Insurance is a financial instrument that provides protection against various risks and losses by transferring them from an individual or company to an insurance company. Insurance works when the insured person pays a certain premium (insurance premium) and if an insured event (such as an accident or loss) occurs, the insurer provides financial compensation.

Types of insurance:

Life Insurance - This insurance provides financial support to the insured person's family or a designated beneficiary in the event of his death. Life insurance can also be in the form of savings, where part of the premium is accumulated and paid to the policyholder within a certain period.

Health Insurance - Health insurance covers medical expenses, including hospital treatment, medicines and medical procedures. It can be private or publicly paid, depending on the national system and the person's choice.

Property Insurance - This insurance protects property such as a house, apartment, office or other real estate against damage or loss that may occur due to natural disasters, fire, theft, etc.

Transport Insurance - Includes car, motorcycle, truck and other vehicle insurance against loss, damage or theft. Compulsory civil liability insurance (OCTA) is one of the most common types of transport insurance, which covers damages that the driver of the vehicle may cause to other road users.

Travel Insurance - This insurance covers expenses that may arise during your trip, such as medical expenses, lost luggage, trip cancellation or delay.

Accident Insurance - Accident insurance provides compensation for injuries or losses that occur in an accident, such as at the workplace or in other circumstances.

Liability insurance - This insurance covers legal liabilities that may arise if the insured person causes damage to a third party or their property. Examples are professional liability insurance (for doctors, lawyers) and civil liability insurance.

Credit insurance - Covers losses that occur if the borrower is unable to repay the loan. It is used to reduce the risk taken by credit institutions or other financial institutions.

Business Insurance - Designed for companies to cover various risks associated with doing business, such as loss from fire, work stoppages, fraud and other risks.

Pet Insurance - This insurance covers vet bills and other related expenses that may occur if your pet gets sick or injured.

These are the main types of insurance, but there are also more specific insurance policies tailored to specific needs or industries. Insurance helps people and businesses protect themselves from unexpected financial losses, allowing them to live and work with a greater sense of security.