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In most international locations, life and non-life insurers are topic to completely different regulatory regimes and different tax and accounting rules. The primary motive for the distinction between the 2 sorts of firm is that life, annuity, and pension business could be very lengthy-time period in nature – protection for life assurance or a pension can cover dangers over many decades By contrast, non-life insurance cover often covers a shorter period, equivalent to one yr.

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