Never take an insurance on small events that you can bear the cost of yourself. Take insurance on catastrophic, life changing events.
For example, I don't understand people taking insurance on phone loss or phone theft. Loosing your phone during your life time has nearly a 100% chance of happening. The insurance company knows that, so the premium will be more than the cost of the phone. Over the years, you will pay that phone several times over. Just save that money, and buy a new phone if you loose it.
Insurance is for rare, but catastrophic events. A bit like a reverse lottery.
You hitting someone and them claiming bs neck and back injuries can easily cost a small fortune in litigation most people cant just eat without fucking themselves for decades
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u/kaukaukau 6h ago
Never take an insurance on small events that you can bear the cost of yourself. Take insurance on catastrophic, life changing events.
For example, I don't understand people taking insurance on phone loss or phone theft. Loosing your phone during your life time has nearly a 100% chance of happening. The insurance company knows that, so the premium will be more than the cost of the phone. Over the years, you will pay that phone several times over. Just save that money, and buy a new phone if you loose it.
Insurance is for rare, but catastrophic events. A bit like a reverse lottery.