insurance Archives - Free ZIMSEC & Cambridge Revision Notes

Introduction,basic concepts and importance of insurance

By garikaib|2025-02-12T08:57:19+02:00February 12th, 2025|Notes, O Level Commerce Notes, Ordinary Level Notes|

Image credit moneychoice.org ZIMSEC O Level Commerce Notes: Insurance: Introduction,basic concepts and importance of insurance

Insurance is the pooling of risks.
an arrangement by which a company or the state undertakes to provide a guarantee of compensation for specified loss, damage, illness, or death in return for payment of […]

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Functions of insurance brokers

By garikaib|2025-02-12T09:11:26+02:00February 12th, 2025|Notes, O Level Commerce Notes, Ordinary Level Notes|

Insurance brokers. Image credit imagefiesta.com ZIMSEC O Level Commerce Notes: Insurance: Functions of insurance brokers

Functions of insurance brokers.

They bring into contact the public seeking insurance cover and insurance companies.
Are agents of insurance companies.
Gather information on insurance companies or types of policies that these offer.
Give expert advice […]

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Importance of statistics to insurance

By garikaib|2025-02-12T08:58:26+02:00February 12th, 2025|Notes, O Level Commerce Notes, Ordinary Level Notes|

Image credit dhariya.com ZIMSEC O Level Commerce Notes: Insurance: Importance of statistics to insurance

Importance of statistical records in insurance.

Actuaries make extensive use of statistics in insurance
Insurance contracts are based on the statistics.
Risk is asses to determine whether:
It can be accepted or not.
Help in determining a fair premium.
At […]

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Functions of insurance underwriters

By garikaib|2025-02-12T09:11:57+02:00February 12th, 2025|Notes, O Level Commerce Notes, Ordinary Level Notes|

Old Mutual. Image credit thezimbabwedaily.com ZIMSEC O Level Commerce Notes: Insurance: Functions of insurance underwriters

Functions of underwriters.

Are insurers (insurance companies) who provide insurance cover.
Assess risks (examine details in the proposal form)
Cover or accept risks by:
Singing their names against risks they have agreed to cover.
Charge and […]

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Insurable Interest and utmost good faith

By garikaib|2025-02-12T08:59:59+02:00February 12th, 2025|Notes, O Level Commerce Notes, Ordinary Level Notes|

Image credit classicsandcustoms.com ZIMSEC O Level Commerce Notes: Insurance: Insurable Interest and Utmost good Faith

Insurable interest

Enables one to insure one’s own property.
Where the insured should directly suffer financial loss if the risk occurs.
One cannot insure the property of another.
Because on has no insurable interest.
If one insures the […]

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Indemnity: Subrogation and Contribution

By garikaib|2025-02-12T09:01:15+02:00February 12th, 2025|Notes, O Level Commerce Notes, Ordinary Level Notes|

The wreck belongs to the insurance company after compensation is paid. Image credit damagemax.com ZIMSEC O Level Commerce Notes: Insurance: Indemnity: Subrogation and Contribution

Indemnity

Is the compensation paid to the insured after they have suffered a loss.
It […]

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Proximate cause and the Average clause: Under and over insuring

By garikaib|2025-02-12T09:02:01+02:00February 12th, 2025|Notes, O Level Commerce Notes, Ordinary Level Notes|

Image credit yourinsurancequestion.com ZIMSEC O Level Commerce Notes: Insurance: Proximate cause and the Average clause: Under and over insuring

This prevents the insured from making a profit by:

1) Under-insuring a risk or paying less premiums.

When a loss is incurred under such circumstances the insurer will not indemnify the […]

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How to take out an insurance policy?

By garikaib|2025-02-12T09:02:39+02:00February 12th, 2025|Notes, O Level Commerce Notes, Ordinary Level Notes|

Image credit anu.edu.au Image credit anu.edu.au ZIMSEC O Level Commerce Notes: Insurance: How to take out an insurance policy?

How to take out an insurance policy.

The prospective customer makes contact with the insurance company or obtains an insurance prospectus.
The risk one intends to insure is discussed with an insurance broker.
A quotation […]

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