As we go through life, inevitably we find ourselves in countless situations that put us and our assets at risk. We had to find a way where we could manage that risk, that’s how insurance came to be. First, we must understand what insurance is. Insurance is a contract in which we pay an insurance company a fee, and they provide protection of an unforeseen event. However, this does not mean we can insure everything, we are only allowed to insure a pure risk. A Pure Risk is a situation that will result in either a loss or no change in status. For example, if a hurricane comes and it floods the area where your property is, that is an