What Is Insurance?

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what is insurance

What is insurance? Insurance, which is a type of agreement provided with institutions, helps individuals in minimizing the damage to the life, health or property of the person. The right to receive compensation for the damages you will encounter is obtained with the premium you have paid in advance. In return for the insurance’s responsibility to protect you, the amount determined as the premium set forth under the contract must be paid. The written agreement signed between you and the institution performing the insurance service is called a policy. Since the policy is a mutual agreement between the two parties, it is necessary to fully agree on the content of the policy.

There are many types of insurance to meet your needs. Private health insurance, motor insurance, traffic insurance and compulsory earthquake insurance are only a few of these types of insurance. Your insurance process is shaped according to the type of insurance you want to have. You can choose the insurance you need depending on your needs, and shape your payment plans according to your budget.

One of the most important points to consider when taking out insurance is the coverage of the insurance. You should be careful that the benefits and advantages offered to you by the insurance you will take out are fully and clearly stated in your policy. Having information about the points that are not covered by your insurance will minimize the problems you may encounter in the future. For this reason, it is important that you take care to read your policy carefully while taking out insurance.

What is need to be done to get insurance?

  • It ensures the elimination of damages when faced with situations that are likely to occur.
  • Since the number of people with whom the risk is shared will change depending on the number of participants, the insurance does not require large amounts to be paid at once.
  • Insurance provides confidence to both individuals and institutions.
  • Insurance, which is important in promoting entrepreneurship, also allows the future to be planned more clearly.
  • Elimination of possible damages reduces financial worries about the future.

What does insurance do?

It is possible to state that it promises a peaceful and comfortable life in response to the question of what is the use of insurance. Since the payments of the insurance policies are made at the initial stage, the people who benefit from the assurance do not have to save separately for the risks they may encounter in the future, and thus they have the chance to allocate a budget for different priorities. For example, a family that benefits from private health insurance with all its members can be more peaceful in their social life and future plans with the security it creates.

What is the importance of having insurance?

Having insurance means that you protect the safety of both your life and property at one point. There are different types of insurance, depending on the risk areas you may face. You can take precautions against different risks at the very beginning with health insurances that may vary for your health, housing insurance for your house or belongings, motor insurance or traffic insurance that secures your vehicle.

Thanks to insurance, you can eliminate the expenses that you may encounter unexpectedly from your life. Depending on the policy you will agree with, you can avoid many costs or save your budget by paying only a portion of the cost. Thanks to your insurance, you can live comfortably by getting your assurance without any loss. You can secure your future with insurance that will meet your needs.

What are the types of insurance?

While some of the services that are the answer to the question of what are the types of insurance are required, some of them may offer complementary guarantees depending on the person’s request. The following are the types of insurance, each of which has different characteristics:

1. Life insurance

It is a policy that provides coverage in case of death or disability of the insured person. Accordingly, in case of death of the insurance holder, financial security is provided for family members. In the event of disability, the insured is provided with assurances that help maintain the quality of life. Life insurance is not mandatory.

2. Traffic insurance

A compulsory type of insurance traffic insurance undertakes the material and bodily damages in cases that occur in traffic and cause damage to the other party. In addition to this, the compensations to be paid by the faulty party in traffic problems are also undertaken by the traffic insurance.

Traffic Insurance covers the material and physical damages of the opposite vehicle, the people in the opposite vehicle or the pedestrians caused by the faults of the insured vehicle when an accident occurs. In other words, Compulsory Traffic Insurance coverage focuses only on protecting the third person and the counter vehicle. Aksigorta Akkasko, on the other hand, fully secures you and your vehicle, even if you are at fault. In addition, in cases where the Compulsory Traffic Insurance coverage is insufficient, it also completes the payment of the material damages of the other vehicle and the bodily damages of the third parties.

What is Traffic Insurance Coverage?

If you have automobile insurance in accidents where the other vehicle is defective, your insurance provides repair of your vehicle and then takes back the necessary payment from the insurance of the defective vehicle. You can enjoy safe driving without dealing with any process.

  • Counter Vehicle: In the event of an accident that may happen to the insured, the expenses of the damage to the other vehicle are covered within the specified limits.
  • Persons in Opposite Vehicle: In the event of an accident on the road, the liability of the insured for bodily harm to the people in the opposite vehicle is covered within the specified limits.

Guarantees

Third Party Liability: In the event that the insured vehicle damages another vehicle as a result of being involved in an accident on the road, the compensation for the material and bodily damage of the third party is covered by the Compulsory Traffic Insurance. Coverage limits are determined annually by the Undersecretariat of Treasury.

3. Car Insurance

Car Insurance dreams of the safest road experience for you. For this purpose, it secures the vehicle and the goods inside the vehicle against many risks, from collision to theft, from flood to hail, from being injured on the road.

What is Car Insurance Coverage?

