Life Insurance. Life insurance business is carried on by Life Insurance Corporation of India since 1956 Under this type of insurance the corporation guarantees lo pay a certain sum of money to the policyholder on reaching a certain age or on his death whichever is earlier. Life insurance has an clement both of protection and investment.
General insurance. It includes all other types of insurance except life insurance as fire insurance, marine insurance, accident insurance, burglary, fidelity, third party, workmen compensation, consequential loss etc. Under this type of insurance the insurer undertakes 10 indemnify the loss suffered by the insured on happening of a certain event in consideration for a fixed premium.