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The term fire denotes a condition of burning or visible flame accompanied by heat. Fire insurance contract is an important and popular form of insurance for the business world.

Insurance is a contract between two parties where one party called the insurer agrees to indemnify the loss suffered by the other party called the insured.

Life insurance contracts can be distinguished from other insurance contracts on the following points:

The contract of insurance came into existence when the assured has an insurable interest in the subject-matter of insurance.

Double insurance denotes insurance of same subject matter with two different companies or with the same company under two different policies.

The word indemnity denotes security or protection against loss. The effect of indemnity to insurance protects the insured from losses.

There are various types of marine policies. These are:

The subject matter of marine insurance covers:

Insurance is a system of spreading the losses of an individual over a group of individuals. Insurance is a plan by which large number of people associate themselves and transfer the risks of an individual to the shoulders of all.

Marine insurance is concerned with overseas trade. International trade involves transportation of goods from one country to another country by ships.

A guarantee insurance is a type of insurance contract where the insurer agrees to indemnify the insured for a fixed sum against losses through fraud, dishonesty and breach of contract by a third party.

Generally, the words insurance and assurance are considered to mean the same thing but their meaning is different. The word assurance is used for like assurance policies.

Risks are regarded as the part of the business and as such these are to be faced by the business. Some risks are shifted to specialized institutions like insurance company

There are various ways in which risks can be reduced. The following are some of the major risks reduction measures:

The possibility of some unfavorable occurrence is termed as business risks. it denotes the chances of loss.

Transportation denotes carrying of men and cargoes from one place to another. It is a service which helps in carrying of men and cargoes from one place to another.