should we be untitled to all or at least some of our hard earned back from insurance .?

Question

what the heck is w/ insurance. i use electricity, i pay an electric bill same for phone, water, gas,food even this computer. the only thing i dont use is insurance but i still pay for it ever month. what do you think.

Answer 1

did you ever go to a bookie, and ask for your money back after losing the bet? insurance is a bet - and insurance people are professional bookies.

Here's how it works, oversimplified. There are 100 people who each have a house. They all agree to share any losses. They all pay $100 each into a pool. One guy has a fire, he has $10,000 damage to his house. The money from EVERYONE goes to pay that one loss.

That's how it is. The job of insurance companies is to figure out how much a particular person has to pay, to cover 'their share' of the whole group's losses. MOST people don't collect - if they did, you'd see premiums close to the total amount of coverage.

Answer 2

Some insurance DOES off a 'return of premium.' Guess what? You pay more for that insurance than without that feature. It is your choice. You can spend more money and eventually get the money back or you can keep those extra dollars in your pocket so they can work for you.

Talk to a licensed insurance professional in your state.

Answer 3

If you got a refund of your insurance premium in years when you have no claims, the insurance company wold not have enough money to pay you when you do have claims.

What are you buying with insurance? Peace of mind, that you are not going to have to come up the money yourself for a claim.

Answer 4

Crap happens. And since we don't know when it happens, we pay for insurance in case it does. If you have a car, you are required to have insurance in order to drive it. If you have a house, your lienholder requires you have insurance as well... just in case crap happens.

Answer 5

Nobody is required to buy insurance; it's a choice.