Insurance uses actuarial science (law of large numbers) to calculate the premium for their respective members. Insurance is a program whereby a member of a large group pays into a pool of funds for use as reimbursement to offset a loss (claim) made by a member in the future. The losses are accidental in nature or occur due to an act of God. Some natural phenomenon are excluded from insurance – earthquakes, volcanic eruptions, and meteors are examples.
This section of the website is dedicated to insurance. Most of these articles are in-depth and are designed to educate and inform the small business entrepreneur about this area of basic business.
Value Investing Episode 1 – Introduction and Membership Program