What are the three types of compulsory insurance?

• Workers' compensation insurance is compulsory if you have employees.
• Third party personal injury insurance is compulsory if you own a motor vehicle. ...
• Public liability insurance covers you for third party death or injury, and is compulsory for certain types of companies.

• Motor third party insurance: ...
• Employer's liability/ workmen's compensation insurance: ...
• Group life assurance: ...
• Health care professional indemnity insurance: ...
• Occupiers liability insurance or insurance of public buildings:

What are the 4 main types of insurance?

There are, however, four types of insurance that most financial experts recommend we all have: life, health, auto, and long-term disability.

What are the main types of insurance?

How many types of insurance policy are made compulsory in Nigeria?

Did you know that there are seven compulsory Insurance policies in Nigeria? Yes, the Federal Government has made it compulsory for every individual and business in the country to be protected by a few insurance policies.

How many types of insurance are there in Nigeria?

Under Section 2 of the Insurance Act, there are two main classes of insurance business: life and general insurance businesses. Life insurance business is further classified into: individual life insurance; group life insurance and pension business; and.

What are the rationales behind compulsory insurance?

The purpose is to make provision for the dependants of the employees who die in service. It involves both public and private individuals and under this law, they are required to pay for pension subsidy in the event of mental or physical disability, death or disappearance while insured.

What is compulsory and non-compulsory insurance?

Compulsory, per Merriam-Webster, is defined as “something that is mandatory or enforced; we can then conclude that non-compulsory insurance would refer to a policy that is neither mandatory nor enforced.

What is covered by compulsory third party insurance?

Compulsory Third Party (CTP) Insurance, also known as Green Slip in New South Wales, provides cover for people who may be injured or killed in a motor vehicle accident involving your vehicle. This may include the driver of your vehicle, other drivers, passengers, pedestrians, cyclists and motorcyclists.

What is an example of compulsory?

If something is compulsory, you must do it because of a rule or law: Swimming was compulsory at my school. The law made wearing seat belts in cars compulsory. English is compulsory for all students, but art and music are optional.

How many types of insurance are there?

Broadly, there are 8 types of insurance, namely: Life Insurance. Motor insurance. Health insurance.

What are the 7 main types of insurance?

7 Types of Insurance are; Life Insurance or Personal Insurance, Property Insurance, Marine Insurance, Fire Insurance, Liability Insurance, Guarantee Insurance. Insurance is categorized based on risk, type, and hazards.

What Is insurance & its types?

Insurance policies can cover up medical expenses, vehicle damage, loss in business or accidents while traveling, etc. Life Insurance and General Insurance are the two major types of insurance coverage. General Insurance can further be classified into sub-categories that clubs in various types of policies.

Is life insurance compulsory in Nigeria?

The Pension Reform Act ("the PRA" or "the Act") was first enacted in 2004 and reenacted in 2014. Among many other provisions, the PRA makes Group Life Insurance compulsory for all employees. ... The Act applies to all employers in the public and private sector who have more than five employees.

Is health insurance compulsory for employees in Nigeria?

In Nigeria, health insurance for employers is not mandatory as a whole, but a variety of segments are expected to be covered for by the employers. Since 1987 all businesses are required to offer certain benefits to their employers in case they are incapacitated on the job.

What is an insurance contract called?

An insurance policy is a legal contract between the insurance company (the insurer) and the person(s), business, or entity being insured (the insured).

Is the full form of IRDA?

Insurance Regulatory and Development Authority (IRDA) Act, 1999 spells out the Mission of IRDAI as: “... to protect the interests of the policyholders, to regulate, promote and ensure orderly growth of the insurance industry and for matters connected therewith or incidental thereto......”

What is the same meaning of compulsory?

obligatory, mandatory, required, requisite, necessary, essential, statutory, prescribed. imperative, enforced, demanded, binding, forced, unavoidable, inescapable, incumbent, enforceable. contractual, stipulated, set.

Is compulsory and mandatory the same?

The word 'mandatory' is generally used in thesense of 'binding'. On the other hand, the word 'compulsory' is generally used in the sense of 'essential'. This is the main difference between the two words. It is important to note that anything that is mandatory has the quality of binding the doer to the work.

What is the meaning of compulsory subject?

A compulsory subject is one within your program structure that must be completed in order to fulfil the requirements of the program. You will not be eligible to graduate unless you meet all of the requirements for your program.