INTRODUCTIONOne of the first and basic characteristics of insurance is that it is a contingent contract, that is,it depends on the happening of a future event which is outside the control of the parties to the contract. In other words, uncertainty is key in the contract of insurance. Uncertainty of the event occurring relates to risk, as there is a probability that a risk may occur but as to when is uncertain. Hence, it can be said that insurance is a risk pulling and redistribution mechanism...
