An insurer is a company or entity that provides financial protection to individuals or organizations against potential losses in exchange for premium payments. Insurers play a crucial role in the risk management process by assuming the risk that policyholders face, which helps distribute and mitigate financial losses across a larger group. This concept is foundational to the operational structure of insurance companies and heavily ties into the ethical obligations insurers have towards their clients, ensuring trust and transparency in all transactions.
congrats on reading the definition of Insurer. now let's actually learn it.