| I worked in the insurance industry for the last eight | | | | your money for no reason. If you do use the policy |
| years and I was always amazed by how many | | | | you pay more. So that initial policy is a bunch of |
| people knew so little about insurance. Between cars, | | | | garbage. There are no guidelines set up in the policy |
| home, life, health, dental, short-term disability, and more | | | | saying you get 3 accidents for free or anything. One |
| there is so much to know. We spend thousands of | | | | claim means you pay more. |
| dollars each year on insurance so shouldn't we know | | | | In most states you can be cancelled for having too |
| all about it? I am licensed to sell insurance in | | | | many accidents. Homeowner's insurance is different |
| Massachusetts, which is easily one of the worst states | | | | altogether. It can be very difficult to get insurance in the |
| for auto insurance. Far too many people trust the | | | | first place and if you do get it forget about ever |
| insurance companies to tell them they are properly | | | | making a claim or you will be cancelled. |
| insured. | | | | Using the same example above regarding the TV, |
| When you go buy a new car do you trust the car | | | | think about the extended warranty/service plan you |
| dealer to tell you how to spend your money? Do you | | | | can buy. If you buy that and something happens you |
| trust a real estate agent to tell you what is a good | | | | do not pay more for that service. I have had to use |
| deal on a house you are looking to buy? If you | | | | my protection plan on my TV twice already. I am not |
| answered yes to either of these two questions I have | | | | getting a bill for more money now. In most cases |
| some land in Florida I think you might be interested in. | | | | insurance is just a scam, a way for them to take more |
| So why do we trust the insurance companies? | | | | of your money. I used to work for Liberty Mutual |
| Insurance companies are some of the wealthiest | | | | Insurance. The CEO reportedly made $12 million in |
| companies in the country. They got that way for a | | | | 2004. He insured his properties through the office I |
| reason. | | | | managed. He had 4 houses at the time I left. One in |
| You hand over your money to an insurance company | | | | Weston, MA, the most expensive town in |
| really for nothing in return when you think about it. You | | | | Massachusetts. He had one on the Cape, one in |
| go to Best Buy and buy a new TV and you get a | | | | Vermont, and one more that he had just purchased in |
| new TV. You buy a policy from an insurance | | | | Vero Beach, FL. That one was right on the ocean. I |
| company and you get a piece of paper. You get their | | | | won't even tell you what the replacement cost was on |
| "promise" to protect you in the event of a loss. But | | | | that house. |
| what happens when you have a loss and actually use | | | | How are you feeling about your insurance company |
| the policy? Your rates go up is what happens. Not all | | | | now? In part two I will discuss some bargains that are |
| policies are like this but in general this is how it works. | | | | not really discussed much in insurance. You won't want |
| Basically, if you never use your policy you hand over | | | | to miss that section. |