Insurance is a mechanism in which an insurer, under consideration, undertakes to compensate an insurer for possible losses in the event of an accident over a certain period of time or to provide certain services to it; Therefore, insurance is one of the ways to deal with risk.

In an insurance contract, a certain risk is transferred from one party to the contract (called the insurer) to the other party (called the insurer).

By definition, a personal insurer is a legal entity that, in return for receiving premiums from the insurer, undertakes to compensate or pay a certain amount in the event of an accident.

In contrast, an insurer is a natural or legal person who, by paying a premium, covers his or her life, property or liability or that of another.