Quote:
Originally Posted by detbuch
That's rich. I should feel good about being the cash cow because insurance companies didn't make much on those I am rated with. Probably, if it weren't for cash cows like me, they would have lost money on others in "the pool."
Don't insurance companies make massive amounts of money by investing the premiums they collect (on a thin margin)? I guess I'm not feeling the proper sympathy for some of the richest companies in the world because they profitably invest my premiums, for which I have gotten nothing but a big chunk of my income being removed from my well being in order to enrich theirs.
Boo Hoo!
Oh yeah, that's right . . . I should be happy about being forced to defray somebody else's costs of reckless behavior or bad luck.
|
Yes, we have had this discussion, and I don't expect it to go anywhere. It's a big issue, not going to get addressed here.
I am not anti-government. I don't mind the feds doing that which (1) needs to be done, and (2) can't be done by a loose collection of individuals. There are a very small number of things on that list, you and I agree whole heartedly on that. This is one of those items on which we disagree. I don't like to see despair that was unavoidable to the person who is suffering, yet which cn be mitigated by social programs. And we don't need to raise taxes to address this, just cut a tiny fraction of the stupid waste that's out there,
As to your car insurance, no, no one expects you to feel good that you subsidized bad drivers in your town, which is exactly what you did. But you can, and should, take some small comfort in knowing that if you accidentally hurt someone today, you have an insurance policy designed to make sure that you don't lose everything you have.
That's the same exact kind of protection that I think sick people deserve. They can't help having a pre-existing condition, so why should they have to pay (and struggle for their entire lives) dearly for that?
Tone can be badly misinterpreted in emails, I hope that's not the case here. I have nothing but respect for you, this is just s friendly, challenging disagreement.
"Don't insurance companies make massive amounts of money by investing the premiums they collect (on a thin margin)?"
First of all, there are no investment gains these days. Insurance companies can't invest premiums in hedge funds, most of it is in bonds, which no pay interest rates pretty close to zero. Second of all, in personal auto insurance, there often isn't a lot of time to invest and earn, before claims are paid out. As opposed to some other lines, like medical malpractice, where claims often take 10 years to settle, companies have a lot more time to invest. No company is making big money as a result of buying short term bonds with your automobile premiums.
"If you insist that we must all be coerced into sharing the cost of someone foiling or putting off the moment of death"
I'm not talking about spending a zillion dollars so that a 99 year old with acute liver failure can live 3 more days. I am talking about a family whose child is born, for example, with something like spinal bifida (spelling error likely). Something that the family will live with for decades. Is it right that such a family might never be able to afford to buy a home, or send their kids to college, because every spare cent gets sucked up by medical expenses? I don't think so. I just don't.
It's fair to charge bad drivers more for car insurance. I don't think it's fair to charge sick people more for their healthcare. I can't prove it, it's just my gut.