I didn't want to derail the other thread anymore, so let's discuss it here. Here is my take on it. I've known several insurance brokers over the years and they all are living in expensive homes. I believe every bit of insurance is one big scam and we would all be better of self insuring.
When you think of how much the average family pays in insurance, it is a hindrance to building wealth. The average home, auto, and health is 15-20k. Stick that in a bank account for 10 years and you have 150-200k. Short of a major medical emergency, how many people have had an insurance claim in those figures? How many people have major claims before 40? Think if you saved that for 30-40 years of your working career, you would be way ahead of what insurance would have shelled out for you. The problem with insurance is that we have to insure all these individual items. We have to overbuy coverage on everything. Then when you need insurance, there is always and fight over what is covered and what isn't. Then there is general liability and workers comp. We as consumers pay all of that cost in the products and services that we buy.
Then you have all the blood sucking lawyers. They will file any suit against insurance just because they know insurance will pay out just to make a claim go away.
When you think of how much the average family pays in insurance, it is a hindrance to building wealth. The average home, auto, and health is 15-20k. Stick that in a bank account for 10 years and you have 150-200k. Short of a major medical emergency, how many people have had an insurance claim in those figures? How many people have major claims before 40? Think if you saved that for 30-40 years of your working career, you would be way ahead of what insurance would have shelled out for you. The problem with insurance is that we have to insure all these individual items. We have to overbuy coverage on everything. Then when you need insurance, there is always and fight over what is covered and what isn't. Then there is general liability and workers comp. We as consumers pay all of that cost in the products and services that we buy.
Then you have all the blood sucking lawyers. They will file any suit against insurance just because they know insurance will pay out just to make a claim go away.