Insurance
/ɪnˈʃʊərəns/
Definitions
2 meaningsA contract where an individual or entity receives financial protection or reimbursement against losses, damages, or liability from an insurance company.
/ɪnˈʃʊərəns/
A contract or agreement providing financial protection or compensation against specific losses or damages.
Buying homeowner's insurance protects against fire and theft.
💡 Simply: Insurance is like having a safety net. If something bad happens, like a car accident or getting sick, your insurance company helps pay for the costs. Think of it like a superhero protecting you!
👶 For kids: Insurance is like a promise. If something bad happens, like you break your toy, someone will help fix it.
More Examples
Life insurance provides financial security for your family after your death.
The company offers a comprehensive insurance plan that covers a range of risks.
How It's Used
"She has car insurance."
"The company provides health insurance to its employees."
The act of ensuring or the state of being protected; security against loss or damage.
/ɪnˈʃʊərəns/
The state of being protected against a loss or risk.
The insurance of their well-being was the priority.
💡 Simply: Sometimes, 'insurance' can mean feeling safe or secure, not just the paperwork. It's like knowing you're covered, whether you're talking about your finances or your safety.
👶 For kids: Insurance is like when you have a safety blanket, or when you feel protected!
More Examples
The company provided an insurance against financial instability.
How It's Used
"The insurance of their safety was paramount."
Idioms & expressions
take out insurance
To purchase an insurance policy.
"He decided to take out insurance on his new house."
insurance claim
A request for payment or compensation from an insurance company.
"They filed an insurance claim after the car accident."
From Middle French *enseurance* (assurance, guarantee), from *assurer* (to assure). The modern meaning solidified in the 17th century, initially concerning maritime risks.
Historically, insurance developed from practices like bottomry in maritime trade, where ship owners could get financial backing to cover potential losses.
Memory tip
Imagine a shield protecting you from financial storms.
Word Origin
"to assure, guarantee"