Know the Benefits of Insurance and Types of Insurance Artikel ini telah tayang di Kompas.com dengan judul "Know the Benefits of Insurance and Types of Insurance

 

Know the Benefits of Insurance and Types of Insurance  Artikel ini telah tayang di Kompas.com dengan judul "Know the Benefits of Insurance and Types of Insurance

JAKARTA, KOMPAS.com - Insurance is one type of financial service that is often heard. But in fact, there are still many Indonesian people who do not understand the meaning of insurance benefits . In addition, the types of insurance that are quite diverse also make people often confused about choosing insurance according to their needs. Insurance is an agreement between the insurance company or the insurer and the policy holder or the insured. Quoted from the official website of attitudeiuangmi. ojk.go.id , the agreement becomes the basis for receiving premiums by insurance companies in return for replacing or reducing losses. Also read: Definition of Insurance Terms: Premiums, Policies, and Claims In the agreement, the insured party pays a premium to obtain coverage for the risk of damage, legal liability to third parties that may be suffered by the insured, and receives payments based on the death or life of the insured with benefits whose amount has been determined or based on results. fund management. Thus, when someone insures something, it means that he submits or shares the loss with the insurance company.

In Book 4 of Higher Education Literacy on Insurance published by the Financial Services Authority ( OJK ), several insurance benefits are explained . The insurance benefits are as follows: Providing a sense of security and protection, by having an insurance policy, the insured will avoid the possible risk of financial loss in the future because the object being insured is guaranteed by the insurer. The more equitable distribution of costs and benefits, the greater the possibility of the risk of loss arising, the greater the insurance premium. Providing certainty is the main benefit of insurance because basically insurance seeks to reduce the uncertain consequences of an adverse situation (peril), which cannot be predicted beforehand so that the costs or financial consequences of the loss are certain or relatively certain. A means of saving, for certain types of insurance, the money that is insured has a cash value that can be taken, ie like whole life or endowment insurance. There are also insurance products that are intentionally combined with investment, namely unit links. The instrument for transferring and spreading risk, through insurance, the risk of loss may be transferred and distributed to the insurer. Help improve the business activities of the insured, the insured who will invest in a business field if some of the investment risk (the insured's business) can be covered by insurance to reduce risk. Make life calmer, because all the risks that can be insured have been covered, then life feels calmer. Credit guarantees, insurance policies can be used as credit guarantees (insurance server as a basis of credit) usually only for life insurance and are very selective on certain types of credit and banks.

Also read: So Accident Victims? This is How to Submit a Jasa Raharja Insurance Claim The book also describes several types of insurance. However, because people often find it difficult to distinguish between insurance products and types of insurance, insurance classification is needed so that people can better understand the difference between insurance products and types. In the book, it is explained that the classification of insurance is differentiated based on three things, namely fund management, operational objectives, and types of insurance. For a more detailed explanation as follows: Based on Fund Management There are two types of insurance based on fund management, namely conventional insurance and sharia insurance. Sharia insurance is an effort to protect and help each other among a number of people/parties through investment funds in the form of assets or tabarru' which provides a pattern of returns to face certain risks through a contract (engagement) that is in accordance with sharia. Contracts in accordance with sharia are agreements that do not contain gharar (obscurity), maysir (gambling), usury (interest), zhulum (persecution), risywah (bribes), illicit goods, and immoral acts. Based on Operational Objectives When viewed from the operational objectives, insurance is divided into two groups, namely: Commercial insurance, namely insurance that aims to gain profits for shareholders. This type of insurance is carried out by national private insurance companies, national and foreign private companies (joint ventures) or state-owned companies (BUMN). This company can adhere to conventional principles or sharia principles. Social Insurance, is insurance that provides social security for members of the community established by the government based on regulations governing the relationship between the insurer and all groups of society. The purpose of social insurance is to improve the welfare of the community, especially employees and retirees. The forms of social insurance in Indonesia, for example, are Civil Service Savings and Insurance (Taspen), traffic accident insurance, Social Insurance of the Armed Forces of the Republic of Indonesia (Asabri), BPJS Health, and BPJS Employment.

By Insurance Type There are two types of insurance , namely: Life insurance, is insurance with the object of coverage in the form of a person, and the insured is a person's life. In addition to life, coverage can be extended to health and accidents. This insurance provides a guarantee of protection in the form of transfer of financial risk for the death or life of the insured person. Life insurance aims to cover unexpected financial losses because someone dies too soon or lives too long. For example, guarantees for offspring. This guarantee can be given if someone dies prematurely or suddenly. With this guarantee, their child's life will not be neglected. This guarantee can also be given if a person has reached his age and is unable to earn a living or pay for his children. That's why they buy life insurance. So, the risk that may be suffered, in the sense of losing the opportunity to earn income, will be borne by the insurance company. General insurance, providing guarantees against losses that occur in property, both movable and immovable property, as well as providing legal liability guarantees to third parties who suffer losses. General insurance has many product variants, including: fire insurance, motor vehicles, transportation, travel, ship hulls, plantations, agriculture, airplanes, satellites, third party legal liability, machinery and various other asset loss risks. As with life insurance, general insurance also has products that provide protection for health and personal accidents.