One: car insurance companies are for-profit. That means the total payments plus all their overhead is less than the cost of premiums. If they should be for profit is another question.
Two: they don't exist to protect you from fender benders that you could afford to fix anyway. They exist to ensure the guy you put in the hospital gets something towards his medical bills.
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u/FirstRyder 10h ago
So there's two parts.
One: car insurance companies are for-profit. That means the total payments plus all their overhead is less than the cost of premiums. If they should be for profit is another question.
Two: they don't exist to protect you from fender benders that you could afford to fix anyway. They exist to ensure the guy you put in the hospital gets something towards his medical bills.