The purpose of this lesson is to give the student the abilility to understand the historic devolopment of insurance business from before the Turkish Republic to the present day, the risks advantages and functions of insurances

Insurance is a risk transfer system in which the amount collected through the payment of a certain amount of money by people who are faced with the same kind of danger is only used to compensate those who actually suffer damage as a result of that danger. The main function of insurance is to make the loss economically insignificant. People share the damages they cannot afford alone through an organization.