Wednesday, November 29, 2006
Required insurance?
It seems many people have been brainwashed to believe that insurance is as vital to life as food and drink. There is life without insurance. Let us consider:
You have a Citizens Property Insurance Corp. windstorm policy, $5,000 premium. Don't forget the huge deductible, $25,000. A storm comes along and you suffer $20,000 worth of damage. You have to pay all of it, plus the insurance company still has your $5,000, so you're out $25,000.
With insurance, you're out $25,000; without insurance, you're out $20,000.
Of course, there is a million-to-one chance that you will suffer total destruction. I'll take those odds any day.
You have a Citizens Property Insurance Corp. windstorm policy, $5,000 premium. Don't forget the huge deductible, $25,000. A storm comes along and you suffer $20,000 worth of damage. You have to pay all of it, plus the insurance company still has your $5,000, so you're out $25,000.
With insurance, you're out $25,000; without insurance, you're out $20,000.
Of course, there is a million-to-one chance that you will suffer total destruction. I'll take those odds any day.
// posted by Ivan @ 1:49 AM 
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