Insurance is a special kind of economic relations intended to guarantee protection of the insured persons and their cases from various dangers. Insurance in the broad sense includes various types of business activities (insurance itself, or primary insurance, reinsurance, coinsurance), which in combination provide insurance protection. Insurance in the narrow sense of relationship (between the insurer and insured) is directed to protect the property interests of individuals and legal persons (policyholders) when certain events (insurance cases) take place via monetary funds (hedge funds) generated from insurance premiums paid by them (the insurance premium).

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The economic essence of insurance is to provide various types of protection. Insurance protection can be explained as a two-sided reaction of the mankind to the possible danger of natural, technological, economic, social, ecological and other origin. On the one hand, the insurance protection is caused by an objective requirement of individual and legal persons in maintaining their property interests associated with different aspects of life. On the other hand, this need is accompanied by a corresponding ability of people to ensure interests that are mentioned above.

There are different approaches to the classification of insurance business. Most countries of the world have identified two types of insurance: life insurance and non-life insurance. This classification is used in the development of legal documents, insurance market analysis and other issues. In the practice of insurance companies, insurance analysis also agreed to allocate three categories of insurance: property, personal and liability. The differences in the objects of insurance are the basis of division in the insurance industry.

In personal insurance, the object of insurance is the property interests associated with life, health, capacity for work and pensions of the insured or the insured person. The personal insurance includes:

1. Life insurance.
2. Insurance against accidents and diseases.
3. Medical insurance.

In property insurance the object of insurance is the property interests associated with the ownership, use and disposal of the property.
Property insurance includes:

1. Property insurance companies and organizations.
2. Citizens Property Insurance.
3. Transport insurance (means of transport and cargo).
4. Insurance other types of property other than those listed above.
5. Insurance of financial risks.