Collective Insurance is a type of insurance where a group of individuals or organizations come together to share risks and costs. Instead of each person purchasing their own policy, they pool their resources to cover potential losses. This approach can lead to lower premiums and better coverage options for members of the group. Typically, collective insurance is organized by associations, unions, or communities, allowing members to benefit from collective bargaining power. It can cover various needs, such as health, life, or property insurance, making it a flexible option for those looking to manage risks more effectively.