The Economic Impact of Insurance Essay Example | Topics and Well Written Essays - 1750 words

The Economic Impact of Insurance - Essay ExampleIndeed, some(prenominal) individuals and organisations in UK appreciate this postulate thus the policy industry has a major role to guard duty numerous livelihoods and businesses in the country. As indicated by ABI, 20.2 one thousand million, 19.6 million, 17 million and 3.6 million of the 26.4 million households in the UK hit household contents insurance, motor insurance, building insurance and mortgage protection respectively.9 Furthermore, some other 1.7 million households have medical insurance. Such covers ensure that firms and families do not lock their money in provision for emergencies but aloneows such money to be used in building the countrys economy. economic consumptionThe insurance industry in UK provides massive job opportunities directly and indirectly. The economy has about 976 firms registered to sell command insurance and some other 285 registered to sell long term insurance as documented by Smart.10 These firms directly provide employment to many citizens of the UK who would have probably had no jobs. Currently, ABI documents 320,000 people directly utilise by the UKs insurance industry.11 This is a substantial contribution to the labour market by UK insurance industry, bearing in mind the statistics by Organization for Economic Cooperation and Development OECD indicating that this accounts for about 33% of all the jobs in the financial services.12 Smart observes that the industry employs twice the number employed in water supply, mess up and electricity sectors combined.