What is insurance law?

Insurance law is the name given to practices of law

surrounding insurance, including insurance policies and
claims. Insurance regulation that governs the business of
insurance is typically aimed at assuring the solvency of
insurance companies. Thus, this type of regulation governs
capitalization, reserve policies, rates and various other "back
office" processes.
Types of insurance

Insurance business is divided into following types of

business namely:

1)Life Insurance, and

2)General Insurance.
a. Marine insurance
b. Fire insurance
c. Motor vehicle insurance
d. Miscellaneous insurance

3)Reinsurance
5 types of export insurance

Credit insurance
Credit insurance, or trade credit insurance, is the most popular form of export
insurance. Suitable for any business that extends credit to their overseas buyer, credit
insurance covers the risk of your buyer becoming insolvent or unable to pay the
money owed to you. "Credit insurance will be able to offer 80-to-90 percent recovery
to what was owed,"

Political risk insurance

Political risk insurance (PRI) is another type of coverage exporters need to consider,
particularly in emerging countries. Political risk is defined as the risk of the overseas
government intervening in your investments, which could be the goods you export,
or any assets or business you have in the other country. "Traditional PRI would cover
a government confiscating or nationalising or expropriating your assets, or passing
laws that block your ability to transfer money out of the country, it also covers war
risk and political violence, "like civil war or riots, insurrection, upheaval, coup d'etat:
things that are beyond the control of the investor". Coverage has also widened to
include other constrictions on an exporter’s ability to do business.
Marine insurance
If you are a goods exporter, marine insurance is one of the most
important types you should consider. "Financial protection of the
shipment of products and goods is known as marine insurance,
regardless of whether the mode of transport is over the sea, air, land
or post,” "There are numerous risks to consider when a business is
involved in transporting goods, including damage to and loss of the
goods." Because of the number of permutations a shipment of goods
can undergo between seller to buyer-often from factories and
storage facilities via airports, wharves, and other terminals-marine
insurance is quite complex. As a general rule, however, exporters
should aim for a policy that covers them from the time it leaves your
premises until your customer has taken possession of it. Common
carriers do not have specialist marine insurance, and the cover is
usually limited. exporters also need to check that the insurer is
capable of handling a claim globally, "otherwise having a claim paid
could become an issue".
Currency insurance
While there are a number of foreign exchange management strategies an exporter can use
to mitigate losses through currency movements, some financial institutions and foreign
exchange providers also offer currency insurance against conversion loss. This form of
insurance is typical of long-range buying contracts where other strategies such as forward
exchange contracts are unavailable.
Product liability insurance
An international product liability insurance product is similar to a domestic one and involves
covering the risks arising from litigation or the cost of recall should the product you sell be
proved faulty or fail to comply with appropriate regulations. Exporters need to ensure that
they make every effort to comply with any laws associated with selling their product in the
destination market, as insurance will not cover uninformed exporters. Compensation is
therefore conditional on proving that the exporter unwittingly sold a product that was later
deemed faulty or dangerous.

By considering and investing in these five types of insurance, exporters should become more
comfortable with the risks of doing business globally, and be able to take advantage of
growth opportunities around the world.