We have all heard of insurance- car insurance, pet insurance, home insurance- but what does it actually mean? Generally, insurance is a sum of money which you pay in order to protect your personal property in the event damage may occur. If it’s yours- you can insure it!
You may be asking “wait, why can we not just pay for the damage, instead of insuring them in case something goes wrong?”. To explain this, take a look at an example of a family without insurance. If the family pet gets ill, they are able to pay for the surgery needed for the pet to get better. However, the next week, their house may be flooded and water damage may occur. They may not be able to pay for this damage by themselves- however- if they had insurance the costs would be covered.
The amount of money an individual might pay for their insurance is known as a premium, and this amount of money will depend on the person. For instance, a good premium will be given to someone who is classed as a low risk, and a bad premium will be given to someone who is classed as a high risk.
The things we have discussed above are all common possessions to be insured, but what about the complicated, unusual, or expensive insurance needs? That is where The London Insurance Market comes in. It is made up of specialist insurers who are experts in the topic they insure. For example, a KPOP insurance specialist would know how much it would cost if a member of a group was to lose their voice halfway through their tour.
What do we mean by obscure insurance needs? Take a look at some of the items below, and how much they are insured for!
- Miley Cyrus’s tongue- $1 million.
- The taste buds of the Cadburys’ chocolate tasters- $1 million.
- David Beckham’s legs- $195 million.
To find out more about DXC Digital Minds and The London Insurance Market, take a look at their website here.
Check this out: Funding 101 >>