INSURANCE ZONE - Insurance guide

UK insurance and insurance guides - for all your insurance needs

These pages explains the underlying theory behind insurance. For practical details of various types of insurance, click on the various topics in the sub-menu to your right.

Insurance is a contract between two parties under which one party, in return for a payment known as the premium, agrees to pay compensation for any financial loss or damage sustained by the other, providing such loss or damage is covered by the agreement, known as the policy.

Insurance is thus a method of sharing risks so that the burden of risk associated with living and the conduct of business activities can be shared and therefore not fall to heavily on any one party.

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