product Recall
* Pet Insurance
* Motor Vechicle
* Medical Indemnity Insurance
* Marine Insurance
* Farm, Crop and Livestock
* Extended Warranty
* Cyber Risk
* Consumer Credit