Within all the dynamics of this cosmic world, the swing of livelihood is the most unpredictable one. The smoothly passing of one 24 hours cannot guarantee that the other 24 hours will go exactly at the same pace.No one can be ensured of the fact that never there will be any theft breakage in the home or that it would not fall flat in the face of a firing incident. Similarly, no business person can avowedly say that the one’s venture will go no seeing the ups and will never be affected by the downs. The sudden demise of the sole bread-earner of the life is also a much-unprecedented occurrence which hampers the smooth flow of life.

Now the question arises what to do? The answer is Insurance Policy. Insurance is an adept fiscal technique of managing the unforeseen and ill-fated situations. The concept is analyzed in the following steps:

• Predominantly there are two parties involved in the actualizing of an Insurance Policy—the Insurer and the Insured. There is the invisible but vital presence of another person known as the Nominee.
• The insurer is the financial corporation which guarantees to shield the Insured in the face of any perilous and uncalculated happening in the latter’s life. It avows to do so by paying the Insured the cost of the one’s disaster. This payment is made about the monthly deposit of Premium given by the Insured to the corporation.
• The Premium is the money given by the Insured to the Insurer as the token of the validity of the insurance policy made. It is also the assurance of the Insurer’s help in times of need.
• The Nominee is the person who is referred by the Insured to the Insurer as the valid claimer of the Insurance Policy in case of the Insured’s non-existence.
• The Insurance Policy is the written declaration of the agreed upon amount and conditions of retrieval by both the Insurer and Insured.

At every country, there is a central governmental body which declares the legit way of working of every individual insurance venture (be it public or private) there and also supervises that.