Economics, Econometrics and Finance
3 years ago

Life insurance consumers shift focus from risk minimization to loss compensation.

SSRN Electronic Journal
Changing Social Paradigm of Life Insurance Consumers
Venkata Sai Srinivasa Rao Muramalla

Paper Summary

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Insurance is not about avoiding risk, but about getting compensation for it. People buy insurance to cover potential losses from events. In India, insurance is divided into life, fire, marine, and miscellaneous categories. Life insurers handle life insurance, while general insurers cover everything else. Composites are not allowed by law.