 Credit card company's insurance? |
| I've heard that if someone is'nt working for x reason and the credit cards didn't get paid for a certain time they would stop trying to collect and get paid by some insurance company. A... |
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 Birth Mother's Medical Bills? |
| My husband and I adopted a baby girl 8 months ago. The adoption was finalized in January. We were told by the social worker and the attorney that we hired for the birth mother that she would be ... |
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 Home Insurance? |
| If your insurance runs say from 1st November 07 to 1st November 08 and if you make a claim in January 07, and then make another claim on 26th November 07. Does this mean that this is counted as 2 ... |
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 I don't have health insurance, should I get AFLAC? |
| My company sent an AFLAC representative to us today. I heard it was supplemental health insurance and it costs $35/month for accidents and sickness. I don't have any insurance at all, should I ... |
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 How to educate the people on Insurance? As its most important.? |
| As you know the fact, that only 17% is covered under Insurance in India & rest others are still with out Insurance benefits, so could you all please provide me a better solution, inorder to ... |
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 Life Insurance in Alabama for seniors? |
| Anyone know of a life insurance company that will insure an 82 year old? My friend's mother has a little life insurance, but she fears that will not be enough when the time comes.. She is in ... |
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 Should you get an employee life insurance if they are already under a worker's comp policy? |
| If the employee dies while working the workers comp policy pays and if the employee dies while off work then the life insurance policy pays(is this thinking correct?)... |
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 My car was recently rear-ended.... I have Two questions....? |
| 1. I was rear ended by some chick in a BMW, I have a 95 Crown Vic in poor (Cosmectic) condition, but it drives fine. She skuffed up my bumber and put a crack in the light. I went to get an ... |
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 Does anyone know an affordable health insurance company? |
| I am self employed and need affordable health care for myself and my child.... |
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 What can we expect from Homeowners insurance? |
| A pipe leaked in the upstairs bathroom (not frozen - apparently former owner put a drywall screw through a pipe and it has finally given way). The water leaked (all day while we were away) into the ... |
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 Can I get a claim dropped.? |
| If I file a claim for water damage due to sump pump failure which turns out not to be covered on my home policy can I get the claim dropped and removed from record?... |
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| Insurance certificate sent to email ? which sites so that? HEELP? |
police impounded my car for not having insurance. can you tell mw whch sites instantly send you the insurance certificate to your email once paid online. ??
Additional Details
do that* ... |
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 Can you take out a large insurance policy on someone without them knowing about it? |
| My daughter does not currently work, as she has 2 small children. Her husband works a lot of overtime in order to provide for them. He is also a type-1 diabetic and I worry about his health a lot. ... |
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 Term Plan -Endowment Plan for Insurance? |
| What is the difference between TERM plan & ENDOWMENT plan? Which one is better in current market situations.????... |
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lauritaingp | How does insurance affect our economy? |
What would happen if we couldn't insure things? Can anyone tell me where I can read about insurance and how it works? |
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Don
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The first thing one needs to understand about insurance is that it is a business. They are in business to make a profit. That means they have to take in more money than they pay out. The reason they insure things is that they believe you will pay more in premiums than they will pay in losses. People should only buy insurance when the lose of an item could cause financial ruin. They will not sell you insurance if they think you are at risk of making claims i.e. sick people cannot buy health insurance, people with really bad credit pay higher premiums because the insurance company sees them as more likely to file a claim. Bad drivers pay a premium or go into a state mandated risk pool etc. etc.
Believe it or not there was a time when there was no such thing as insurance. Doctors worked for chickens and if your house burned down your neighbors came and helped you build it back. Things have changed. |
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bc12012
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how do insurance companies affect our economy ? they are the economy....they own everything.OK do you know why mortgage companies are not selling many loans right now ? its because the banks they sell them to don't want them because the insurance companies who buy them from the banks are taking a small hit with foreclosures and people are going to refinance because their sub prime mortages go into a much higher rate..so the insurance companies dont want to let people refinance so they wont buy the loans forcing peole to pay a very high rate.the insurance companies reorganize their portfolio and the Dow Jones industrial avg drops 200 points every time they make a big move.Insurance companies own everything ..Exxon, Mobil Sunoco .even huge fuel companies.Where can you learn ........i would think in an economics book. |
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mbrcatz
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How insurance works: It's a bet. You're betting against the insurance company, about whether or not something's going to happen. The cost of insurance is based on the likelihood of the "something" happening.
The main effect of insurance on our economy, is it allows us to buy things we can't afford (houses, cars, business equipment, etc), using insurance to back up the loan. I'm not sure if that's good or bad.
**ps, on healthcare - the US Per Capita cost of health car is $7,000 per year. That means, add up how much we spend on health car, divide by every man, woman and child (insured or not), and it works out to $7,000 A HEAD. Most insurance doesn't cost that much a year.*** |
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hightechchic
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Insurance allows us to buy things we can't afford to pay cash for and to not risk losing everything we own.
As for what that's done for the economy... well, it's basically given rise to the middle class.
In the days before insurance, people paid cash for homes and they were generally very modest unless the owners were exceedingly wealthy. If the home burned down, you lost everything. Now, it's true that in those days, a lot of neighbors helped each other out by coming out to help you rebuild.
Keep in mind the easiest way for the average American to build wealth is through home ownership. Could you afford to pay cash for your home? And even if you could once, could you afford to replace it (and everything in it) if you lost it all? Very few people can do either. And no one would loan you money to buy a property (or much of anything else) if they weren't assured to get their money regardless.
The ability to borrow money to buy a home that you get to live in while you're paying for it was one of the biggest reasons a middle class was established in this country. We were no longer bound to work for an employer who provided housing for us, or to live with our extended families forever if we were lucky enough to have family members with property.
For most Americans, their home is still their single largest asset. That's HUGE in terms of wealth, although we don't tend to think of it that way. |
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aaron p
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Wow folks. Why so negative. Health insurance has actually become so expensive because the cost of health care has gone up dramatically. They used to give you a shot of whiskey before they did surgery in a tent. Whiskey (even the good stuff) and tents are cheap compared to what we use today. As the cost of the loss you are displacing increases, or as the likelihood of you incurring that loss increases, so does the cost to offset that risk. That's why flood insurance on a million dollar home with a Mississippi River view will be more expensive than on a half million dollar house on top of a mountain.
The idea of pooling your risk with others to indemnify yourself from an unforeseen loss has been around in different forms for a long time. I don't think most books that aren't technical in nature really do a good job of explaining this. You might want to consider auditing a class on risk management or checking out what iTunes University has. |
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elroyfudpucker
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It is part of the"Rich get richer while the poor get poorer" syndome. Insurance allows costs to rise beyond the ability of people to pay the bill, requiring one to purchase protection fom a group that sets the profit level or pricing. You can see what it did to healthcare and even auto repair. In old days, doctors and bodywork were affordable to some extent, now one cannot come close. Now, the healthcare industry has allowed profits to get so igh that we cannot afford as a nation to pay their exteme prices and the profits of the insurance companies as well. |
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