Your deductible is for comprehensive coverage not liability....your comprehensive is limited to the value of your car.....
I think you meant collision, not comprehensive. Comprehensive claims are usually smallish unless you live in tornado alley.
liability can break you
Indeed, which is why I carry mega liability coverage rather than wasting my insurance dollars on low deductibles for collision.
That's auto insurance.....a big difference from health insurance....
I used auto insurance as an example because auto insurance is real insurance, as we discussed earlier. It's underwritten based on risk. Almost all health care policies are prepaid medical plans, not insurance, so they don't illustrate the concept of insurance.
That's not contrary to my assumption, that is my assumption......ie those with high deductibles are self insuring and paying a premium for nothing...
At last, a counter argument! OMG! I thought I'd never see one from you. Of course you don't seem to recognize it as a counter argument, but I'll let that go. <g>
Now that I know the basis for your assertion, I will state once again that the whole notion of insurance is to avoid being wiped out. That's why we insure against big, rare events and not everyday expenses. You seem to understand that a liability event, in contrast to a comprehensive event, can wipe you out. So can a major medical problem. Just like spark plugs, mammograms don't wipe you out. So you don't insure against them. You just suck it up and pay for them. If you buy a policy that covers routine expenses, you end up paying for those expenses in premiums rather than directly to the garage or radiologist plus you pay the insurance company for the overhead of handling that transaction for you plus profit. That is throwing money away into the waiting arms of the insurance companies. When you insure against being wiped out, you are not throwing money away. You actually hope that you never make a claim and never get a dime back because that would mean that something horrible happened to you.
If you don't understand the concept of insurance, you end up throwing money away.
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