^^not at all. It just means that 6667 people are going to die in a manner that the policy doesn't pay out.

It's perfectly reasonable that those people died naturally or doing something stupid like choking down 3 slices of pizza at once.

5/27/2011 5:16:54 PM

seriously? lol? die in a manner the policy doesn't pay out?

-instances of murdering someone
-suicide
-misrepresentations


From wikipedia:


The insurance company receives the premiums from the policy owner and invests them to create a pool of money from which it can pay claims and finance the insurance company's operations. The majority of the money that insurance companies make comes directly from premiums paid, as money gained through investment of premiums can never, in even the most ideal market conditions, vest enough money per year to pay out claims.[citation needed] Rates charged for life insurance increase with the insurer's age because, statistically, people are more likely to die as they get older.

5/27/2011 5:31:52 PM

Quote :

"statistically, people are more likely to die as they get older."

Is this true?

I can't believe no one has ever told me this before.

Thanks GeniuSxBoY!

5/27/2011 5:46:28 PM

Quote :

"ITT we see evidence of a lack of financial knowledge by the majority"

ding ding ding

Seriously, the entire financial system is full of risk protection contracts. That's why you have bail bonds, commodities futures, option writing, credit default swaps, bonded construction jobs, life insurance, homeowner's/renters/flood insurance, etc. Health insurance is in its own category because it doesn't really work like normal insurance. It's just a big clusterfuck.

5/27/2011 5:55:32 PM

Quote :

"It's just a big clusterfuck"

thx for clearing it up!



I THINK YOU SHOULD BE RISK AVERSE AND SHUT THE FUCK UP


(this is why I don't have friends)

5/27/2011 6:40:06 PM

statgrad, you don't have health insurance?

5/27/2011 7:07:55 PM

5/27/2011 7:10:36 PM

5/27/2011 11:46:24 PM

To quote one of my professors, "I can afford to die."

[Edited on May 27, 2011 at 11:54 PM. Reason : Dr. Hodgeson]

5/27/2011 11:53:36 PM