There are Many Definitions of Insurance

There are many definitions of insurance, which on the face of no similarity between the definition of one with the other. They define in compliance with the point of view of their use in respect of insurance, which in accordance with the above description that insurance can be seen from several angles.


Prof. Mark R. Green:
"Insurance is an economic organization which aims to reduce the risk in a way to combine the management of a number of objects large enough amount, so that the overall loss can be predicted in certain limits."


Prof. Mehr and Cammack:
"Insurance is a tool to reduce the financial risk, with how these units Exposure in the amount sufficient, in order to make the individual losses can be estimated. Then the loss can be predicted that dipikul evenly by those who joined".


William C. Arthur Jr. and Richard M. Heins,
which defines the insurance based on two perspectives, namely:

a. "Insurance is a security against the financial loss by an insurer."

b. "Insurance is an agreement by which two or more persons or entities to gather funds to cope with financial losses."