  • Vehicle: Your insurance is with you in case of accidents with your vehicle or theft, staying on the road, natural disasters, key theft, wrong fuel filling.
  • Driver: The damage and treatment costs that you will encounter in accidents that may happen while driving are covered by Akkasko.
  • Personal Items in the Vehicle: Not only your vehicle and you, but also your belongings are important. In case of potential risks, your personal belongings in the vehicle are also under protection.
  • Counter Vehicle: In case of material or bodily damage that you inflict to the other party with your vehicle, the costs incurred if the Compulsory Traffic Insurance limits are insufficient are also covered.

Guarantees

  • Crash & Collision: It covers the expenses incurred in the event that the vehicle is hit by a fixed or moving object, or if the vehicle collides with such an object, without the will of the insured.
  • Fire: It covers the damages that occur in case of partial or complete combustion of the vehicle.
  • Theft: In case of theft of the vehicle, the insurance holder is paid the current value of the vehicle.
  • Discretionary Liability: It undertakes the part of the material and bodily damages given to third parties exceeding the traffic insurance coverage.
  • Seat Personal Accident – ​​Treatment Costs: Death, disability and treatment expenses incurred as a result of all kinds of accidents during the journey are covered.
  • Legal Protection: It covers the legal defense and litigation costs that the insured has to do as a result of any accident in which he is involved with his vehicle.
  • Roadside Assistance Services: Towing service is provided in cases such as the breakdown of the vehicle, its immobility as a result of an accident, and in cases where the vehicle runs out of fuel or the tire bursts.
  • Mini Repair: During the validity of the motor insurance policy, it covers the repair costs of minor damage to the vehicle without paying extra and without breaking the no-claim discount.

Additional Guarantees

  • Natural disasters: It covers the damage to the vehicle in cases such as hail, flood, earthquake, storm, lightning, flood, landslide, volcanic eruption.
  • Terror: It covers the repair costs of the vehicle damaged due to terrorist incidents.
  • Personal goods: Theft of personal belongings left in the vehicle while the vehicle is parked or there is no one in it is considered within the scope of insurance. (Excluding commercial goods, cash, valuable papers, jewellery.)
  • Abroad: It is ensured that the vehicle is secured against possible risks while traveling abroad.
  • Incorrect Fuel Filling: In the event that the pumper fills the fuel incorrectly during the fuel purchase, the mechanical expenses incurred by the vehicle are covered within the coverage limit.
  • Key Loss: In case the key of the insured vehicle is lost or stolen, the costs of changing the lock system, copying or recoding the key are covered against the risk of security problems that may occur later.
  • Additional Accessory: The costs incurred in case of damage to the additional accessories made by the driver other than the original parts of the vehicle are covered by the additional coverage.
  • Rodent Animal Pests: The cost of damage to the vehicle if rodents enter the bodywork is covered by the additional coverage.
  • Key Stealing: In case of theft of the vehicle with the vehicle key, the damages arising from this are included in the scope.

4. Motor insurance

Interested in vehicle owners motor insurance It eliminates the grievances of the insured person in all problems that the insured vehicle may experience -within the scope of the guarantees-. Casco assurance, to the vehicle owner; undertakes to compensate for material damage and provide emergency assistance in many cases such as accident, theft, burning, exposure to malicious acts, staying on the road.

5. Home Insurance

Home insurance, provides services to protect you from the costs of various natural disasters, theft events and risks such as fire that may affect your home and belongings. Home insurance, which is not a compulsory service, is a type of insurance that can be benefited by both homeowners and renters.

MHI For Turkey Citizens (Mandatory Health Insurance)

Compulsory health insurance is an insurance that is covered as a public insurance service and maintained by the SGK. Compulsory health insurance, which covers the health problems of everyone in the country and helps to provide treatment services in state institutions without any additional fee, is valid throughout the country. SGK insurances, provided by private institutions complementary health insurance supported by services.

6. Private Health Insurance

It is a type of insurance that provides services within the scope of the guarantees and limits in the policy. Non-compulsory private health insurance generally offers much more comprehensive coverage than public insurance and health services. For this reason, many people prefer to benefit from health insurance services provided by private institutions, although it is not compulsory.

Travel insurance

It is insurance that covers the period between the start and end point of a trip. It is offered to ensure the safety of passengers and goods during travel and to provide support in emergencies. It is not a compulsory type of insurance.

What is the Importance and Benefit of Having Insurance?

Insurance services provide benefits in many ways today. It is always possible to be exposed to all kinds of negativities in human life, and the needs or expenses that arise in these situations can be a burden on your budget. If you do not want to face such incalculable expenses in your life and do not want to worry when you encounter a problem, you can insure yourself and your loved ones by getting insurance.

What should be considered when taking out insurance?

Insurance services are covered by private institutions. Therefore, the guarantees and service quality of each differ. In order to benefit from the best insurance services, it is beneficial to work with an experienced and reliable solution partner. Allianz Turkey, with its strong corporate structure and experience, helps you to live your life with peace of mind by providing ideal insurance services for you and your loved ones. You can contact us immediately to get information about the privileges of Allianz Turkey and to benefit from our services.

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