The most important characteristic of the previous definition is that it brings together all the main characteristics of insurance:
a. Collect losses
B. Danger shift
C. Accidental loss compensation
The origin and development of insurance
A follower of the origin of the insurance and its development finds that the insurance started as a cooperative system that includes individuals who are exposed to the same risk for the purpose of reducing the value of this loss from the shoulders of the person to which it is afflicted by distributing this loss to all individuals participating in this cooperative system, and these individuals are often known to each other Some live in the same area and have a common interest.
And historians state that the ancient Egyptians were the first to practice insurance in this cooperative way through the burial societies that were widespread at that time. These sums were provided by the burial societies that were present at the time.
It was stated in the introduction to Ibn Khaldun that members of the caravan of commerce agreed among themselves to share the loss of any of them as a result of the death of camels during the winter and summer journey, and the loss was distributed to the members of the trip, and they also agreed to compensate those whose trade was purified from them as a result of the death of his camels with the same Previous method.
Marine insurance is the oldest of all types of insurance. It is well known that merchants practiced this insurance more than seven hundred years ago. During the ship loan operations that were widespread at that time, ship owners were lending money equivalent to the value of the price of the ship and what it carried of the goods provided that it The borrower returns this loan plus 20% to 30% of its value in the event that the ship arrives safely to the port of arrival, but if the ship sank, the owner of the loan is not obligated to return anything.
As for life insurance, historians mention that the first document issued in London in 83 AH 1, and it is worth noting that life insurance was present in the presence of marine insurance, as some marine insurance documents on the ship also included life insurance for the captain and the sailors. It is well known that the benefits offered by the burial societies of the ancient Egyptians are nothing but a form of life insurance.
As for the security of the fire, it received great attention after the famous London fire that occurred on Friday, 2 September 1666 AD, which lasted for four days and nights, and led to the destruction of about 8% of the city’s buildings at that time. The losses resulting from this fire were estimated at about ten Millions of pounds.
As for personal accident insurance, it flourished and its importance appeared as soon as trains, cars and airplanes appeared, and it can be said that the beginning of interest in personal accident insurance was at the end of the first half of the nineteenth century.
Types of insurance:
Insurance can be divided into several ways, each of which varies according to the main purpose of the research and the researcher’s view of insurance operations. We review the following the most important divisions that an individual may encounter in the field of insurance:
Theoretical division of insurance:
Insurance can be divided in terms of the body that carries out insurance business into two main types:
a. Private insurance:
This type of insurance includes all areas of insurance that are not practiced by the government, but by bodies or companies, and this type of insurance includes the following types:
1. Persons insurance:
This is the type of insurance that relates to the person of the insured and covers risks that cause a decrease in the future income of persons or in the person’s ability to earn and is divided into two parts:
The first section: – life insurance:
It has three types:
• Insurance of death.
Securing life and death together.
Section Two: Injury Insurance:
It is divided into two types:
Personal accident insurance.
• Insurance against diseases.
2. Property insurance:
They are the types of insurance that cover risks in which the subject of insurance is human property, including:
Marine insurance – fire insurance – theft insurance – livestock insurance – glass break insurance – property insurance from earthquakes and volcanoes, disturbances, revolutions and wars – agricultural crops insurance against rain and natural phenomena.
3. Civil Liability Insurance:
They are the types of insurance that cover the risks of civil liability, the most important of which are the following:
• Civil liability insurance for owners of cars, ships and airplanes.
• Securing civil liability for owners of public stores such as cinema, theaters, restaurants and hotels.
• Insurance of work injuries and occupational diseases.
• Securing civil liability for owners of buildings, warehouses and garages.
Civil liability insurance for contractors.
• Securing civil liability for food producers and distributors.
• Securing civil liability for self-employed professionals such as engineers, accountants, doctors, owners of cosmetic institutes, pharmacists, and others.
• Securing the civil liability of the landlord before the neighbors, from the damage he causes due to a fire that broke out in his building and spread to the buildings and properties of the neighbors.
• Securing the civil liability of the lessee before the landlord for the damage he causes due to a fire that broke out in the place where he was rented.
B. Governmental insurance:
It is every insurance in which the state intends to support or impose it compulsorily to protect a specific class, as is the case in compulsory insurance against car accidents, social insurance where the state participates in bearing a portion of the costs besides the share of the employer and worker, and government social insurance includes disability and death, old age and health insurance Social.