Insurance Service

From Open Risk Manual

Definition

Insurance Service. A financial service in which the insurer promises to provide compensation for specific potential future losses in exchange for a periodic payment

Insurance providers invest the compensation they receive in order to make a profit. In general, insurance transfers risk from individuals or organizations to a larger pool of individuals or organizations that are better able to mitigate that risk.

See Also

  • Barron's Dictionary of Finance and Investment Terms, Ninth Edition, 2014


Disclaimer

This entry annotates a FIBO Ontology Class. FIBO is a trademark and the FIBO Ontology is copyright of the EDM Council, released under the MIT Open Source License. There is no guarantee that the content of this page will remain aligned with, or correctly interprets, the concepts covered by the FIBO ontology.

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