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Difference Between Life Insurance, Fire Insurance And Marine Insurance

Key differences between life insurance, fire insurance and marine insurance are as follows:

1. Risk

Life Insurance: Risk is certain. The insured amount is paid either on maturity period or at the death of policy holder (which is earlier).
Fire Insurance: Risk is not certain in fire insurance. The insured property may not catch fire.
Marine Insurance: Risk may or may not be arise because the happening of event is uncertain.

2. Period

Life Insurance: Life insurance policy is generally of longer period (more than 5 years).
Fire Insurance: Short period. Generally of one year.
Marine Insurance: Short period. Generally of one year.

3. Insurable Interest

Life Insurance: While taking life insurance policy, insurable interest must exist.
Fire Insurance: Insurable interest must exist at the time of taking fire insurance policy and at the time of loss also.
Marine Insurance: Insurable interest must exist at the time of loss in marine insurance.

4. Contract Of Indemnity

Life Insurance: Not a contract if indemnity. Insured person gets payment on the maturity date in life insurance.
Fire Insurance: Contract of indemnity. Only actual loss is indemnified in fire insurance.
Marine Insurance: It is not 100% contract of indemnity. 10% to 20% of the invoice value can be added on actual loss.


5. Premium Determination

Life Insurance: Premium is calculated according to the age and health of insured person, time of policy and mode of payment (monthly, quarterly, half yearly or yearly).
Fire Insurance: Premium is calculated on the basis of risk.
Marine Insurance: Premium is calculated on the basis of risk.

6. Premium Payment

Life Insurance: Installment basis.
Fire Insurance: Lump sum basis.
Marine Insurance: Lump sum basis.

7. Objective
Life Insurance: Security and investment.
Fire Insurance: Security of property.
Marine Insurance: Security of property.

8 Surrendered Value

Life Insurance: If holder wants to surrender the life insurance policy, he obtain surrender value.
Fire Insurance: Cannot be surrendered.
Marine Insurance: Cannot be surrendered.

Difference Between Formal And Informal Communication

Major differences between formal communication and informal communication are as follows:

1. Type

Formal Communication: It is written type of communication.
Informal Communication: Informal communication is verbal or oral type of communication.

2. Chain Of Command

Formal Communication: It follows a chain of command.
Informal Communication: It does not follow chain of command and move in any direction.

3. Proof

Formal Communication: Proof or supporting documents are kept safely in formal communication.
Informal Communication: There is no proof or supporting document in informal communication.

4. Security

Formal Communication: High level of security is maintained in formal communication.
Informal Communication: There is a lack of security in informal communication.

5. Authenticity

Formal Communication: Messages and information are authentic in formal communication.
Informal Communication: Messages, information and opinions may not be authentic in informal communication.

6. Time

Formal Communication: Formal communication takes more time than informal communication.
Informal Communication: It is faster than formal communication.

7. Examples

Formal Communication: Orders, reports, requests etc.
Informal Communication: Discussion, gossips etc.

Difference Between Oral Communication And Written Communication

The key differences between oral and written communication are as follows:

1. Transmission Type

Oral Communication: In oral or verbal communication, messages or opinions are exchanged or transmitted verbally (spoken words.)
Written Communication: In written communication, messages or information are transmitted in written format. 

2.Verification

Oral Communication: It cannot be verified because there is no record of verbal communication.
Written Communication: It can be easily verified because there is proper record of written communication.

3. Speed

Oral Communication: Information are exchanged very fast in oral communication.
Written Communication: It takes more time for the transmission of message.

4. Literacy

Oral Communication: Literacy is not required for verbal communication.
Written Communication: Literacy is very important in written communication.

5. Feedback

Oral Communication: Immediate feedback is possible in verbal or oral communication.
Written Communication: Immediate feedback is not possible in written communication. It takes some time.


6. Cost

Oral Communication: It is very economical.
Written Communication: It is expensive than verbal communication.

7. Revision Of Message

Oral Communication: Revision of message before delivering is not possible in oral communication.
Written Communication: Revision of message before delivering is possible in written communication.

8. Usefulness

Oral Communication: Verbal communication is useful when recipient is near.
Written Communication: It is useful if the recipient is at distant. 

9. Misunderstanding

Oral Communication: There is high chance of misunderstanding,
Written Communication: There is very less chance of misunderstanding in this type of communication.

10. Legal Evidence

Oral Communication: Verbal or oral communication cannot be used as legal evidence.
Written Communication: It can be used as legal evidence if required.

11. Examples

Oral Communication: Telephone conversation, lecture, face to face talk etc.
Written Communication: Letter, bulletin, e-mail, fax etc.




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