Insurance, in law and economics, is a form of risk management primarily used to hedge against the risk of potential financial loss. Insurance is defined as the equitable transfer of the risk of a potential loss, from one entity to another, in exchange for a premium and duty of care.

Principles of insurance

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Losses must be uncertain.

The rate of losses must be relatively predictable: In order to set premiums (prices) insurers must be able to estimate them accurately. This is done using the Law of Large Numbers which states that: The larger the number of homogenous exposures considered, the more closely the losses reported will equal the underlying probability of loss. If the coverage is unique, the insured will pay a correspondingly higher premium. Lloyd's of London often accepts unique coverages. (e.g., the insuring of Tina Turner's legs and Jennifer Lopez's buttocks)

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Great nite to be an American! Health reform bill passed House vote! Clear msg has been sent to crooked-ass insurance cos. YES WE CAN!!
DrDecadence (Dr. Decadence) Sun, 08 Nov 2009 06:29:37 -0000
Great nite to be an American! Health reform bill passed House vote! Clear msg has been sent to crooked-ass insurance cos. YES WE CAN!!
@joshuaseo depends on how much you make but you'll be buying insurance or paying a penalty.
Skitzzo (Ben Cook) Sun, 08 Nov 2009 06:29:30 -0000
@joshuaseo depends on how much you make but you'll be buying insurance or paying a penalty.
Just got back from the e.r. Now if u have no insurance they want 250.00 upfront thanks to obamas new health care bill
camaroapril (april porter) Sun, 08 Nov 2009 06:29:18 -0000
Just got back from the e.r. Now if u have no insurance they want 250.00 upfront thanks to obamas new health care bill
@sarahntastic Please don't imagine you are the only one who has been there. I don't have insurance either.
hyperlocavore (Liz McLellan) Sun, 08 Nov 2009 06:29:18 -0000
@sarahntastic Please don't imagine you are the only one who has been there. I don't have insurance either.
Drudge, WND distort health care bill to fearmonger about cost of insurance, possibility of jail time http://bit.ly/1uaJ0S [MediaMatters.org]
sophiaperennis (sophiaperennis) Sun, 08 Nov 2009 06:29:03 -0000
Drudge, WND distort health care bill to fearmonger about cost of insurance, possibility of jail time http://bit.ly/1uaJ0S [MediaMatters.org]
Quality Cover with Online Travel Insurance: Anyone who is planning on going on holiday either overseas or in Au.. http://tinyurl.com/yb65swy
articles4author (articles4authors) Sun, 08 Nov 2009 06:28:57 -0000
Quality Cover with Online Travel Insurance: Anyone who is planning on going on holiday either overseas or in Au.. http://tinyurl.com/yb65swy

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