Feature or Nature of Fire Insurance with the Short History of Fire Insurance

you get ...

• Features of fire insurance.
• The essence of fire insurance.
• A brief history of fire insurance

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Fire insurance does not have a long history. The real fire insurance business did not begin until after the Great Fire of London in 1666 .

The fire, which lasted four days and four nights, scorched and burned more than 436 hectares of land and more than 13,000 buildings, it was the main major fire of the past and really stirred up the public to demand the presence of security personnel. with disaster. .

The main reason for the slow development is the slow growth of trade and commerce. After a certain period, when trade and commerce reach a high level, fire insurance gives a real boost. Previously, there was no source from which payments could be made.

There are a few distractions that add to the incredible progression. As knowledge expands, data is collected and fee rates become more scientific and fair.

The results of the examination also led to a general understanding of the principles of fire insurance. With the growth of experience and competition, fire insurance has received its current scientific form. Although the growth of fire insurance has not been as great and large as that of life insurance.

Section 2 of the Insurance Act 1938 defines fire insurance as "the business of contracting for protection against fire or accidental loss or other incidents, generally against the insured risks of fire". defense policy".

A fire incident will not only result in loss or damage to property but also other losses such as loss of income.

The purpose of fire insurance is to provide a sensitive form of financial loss caused by fire. Fire insurance does not work to recover deductibles called "fire waste." This type of impairment disrupts the cash flow of the business, except by initiating cash discounts to owners.

Despite the constant efforts of human invention to achieve complete control over fire, material property can be damaged or destroyed to varying degrees by the release of a compressed flame.

Some of the properties insured are structures, electrical installations, building materials such as machinery, plant and equipment, etc., raw materials, work in progress, finished products, street or building products, household products. , shops, hotel furniture, fixtures and fittings and other movable and immovable property.

Fire insurance is a mechanism to cover damages caused by fire. Thus, the fire insurance company shifts the issue of chimney failure from the actual victim to one or all sections of society.

This is a general landing gear. This relieves the insured of his aversion to the absence of fire before he discovers it.