ECONOMICS (CBSE/UGC NET)

Detailed explanation-1: -Having business insurance in place helps the business to reduce financial losses when an unfortunate event occurs.

Detailed explanation-2: -Buying insurance is important as it ensures that you are financially secure to face any type of problem in life, and this is why insurance is a very important part of financial planning. A general insurance company offers insurance policies to secure health, travel, motor vehicle, and home.

Detailed explanation-3: -Business insurance protects businesses from any financial loss or damage that occurred during the everyday operations. A policyholder gets the coverage for risks related to employees, damage to property as well as legal liabilities. Such incidents can cause a major setback to your business.

Detailed explanation-4: -General liability insurance, also known as business or commercial liability insurance, is essential coverage for various claims, including bodily injury, property damage, personal or advertising injury, medical payments, products-completed operations, and damages to premises rented to you.

Detailed explanation-5: -Importance of Insurance to Businessmen Security and Safety: It gives a sense of security and safety to the businessman. It enables him to receive compensation against actual loss. He can concentrate on his business with a secure feeling that in case of losses arising from insurable risk, his losses will be compensated.