Non- life insurance refers to the insurance of goods and properties. The insurance which is done for the physical properties other than human life is known as non-life insurance.

Fire insurance is a type of insurance, which is taken for getting financial compensation against the loss by fire. It is a contract in which the insurer promises to pay a certain sum of money to the insured in case of loss of properties caused by setting a fire within specified period of time.

Marine insurance is a type of insurance, which is taken for getting the financial compensation against the losses due to perils of the sea in the course of a sea voyage. It is the contract made between the insurers and insured to indemnify against the cursor damage of goods using a ship.

The insurance which is done in order to get the financial compensation for the loss of motor or similar types of vehicles caused by accident, theft or other risk is called motor insurance.

Fidelity guarantee insurance is a process of making financial compensation against the loss caused by embezzlement, theft, error or fraud committed by the staff of the business.

The differences between life insurance and non-life insurance are as follows:

Fire insurance is a type of insurance, which is taken for getting financial compensation against the loss by fire. It is a contract in which the insurer promises to pay a certain sum of money to the insured in case of loss of properties caused by setting a fire within specified period of time. On the other hand, the insured agrees to pay the amount of premium in consideration. Thus, fire insurance provides the financial compensation against the loss or damage of the physical goods or properties.

According to Bill Weipers, “The basic intention of the fire policy is to provide compensation to the insured person in the event of there being damaged to the property insured.”

From the above definition, it is clear that fire insurance is a contract of indemnity under which the insured cannot claim anything more than the value of goods lost by fire or the amount insured, whichever is less. Fire insurance is a recent growth. The first fire insurance institution was established only after the “Great fire of London” in 1666 A.D.

Marine insurance is a type of insurance, which is taken for getting the financial compensation against the losses due to perils of the sea in the course of a sea voyage.The subject matter of the marine insurance is a ship, cargo, and freight. The premium is paid periodically or in a lump sum by the insured to the insurer.

According to M. N. Mishra,“Marine insurance has been defined as a contract between insurers and insured whereby the insurer undertakes to indemnify the insured in a manner and to the interest thereby agreed, against marine losses incident to marine adventures.”

From the above definition, it is clear that marine insurance is the contract made between the insurers and insured to indemnify against the cursor damage of goods using a ship. There may be different risk such as accident ship, collision, jettison, barratry etc.

The following are the types of miscellaneous insurance:

1. Motor insurance
   The insurance which is done in order to get the financial compensation for the loss of motor or similar types of vehicles caused by accident, theft or other risk is called motor insurance. While traveling on land using car, bus, van, truck, etc. If the accident took place and happened the events, the insurer compensates for the loss. Thus, it compensates the loss of goods and amount for the death of passenger and loss of vehicles separately. It is compulsory in Nepal.
2. Employer’s liability insurance
   General insurance also includes employer’s liability insurance. Under it, an insurance policy is taken for the workers of factories or institutions by the employer to compensate the claim of the employees on the event of injury, accident, death and disability while they are at work. Institutions or factories pay the premium regularly to the insurance company for getting such kind of compensation. The insurance company compensates at the time of injury, accident, disability or death of the workers.
3. Fidelity guarantee insurance
   Sometimes, the loss occurs in the organization due to the mistake of the staff knowingly or unknowingly. Fidelity guarantee insurance is a process of making financial compensation against the loss caused by embezzlement, theft, error or fraud committed by the staff of the business. It, thus, saves the employer for possible financial losses due to the activities of dishonest staff.
4. Aviation insurance
   Nowadays, air transportation is a popular means of transportation. Sometimes, an accident may take place in the air service. If the accident takes place in the air service, the losses are unbearable. Hence, the aviation insurance is inevitable. In this reality, aviation insurance policy is taken for getting financial compensation against the losses in air service.

Non- life insurance refers to the insurance of goods and properties. The insurance which is done for the physical properties other than human life is known as non-life insurance. The individual or organizations have to suffer a huge loss from the destruction of their physical things. Thus, they can ensure their properties against the varieties of risks. Such risks may be risk, marine risk etc. Non- life insurance is taken as a means of providing financial protection for building, machinery, equipment, furniture, and vehicle and merchandise items against the risk of fire, earthquake, accident and theft.

Non-life or general insurance includes fire insurance, marine insurance, and miscellaneous insurance.

Fire Insurance

Fire insurance is a type of insurance, which is taken for getting financial compensation against the loss by fire. It is a contract in which the insurer promises to pay a certain sum of money to the insured in case of loss of properties caused by setting a fire within specified period of time. On the other hand, the insured agrees to pay the amount of premium in consideration. Thus, fire insurance provides the financial compensation against the loss or damage of the physical goods or properties.

According toBill Weipers, “The basic intention of the fire policy is to provide compensation to the insured person in the event of there being damaged to the property insured.”

From the above definition, it is clear that fire insurance is a contract of indemnity under which the insured cannot claim anything more than the value of goods lost by fire or the amount insured, whichever is less. Fire insurance is a recent growth. The first fire insurance institution was established only after the “Great fire of London” in 1666 A.D.

Marine Insurance

Marine insurance is a type of insurance, which is taken for getting the financial compensation against the losses due to perils of the sea in the course of a sea voyage.The subject matter of the marine insurance is a ship, cargo, and freight. The premium is paid periodically or in a lump sum by the insured to the insurer.

According toM. N. Mishra,“Marine insurance has been defined as a contract between insurers and insured whereby the insurer undertakes to indemnify the insured in a manner and to the interest thereby agreed, against marine losses incident to marine adventures.”From the above definition, it is clear that marine

From the above definition, it is clear that marine insurance is the contract made between the insurers and insured to indemnify against the cursor damage of goods using a ship. There may be different risk such as accident ship, collision, jettison, barratry etc.

Miscellaneous Insurance

The following are some common types of miscellaneous insurance: -

1. Motor insurance
   The insurance which is done in order to get the financial compensation for the loss of motor or similar types of vehicles caused by accident, theft or other risk is called motor insurance. While traveling on land using car, bus, van, truck, etc. If the accident took place and happened the events, the insurer compensates for the loss. Thus, it compensates the loss of goods and amount for the death of passenger and loss of vehicles separately. It is compulsory in Nepal.
2. Employer’s liability insurance
   General insurance also includes employer’s liability insurance. Under it, an insurance policy is taken for the workers of factories or institutions by the employer to compensate the claim of the employees on the event of injury, accident, death and disability while they are at work. Institutions or factories pay the premium regularly to the insurance company for getting such kind of compensation. The insurance company compensates at the time of injury, accident, disability or death of the workers.
3. Fidelity guarantee insurance
   Sometimes, the loss occurs in the organization due to the mistake of the staff knowingly or unknowingly. Fidelity guarantee insurance is a process of making financial compensation against the loss caused by embezzlement, theft, error or fraud committed by the staff of the business. It, thus, saves the employer for possible financial losses due to the activities of dishonest staff.
4. Aviation insurance
   Nowadays, air transportation is a popular means of transportation. Sometimes, an accident may take place in the air service. If the accident takes place in the air service, the losses are unbearable. Hence, the aviation insurance is inevitable. In this reality, aviation insurance policy is taken for getting financial compensation against the losses in air service.