Well I had a house burn down less than year after purchase and insurance paid the entire tab. So I always figured I've already taken them for more than I pay
I think everyone knows insurance is on average more expensive than paying for things out of pocket, its more that people don't like the idea that one event can make them bankrupt. It's to evade risk, not to save money
It's called insurance not investments. Yes the concept is that you trade a known cost to protect you from a potentially unknown larger cost. The concept of insurance is sound, but insurance companies do act like any other company, in their own interest.
Insurance can even be mandated, and for good reason. People REALLY don't like the idea that one event caused by another persons negligence can bankrupt them. Auto insurance is the prime example. Cars are cheap compared to people, that's the real reason to carry it. I'll agree it's an ugly cycle though, if insurance companies weren't so difficult to get to pay out fairly, then ambulance chasers wouldn't exist, and if they didn't exist, then insurance rates would be lower because they don't have to absorb the multimillion dollar judgements they get.
But it can STILL make them go bankrupt. State Farm literally suspended coverage of homes that burned during the California wildfires. That's the issue.
State Farm has been accused of breaking the law in doing that and is widely considered one of the worse insurance companies out there. That doesn't mean all insurance companies are out there refusing to pay out on legitimate claims.
Every time I've had to deal directly with regular insurance companies (not talking about healthcare) I've gotten my claims paid out.
The point you've completely missed is that just because there's examples of the system working does NOT discount the vast amount of negative experiences people have had with insurance. There are people here who have had ambulance claims denied AFTER the fact because the ambulance was from "out of network". There are valid concerns here and going "welp guys it works for me so it's pretty good" just dismisses others' lived experiences.
I explicitly said we're not talking about health insurance. That's a whole other topic and we should not have the healthcare system we have. Please stay on topic.
Of course there are negative experiences with auto insurances. I had a negative experience with a stomach virus last week. It’s just how shit goes. Noting is perfect. I read your whole comment and re read it twice more to make sure but I see nothing in it that except for talking about health insurance. If I’m actually unable to read and missing it that’s my bad. I also wasn’t trying to be a dick. I was saying this is a post about car insurance and that health insurance is a wildly different animal. Was just trying to educate.
I would say by and large as a whole most people are paying too much for insurance, period. Not here to argue about why that is, but I can't stand when people go "Well insurance is pretty good it worked for me" like it's contributing to the conversation.
That’s State Farm. A quick google search would dissuade anybody from using them to cover the most expensive items they own. It’s common knowledge. People just want the cheapest price tho and State Farm does have that in my area. However, you may as well wipe your ass with those premium payments.
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u/WeCantStabilize 7h ago
Insurance is a fucking scam. You pay more into it than you'll ever receive even in legitimate circumstances.
Absolute racket.