Extended data:
Insurance is a Chinese word, English is insurance or insurance, which means safe and reliable protection; Later, it was extended to a guarantee mechanism, a tool for planning life finance, a basic means of risk management under the condition of market economy, and an important pillar of financial system and social security system.
Insurance refers to the commercial insurance behavior in which the applicant pays the insurance premium to the insurer according to the contract, and the insurer bears the responsibility of paying the insurance premium for the property losses caused by the possible accidents agreed in the contract, or when the insured dies, suffers from disability, illness or reaches the age and time limit agreed in the contract.
From the perspective of economics, insurance is a financial arrangement to share the loss of accidents; From the legal point of view, insurance is a contractual act, a contractual arrangement in which one party agrees to compensate the other party for losses; From a social point of view, insurance is an important part of the social and economic security system and a "subtle stabilizer" for social production and social life; From the perspective of risk management, insurance is a method of risk management.
The so-called insurance amount refers to the maximum amount of compensation or insurance money that an insurance company undertakes according to the insurance contract, that is, the actual insurance amount of the subject matter insured; At the same time, it is the calculation basis for insurance companies to collect insurance premiums.
The insured amount refers to the maximum amount of the insurer's liability for compensation or payment of insurance benefits. In different insurance contracts, the methods and principles for determining the insured amount are different: in property insurance contracts, the valuation and determination of the insured value directly affect the insured amount. The insured amount is equal to the insured amount, which is full insurance. If the insured amount is lower than the insured value, the insurance company will compensate according to the ratio of the insured amount to the insured value.
If the insured amount exceeds the insured value, it is over-insured, and the insured amount exceeding the insured value is invalid. Malicious over-insurance is fraudulent, which may lead to the invalidation of the insurance contract. In a life insurance contract, the value of a person cannot be measured, and the insured amount is the maximum compensation limit agreed by both parties in the life insurance contract or the amount actually paid by the insurer.