Difference between insurance amount and compensation limit. The difference between the insurance amount and the compensation limit is as follows: 1. Different insurance amounts are defined, which refers to the maximum limit of the insurance company's liability for compensation or payment of insurance benefits under an insurance contract, that is, the actual insured amount of the insurance subject matter of the applicant; At the same time, it is the calculation basis for insurance companies to collect insurance premiums. The compensation limit refers to the maximum compensation amount that an insurance policy can provide. The limit can also be further divided into two compensation limits for personal injury and property loss. 2. The statement of using different insurance limits in different fields usually exists in liability insurance, which is the maximum liability limit for the insurer to undertake credit risk accumulatively in an insurance year as stipulated in the policy. The total amount of compensation received by the insured cannot exceed the maximum compensation limit. In essence, the insured amount also refers to the maximum amount of the insurer's liability for compensation or payment of insurance benefits, referred to as the insured amount, which is more commonly used in various types of insurance. 3. The insurance limit with different nature refers to the amount within the insurance amount range, and the maximum is the insurance amount. The insured amount is usually called the insured amount, which is the maximum payment amount agreed by the applicant and the insurance company. The insured value equal to the insured amount is full insurance; If the insured amount is lower than the insured value, it is insufficient insurance. If the subject matter of the insurance is partially lost, unless otherwise agreed in the contract, the insurance company shall compensate according to the ratio of the insured amount to the insured value; The insured amount exceeding the insured value is over insurance, and the insured amount exceeding the insured value is invalid. Malicious over insurance is fraudulent and may invalidate the insurance contract. Is there anything you don't understand?