Insurance helps us to face the risks that we may be exposed to and contributes to mitigating their negative effects, as the insurance company bears the financial burdens resulting from the occurrence of these risks in return for certain premiums. Insurance products have developed and expanded into several areas, so that individuals can insure their health, vehicles and other properties against many risks that they may be exposed to, such as traffic accidents, disease, theft, etc.
So what is the importance of insurance?
- Protect your financial future
Insurance is a successful way to help you protect your financial future in the event that you – God forbid – have any accident or incurable disease that hinders you from working and earning money, as there are insurance programs that give you protection and cover the risks that you may be exposed to as a result of total disability or incurable diseases, such as insurance against personal accidents .
- Effectively manage risks
No one’s life is free from crises and accidents, so it is wise to hedge against that by taking the necessary measures. One of the best ways to prepare to face these risks is to subscribe to insurance programs that suit your needs and capabilities.
- Financially protect your family
Insurance plays an essential role in alleviating the financial pressures that your family may bear in the event of an emergency – God forbid. There is a type of insurance product called protection and savings insurance, which provides financial protection for your family by providing a specific material income according to the insurance policy that helps you and your family pay emergency financial expenses arising from any unpleasant happening to you such as death or total disability or any other risks covered in Insurance document.
- Insurance means investment
Participation in insurance programs is in itself one of the types of future investment, as many types of property insurance provide coverage against damage, damage or theft, and the insurance company will compensate you or replace your property with what is new or provide maintenance service in case it is exposed to any of the risks covered according to For the insurance policy, which saves the value of your property.
- Preserve your savings
Do not view insurance premiums as unnecessary monthly expenses that increase your financial burden, because choosing the right insurance for your future needs helps you avoid incurring unexpected expenses that were not considered without compromising your savings.
- Ensure the stability of your business
Insurance can be a guarantee of safety in the event that your project is exposed to risks. There are many insurance programs that are designed to suit the needs of commercial enterprises, as they provide insurance coverage to bear the risks of business disruption or protect the company’s property such as the contents of warehouses, commercial real estate or the company’s vehicle fleet against damage, theft, or others.
Some people misunderstand the true meaning of car insurance and think that the money they spend on paying insurance premiums is a loss for them and an additional financial burden on them. On the contrary, taking part in this type of insurance helps you to avoid more heavy financial burdens in the event of a traffic accident. According to the General Authority for Statistics, the number of traffic accidents that occurred in the Kingdom in 1437 AH reached 533,380 accidents, resulting in 38,120 injured and 9,031 deaths. Therefore, vehicle insurance has become one of the necessary things to face the financial losses resulting from the occurrence of accidents, which include the expenses and expenses of treatment for the injured, compensation for deaths and repair of malfunctions and damages caused by your car.