Define the term “bank”.

The word 'Bank' has been derived from 'Banque' which means a bench. 'Mahajan' and 'Sahukar' used to lend money to people while sitting on a bench and accepts deposits from public and grants loan to industry and trade.
According to Indian Banking Companies Act, 1949, 'a bank is an institution accepting deposits for the purpose of lending or investing deposit from public repayable on demand or otherwise, withdrawal by cheque, drafts, order or otherwise”.
According to Walter Leaf, 'a Bank is a person or corporation which holds itself out to receive from public deposits payable on demand by cheque.

According to Justice Lyndall, “Insurance is a contract where a sum of money is paid by the assured in consideration of bearing the risk of paying a large sum upon a given contingency.”

Life insurance contract is not a contract of indemnity. Life insurance may be defined as a contract in which the insurer, in consideration of a certain premium, either in lump sum or by other periodical payments, agrees to pay to the assured, or to the person for whose benefit the policy is taken, the assured sum of money, on the happening of a specified event contingent on the human life or at the expiry of certain period.

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Fire insurance is a contract whereby the insurer, in consideration of the premium paid, undertakes to make goods any loss or damage caused by fire during a specified period.
Normally, the fire insurance policy is for a period of one year after which is to be renewed from time to time.

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