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Insurance Concepts & Principles

Horizontales
Total amount for all claims
Outlines the duties of each party in case of loss
A situation where either profit or loss is possible
If the insured cancels a policy
A risk where there is only the possibility of loss
Type of risk associated by change
Can be expressed in two figures
Verticales
Hazard arising out of an insured's indifference to loss because of the existence of insurance
Risk factors that do not frequently fluctuate
Risks that affect entire groups of people or property
A type of risk that affects only the individual person or family
Hazard arising from material, structural or operational features
Pays up to one amount
If the insurer cancels a policy
The possibility that a loss might occur