DESIGN AND IMPLEMENTATION OF A COMPUTERIZED INSURANCE APPLICATION AND REGISTRATION SYSTEM. A RESEARCH PROJECT MATERIAL ON COMPUTER SCIENCE EDUCATION
CHAPTER ONE
GENERAL INTRODUCTION
INTRODUCTION
Insurance is a promise of compensation for specific potential future losses such as damage, illness or death in exchange for a periodic payment. It is designed as a risk management mechanism to protect the financial well being of an individual, company or other entities in the case of unexpected loss.
Some forms of insurance are required by law while others are optional. Agreeing to the terms of an insurance policy creates a contract between the insured and the insurer in exchange for payments from the insured called PREMIUM. The insurer agrees to pay the policy holder a sum of money upon the occurrence of a specific event. In most cases, the policy holder pays part of the loss called the DEDUCTIBLE and the insurer pays the rest.
There are different types of insurance such as life insurance, health insurance, auto insurance, property insurance, travel insurance, etc. This project centers on auto or vehicle insurance.
Vehicle insurance is an insurance policy purchased for cars, trucks and other road vehicles. The primary use is to provide financial protection against physical damage and/or bodily injury resulting from traffic collisions and against liability that could also arise therefrom.
Auto insurance is the most widely purchased type of insurance coverage. It is applicable to all types of automobiles and their drivers. It covers physical damage caused to your vehicle and other vehicles you might come in contact with. It offers liability protection. This means that if you are involved in an accident and another person is injured, your vehicle insurance policy will cover a portion of the person’s medical expenses.
STATEMENT OF PROBLEM
Prior to this period, insurance services involved the physical participation of both the insurer and the insured which is the traditional way of carrying out insurance services. Since work carried out in an insurance company is done manually, clients’ documents may be difficult to store and maintain due to human errors. There is also high risk of fraudulent activities due to freedom of human discretion.
But this research work provides basic insurance services online, thereby reducing the tedium of the traditional method of performing insurance services. It also aids proper storage and maintenance of clients’ documents. Furthermore, it aids structured document representation and eliminates the tedium of performing monotonous transactions.
OBJECTIVES OF STUDY
This web based application provides the following benefits:
- Fully automated insurance application processing.
- Online information and application form for registration.
- Decreased processing time and form errors.
- Displays detailed information about the different types o insurance policies provided.
- Premium rates offered by the insurance policies are displayed to the user.
- Minimize multiple fraudulent claims.
- Provides authentic, qualitative and comprehensive data on insurance for national policy formulation.
- Provides easy verification of all policies issued.
- Facilitates recovery of stolen vehicles.
- Enhances transparency and accountability among stakeholders, thereby restoring confidence in the insuring public.