Insurance \In*sur"ance\, n. [From Insure.]

1. The act of insuring, or assuring, against loss or damage by a contingent event; a contract whereby, for a stipulated consideration, called premium, one party undertakes to indemnify or guarantee another against loss by certain specified risks. Cf. Assurance, n., 6.

Note: The person who undertakes to pay in case of loss is termed the insurer; the danger against which he undertakes, the risk; the person protected, the insured; the sum which he pays for the protection, the premium; and the contract itself, when reduced to form, the policy. --Johnson's Cyc.

2. The premium paid for insuring property or life.

3. The sum for which life or property is insured.

4. A guaranty, security, or pledge; assurance. [Obs.]

The most acceptable insurance of the divine protection. --Mickle.

Accident insurance, insurance against pecuniary loss by reason of accident to the person.

Endowment insurance or assurance, a combination of life insurance and investment such that if the person upon whose life a risk is taken dies before a certain specified time the insurance becomes due at once, and if he survives, it becomes due at the time specified.

Fire insurance. See under Fire.

Insurance broker, a broker or agent who effects insurance.

Insurance company, a company or corporation whose business it is to insure against loss, damage, or death.

Insurance policy, a certificate of insurance; the document containing the contract made by an insurance company with a person whose property or life is insured.

Life insurance. See under Life.

Source: Webster's Revised Unabridged Dictionary (1913)