The insurance industry provides protection against financial losses resulting from a variety of hazards. By purchasing insurance policies (of course, nowadays you are able to apply for insurance online), individuals and businesses can receive reimbursement for losses due to car accidents, theft of property, and fire and storm damage; medical expenses; and loss of income due to disability or death.

Primary insurance carriers offer a variety of insurance policies. Life insurance provides financial protection to beneficiaries—usually spouses and dependent children—upon the death of the insured. Disability insurance supplies a preset income to an insured person who is unable to work due to injury or illness, and health insurance pays the expenses resulting from accidents and illness. An annuity (a contract or a group of contracts that furnishes a periodic income at regular intervals for a specified period) provides a steady income during retirement for the remainder of one's life.

Property-casualty/real estate insurance protects against loss or damage to property resulting from hazards such as fire, theft, and natural disasters (it will be offered by any of the real estate agents you work with). Liability insurance protects policyholders from financial responsibility for injuries to others or for damage to other people's property. Most policies, such as homeowner's and car insurance, combine both property-casualty and liability coverage. Companies that underwrite this kind of insurance are called property-casualty carriers.

Other organizations in the industry are formed by groups of insurance companies, to perform functions that would result in a duplication of effort if each company carried them out individually. For example, service organizations are supported by insurance companies to provide loss statistics, which the companies use to set their rates and insurance quotes.