The definition of Insurance

Many definitions have been given to the term insurance, where the face of no similarity between the definition of one to the other. This can be used only because they are tailored to the study in perspective, which they use to make insurance, which according to the description above that insurance can be viewed from several angles.
Definsi-definition include:

1. Definition of insurance, according to Pasal 246 Kitab Undang-undang Hukum Dagang (KUHD) Republik Indonesia :

"Insurance is a guarantee or agreement, by which an underwriter tie in with the insured to receive a premium, to give him a replacement because of a loss, damage or loss of expected profit, which may be due to a dideritanya event that is not certain."

Based on these definitions, then the insurance contained in the 4 elements, namely:

• The insured (insured), which promised to pay a premium to the insurer, at a time or fade.
• The underwriter (insure) that promise to pay a sum of money (MORE) to the insured, at a time or fade when something happens that contain elements not certain.
• An event (Residents) are not terntentu (not previously known).
• Interest (interest), which may be experienced losses because of events that is not certain.

2. Definition of insurance, according to Prof.. Mehr and Cammack:

"Insurance is a tool to reduce financial risk, by collecting units exhibition in the number of adequate, to make individual losses can be estimated. Then the loss can be predicted by the image, they are evenly incorporated."

3. Definition of insurance, according to Prof.. Mark R. Green:

"Insurance is an economic institution that aims to reduce the risk, with a way to combine the management of a number of objects that are large enough amount, so the loss can be completely predictable within certain limits."

4. Definition of insurance, according to Arthur C. William Jr. and Richard M. Heins, which defines the insurance based on two angles, namely:

• "Insurance is a security against financial losses made by a guarantor."
• "Insurance is an agreement by which two or more persons or entities to collect funds to cope with financial losses."

Based on the definition, the definition of the above seems the definition of insurance that can cover all the angles:

"Insurance is a tool to reduce the risk inherent in the economy, with a number of ways manggabungkan units, which risks the same or nearly the same, the number of large probability that the disadvantages can be predicted and when losses are predicted to occur will be divided proportional by all parties in the combined. "