[Mikey_1962]

The truth is insurance is the biggest scam on earth.

What other service do you pay fro and then no dare use?

Think about how much money, time, effort and regulation you have to deal with to produce... say.. a car.

And then if it doesn't sell, all your capital is lost.

But with insurance all you need is approval from th State, money, an actuarial table, and a salesman. Then you start collecting ON DAY ONE!

Nobody dares file a claim for fear they will be canceled.

What a crock!

[Mikey_1962]

Sorry fat fingers: pay for, not dare use

[TexasTransplant]

Dittos

[1L]

I don't agree with "nobody dares files a claim" since claims are filed everyday, but I agree the insurance business is a racket. And this from an attorney who's practice has been litigation defense of insureds (i.e. insurance companies paying the bill).

The problem is that insurance companies don't want to pay claims. They obviously don't mind taking in premiums. When hit with a big claim, especially in commercial insurance situations, you can be they will hire counsel to see how they can get out of paying the claim. To top that off, states like Texas have bad faith claims settlement statutes, but the Supreme Court almost never enforces these.

[kitkat]

I wear a hearing aid. Lost it. I have coverage in my home owner's insurance. The insurance company would only pay for the aid which is only 1/3 of the cost of getting one. The other 2/3 is for fitting, etc. So, after the deductible, I got a check for $87, for a $1,400 aid. I asked my insurance man if my house burned down would they only pay for the construction material and not the work of building it again.

[verity]

Unless you can self-insure, you are at the mercy of the vicissitudes of life.

After a hailstorm severely damaged the siding on my house, my insurance company paid a small fortune to have the siding replaced. There was no threat of cancellation nor a rate increase.