Word: Insurance

Pronunciation

/ɪnˈʃʊrəns/

Definitions

• Noun: A financial arrangement in which an individual or entity receives protection or compensation against losses from an insurance company, in exchange for paying premiums. The coverage can be for various eventualities such as accidents, illness, property damage, liability, or death.

  • Example: “Having car insurance is mandatory in most states.”
  • Example: “She bought life insurance to ensure her family’s financial security in case something happened to her.”

Phrases

• “Take out insurance” means to purchase an insurance policy.
• “Insurance policy” refers to the legal contract between an insurer and insured that outlines the terms and conditions of the insurance coverage.
• “Actuarial science” underpins the calculation of insurance premiums based on statistical risk assessment.
• “Claim on one’s insurance” refers to the process of requesting compensation from an insurance company after an insured event occurs.

Example Sentences

• Noun: “It’s wise to have comprehensive health insurance to cover unexpected medical expenses.”
• Noun: “The homeowners had to file an insurance claim after their house was damaged by fire.”

Synonyms

• Coverage
• Assurance
• Protection
• Indemnity
• Policy
• Risk management
• Guarantee
• Surety
• Insuring (as a verb)