Definition of INSURANCE 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 a specified premium is known as insurance. Types of Insurance Here are few of the main types of insurance- Life Insurance Health Insurance Vehicle Insurance Home Insurance General Insurance Life Insurance Life insurance is applied on an individual during his life and will provide financial protection to one's family after their death. Their family will receive pensions on a monthly basis. This is the most common and most used type of insurance. Health Insurance The second most common type of insurance after life insurance. Health insurance is applied to an individual if they have fallen ill. By health insurance, they'll be given financial protection. Vehicle Insurance Vehicle insurance's primary use is to provide financial protection against physical d...