insurance Archives - Free ZIMSEC & Cambridge Revision Notes

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 […]

Comments Off

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 […]

Comments Off

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 […]

Comments Off

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 […]

Comments Off

Documents used in Insurance

By garikaib|2025-02-12T09:04:13+02:00February 12th, 2025|Notes, O Level Commerce Notes, Ordinary Level Notes|

Image credit alleencareer.com Image credit allincareer.com ZIMSEC O Level Commerce Notes: Insurance: Documents used in Insurance

Documents used in insurance

The following documents are used in insurance:

Prospectus.

Shows the types of risks that can be covered.
Shows the name of the insurance company.
Contains premium to be paid.
States compensation to be paid.

Proposal form

An application for […]

Comments Off

Insurance Assesors

By garikaib|2025-02-12T09:05:05+02:00February 12th, 2025|Notes, O Level Commerce Notes, Ordinary Level Notes|

Image credit pixbay.com Image credit pixbay.com ZIMSEC O Level Commerce Notes: Insurance: Insurance Assesors

Assessors

Work for the insurance companies.
When a risk has occurred they:
Assess details on the claim form.
Examine the damaged item.
Ascertain the exact cause of the loss.
Calculate the cost of the damage.
Determine what has been damaged.
Calculate and recommend the amount […]

Comments Off

Business Insurance

By garikaib|2025-02-12T09:06:22+02:00February 12th, 2025|Notes, O Level Commerce Notes, Ordinary Level Notes|

Business Insurance. Image credit vitasinsurance.com ZIMSEC O Level Commerce Notes: Insurance: Business Insurance

Transit insurance.

Covers goods during the transportation from the time they are loaded onto the transport vehicle until the time they are offloaded at their destination.
The policy may be specific e.g. it states the […]

Comments Off

Exports Credit Guarantee Department (ECGD)

By garikaib|2025-02-12T09:07:05+02:00February 12th, 2025|Notes, O Level Commerce Notes, Ordinary Level Notes|

Image credit ncbcp.org ZIMSEC O Level Commerce Notes: Insurance: Exports Credit Guarantee Department (ECGD)

Also known as Export Credit Guarantee Corporation (ECGC)in Zimbabwe.
Covers risk of non payment by importers due to:
lack of foreign currency.
Political instability.
Outbreak of war.
Overseas state interferences.
Provides comprehensive policies to cover the whole of export businesses […]

Comments Off

Vehicle Insurance

By garikaib|2025-02-12T09:07:50+02:00February 12th, 2025|Notes, O Level Commerce Notes, Ordinary Level Notes|

Image credit netcarshow.com Image credit netcarshow.com ZIMSEC O Level Commerce Notes page: Insurance: Vehicle Insurance

Vehicle insurance.

There are many types of vehicle insurance viz:

Third party insurance

Is compulsory under the Road Traffic Act (RTA)
Applies to motor vehicle insurance.
Covers claims from the public who may be injured by the vehicle.
Covers public property damaged […]

Comments Off

Marine Insurance

By garikaib|2025-02-12T09:08:02+02:00February 12th, 2025|Notes, O Level Commerce Notes, Ordinary Level Notes|

Image credit nauticalexpo.com Image credit nauticalexpo.com ZIMSEC O Level Commerce Notes: Insurance: Marine Insurance

Marine insurance

Covers against losses occurring at sea.

Cargo insurance

Covers against loss of goods transported by sea or goods transported by ships at sea.
Covers against damages or loss of goods during transportation.
Can be voyage policy ie. Cargo is insured […]

Comments Off

February 2025