The Multifaceted Landscape of Insurance Products

Josef Bergt
2023

Introduction

The efficacy of an insurance policy is often revealed only in the aftermath of an unforeseen event or over an extended period. Consequently, the decision-making process surrounding the selection of appropriate insurance coverage should be approached with meticulous care, whether one is contemplating a new policy or reassessing existing contracts. This article aims to provide an overview  of various types of insurance products including life-insurances and non-life-insurances, elucidating their functionalities and offering insights into the critical factors that should be considered prior to making any insurance-related decisions.

Occupational Disability Insurance

Occupational disability insurance serves as a financial safety net for individuals who, due to health-related issues, are unable to continue working in their respective professions. This insurance type effectively bridges the income gap that arises from long-term incapacity to work.

Cyber Insurance

Cyber insurance policies offer protection against risks associated with internet usage. The scope of coverage can vary significantly depending on the provider and the specific plan selected, making it imperative to scrutinize the terms carefully.

Building Insurance

Building insurance provides compensation for damages to a building resulting from insured perils such as fire, water damage, or storm and hail. The policy acts as a safeguard against the financial repercussions of such events.

Liability Insurance

Although not mandatory, liability insurance is universally recommended. Even minor mishaps can result in substantial damages, for which the responsible party is generally liable to an unlimited extent with their entire assets.

Household Contents Insurance

Household contents insurance covers items that are part of a household's furnishings, for personal use or consumption, including cash and valuables. The rule of thumb is that items you would take with you during a move are considered household contents.

Motor Vehicle Insurance

In certain jurisdictions, motor vehicle liability insurance is obligatory for vehicle registration. It covers damages inflicted upon others by the insured vehicle. Comprehensive and collision coverages, however, are optional and cover damages to the insured vehicle itself.

Health Insurance

Health insurance can be either public or private. Regulatory oversight varies, with agencies overseeing public health insurers, and national supervisory authorities supervising private health insurers.

Life Insurance

Life insurance policies economically safeguard against biometric risks such as death, longevity, occupational disability, and invalidity. They come in various forms, including term life and whole life insurance policies.

Legal Expenses Insurance

Legal expenses insurance enables policyholders to pursue their legal interests by covering the costs associated with legal representation.

Travel Insurance

Travel-related insurance products include trip cancellation insurance and international health insurance. These policies offer varying degrees of coverage and should be carefully evaluated.

Private Pension Insurance

Private pension insurance serves as a supplementary income source in retirement, especially when state pensions are insufficient to maintain one's standard of living.

Payment Protection Insurance

Payment protection insurance is a specialized form of term life insurance that ensures the repayment of a loan in the event of the borrower's death, thereby protecting their heirs.

Accident Insurance

While statutory accident insurance offers coverage for accidents occurring in professional settings, private accident insurance extends this coverage to private life activities.

Numerous variations and related insurance products to the ones mentioned may exist. 

Source: BaFin on Insurance products

Executive Summary:

  • Occupational disability insurance serves as a financial safety net for long-term incapacity to work.
  • Cyber insurance offers varying degrees of protection against internet-related risks.
  • Liability insurance, although optional, is universally recommended due to potential unlimited liability.
  • Health insurance can be either public or private, each subject to different regulatory oversight.
  • Life insurance policies come in various forms and cover a range of biometric risks.
  • Private pension insurance serves as a supplementary income source in retirement.

Contact

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Address

Law Firm Bergt & Partners Ltd.
Buchenweg 6
P.O. Box 743
9490 Vaduz
Liechtenstein

Phone

+423 235 40 15

E-Mail

office@bergt.law