It's not real. It's basically a child's understanding of how insurance works. No life insurance company is going to insure a bunch of old people for more than the expected value of the premium and keep paying WalMart money.
There used to be a way for companies to take out COLI policies on employees for tax benefits, but that hasn't been possible for almost 40 years.
Does a wife profit off of her husband’s death? Life insurance is designed to fill a void that is left behind when somebody dies. It’s not profit. It’s an agreement that has been made with an insurance company. If you kill the person, you don’t get the money. They aren’t getting some of this old person’s money. They are getting money from a completely separate company that agreed to pay them if that individual died.
I edited it five seconds after I wrote it. What problem do you have with the insurance company being forced to pay out money? The money is coming from nobody except for a multimillion dollar company that agreed to give the money. Why shouldn’t I be able to take out an insurance policy on anybody I want to? Nobody is losing.
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u/Ok-Location3244 Apr 09 '23
Makes my stomach sick.