do you think that insurance is the closest thing to legalized fraud?
j man asked:
It now costs over $400 per month for the average group medical plan that has a $500 deductible and then only covers 80 percent.
Say you have a major trajedy, your still screwed, you’ll deal with in network, and out of network people, some will pay others differenetly, you could still wind up paying 60% of the bill, that is after all the costly monthly premiums.
i just like how they fight to not have to pay anything on claims.
You’re right, but only for car insurance. I mean you pay that much money and if you get into an accident your rate goes up, so technically the increase in interest is the amount you pay back for the damage fees they had to pay. As for life and home insurance its great because it these help aid to bigger expenses in which the average person can’t afford.
Joe T
21 Jun 09 at 12:18 pm
I disagree with your point. If someone had a major tragedy and the person is treated in an “in network” facility, the most that person would pay would be the deductible and the copay, and with the medical costs that we have in this country, that payment would be minimal when compared to the “full” bill.
As with the example you mention: what do you prefer? pay 60% of the bill having insurance or pay 100% of the bill not having insurance?
I don’t see the “legalized fraud” anywhere.
Best regards, and Happy New Year!
miguelggarcia
23 Jun 09 at 3:56 pm
Assume you are looking at a 50,000.00 bill,(_not unreasonable if you have cancer,)
the ins co would pay out 40100,00 and there’s a good chance the hospital would accept the 40100.00 as payment in full.
As far as fighting to not have to pay, can you give me an example, or are you just blowing hot air?
Barry auh2o
24 Jun 09 at 10:34 am
I call insurance legallized gambling. Not fraud. They do play the odds and they need to stay solvant to pay for claims as they arise. I dont think I would like to gamble and not have insurance on the other hand.
Steve S
26 Jun 09 at 8:11 pm
Yes- it is really. Obviously insurance premiums are calculated using actuarial facts therefore someone who rarely claims is paying for thouse who regularly claim (general insurance).
One point is actually insurance against a genuine risk. i.e in house insurance you are asked to value your entire contenets and the premium is based on this. But how likely is it that the total contents will need replacing?
When I asked my insurance co. why my premium had increased by about 40% they said it was because they were now using the full post code rather than the area code. This meant they were basing my risk on about 20-30 households in my road: WHAT??
The other thing is there are some professional claimers! People who use the slightest excuse to claim and bump the claim up. These people brag about their successes and this leads to more people doing it. I know you were talking about medical ins. but here in the UK on our car insurance we have an extra called uninsured loss or something, it is usually added to the policy for “free”. Anyway someone hit my wife’s car( value about £300) and wrote it off. These people ‘phoned and asked if we needed a courtesy car. Yes I said, who wouldn’t. The car was a brand new Honda Jazz and was costing over £100 a day. The claim procedure went on for a couple of weeks and my insurance company even quibbled about the write-off value. They could have paid out £500 in the first few days and saved about £1000 on the car hire!
It seems car insurance is sold wholesale. i.e some underwriters might wish to write some insurance for a particular risk category. If you happen to be in this risk category and require cover at that particular time you will get cheap insurance. How you go about getting this info I don’t know. Anyone?
ray s
29 Jun 09 at 6:23 pm
No, I think Social Security is the closest thing to legalized fraud – it’s effectively just a Ponzi scheme, and is getting ready to implode.
mbrcatz17
2 Jul 09 at 5:59 pm
We can thank our gov’t for allowing the Health Insurance industry lobbiests for this!
Health insurance doesn’t have to be as you describe, but the gov’t has allowed employers to purchase plans that offer minimal coverage with many exclusions.
I wouldn’t call it “fraud” but it’s not productive and it’s not “user Friendly.”
Telecaster Baby
3 Jul 09 at 8:20 am