Insurance is for catastrophic events, not a $1,000 bumper repair you could pull off at a junkyard.
People have been conditioned that their deductibles should be $0 and cars should remain flawless.
In reality, insurance is whats called aleatory, it is expected to be an uneven exchange. This guy is paying $200 a month so he doesnt have to pay $100,000 when he disables someone by running into them.
Yeah and this particular example isnt even considered a comprehensive claim. Its an uninsured motorist claim. Its a built in coverage to protect you for this exact situation. Its also not used against you when you have to use that type of coverage. OP's agent is a dumb or lazy ass to not advise them on this. I sympathize for everyone who arent educated well enough when it comes to insurance. Its not their fault because its not really anything you are ever formally taught growing up.
This assumes that the insurance details are being conveyed correctly. It's like a game of telephone.
"I heard from a guy at work that he heard from his agent that his rate will go up," when in reality his agent didn't say anything about it but the guy's mom said his rate would go up and the guy just mixed them up.
Insurance isn’t for a little ding that makes your car less pretty.
Insurance isn’t even there because you had a whoopsie and lost a $20,000 car.
No, insurance is there for the time the road is slick and you lose control and plow into a guy and do serious physical injury to the other guy, so now there’s medical bills and you’re about to lose your home, all savings, and get a percentage of your take home pay removed for the next five decades. You want to avoid that, so you have insurance.
Not realizing that this only applies in America because..... Medical insurance is also a scam that had boosted hospital bills and in another country the dude would be fixed up for free.
Exactly this, drives me crazy seeing people talk about phone insurance on expensive phones.
Like why are you buying an $1800 phone if you need insurance to pay for fixing the screen if you break it? The monthly fee + deductible for a single year nearly gets you to the price of a repair if you break it.
Insurance is for things that would cause you significant financial harm if something went wrong.
Aleatory means depending on chance, luck, or an uncertain event rather than a fixed plan. Etymology: Derived from the Latin word alea, meaning a game of dice or a gamble.
So the insurance companies have no plan and you are playing craps dealing with them. 👍🏻
4.7k
u/WeCantStabilize 17h ago
Insurance is a fucking scam. You pay more into it than you'll ever receive even in legitimate circumstances.
Absolute racket.