Why is it called "Life Insurance"?

[SunnyD]

It's not insurance on your life at all, but rather insurance that you WILL DIE eventually. Shouldn't it be called Death Insurance?

 

[highland145]

Your death is not certain.

 

[FoBoT]

marketing

death insurance is way too negative

so you use double speak to make it sound nice, like puppies and bunny rabbits

its all about marketing

 

[manimal]

Should call it patriot freedom insurance.

 

[Corporate Thug]

marketing

death insurance is way too negative

so you use double speak to make it sound nice, like puppies and bunny rabbits

its all about marketing

this

 

[sactoking]

Health Insurance insures your health and pays when you are not in health.
Property Insurance insures your property and pays when it is damaged.
Auto Insurance insures your auto and pays when it is damaged.
Life Insurance insures your life and pays when it is done.

 

[Crono]

"MetDeath: Have you met death today?"

Hmm, just doesn't have the same ring.

 

[SunnyD]

Health Insurance insures your health and pays when you are not in health.
Property Insurance insures your property and pays when it is damaged.
Auto Insurance insures your auto and pays when it is damaged.
Life Insurance insures your life and pays when it is done.

Which, let's face it, is rather pointless given you'll never see a penny of it. (Yes yes, I know, final "expenses" and shit - all basically free money grabs for enterprising profiteers)

So basically, life insurance is a scam?

 

[FoBoT]

So basically, life insurance is a scam?

i buy 'life insurance' because i have dependents and am the primary income earner in my family

so if i die before my children are out of the house, my family will have some $ cushion (pay off mortgage and debts) to get jobs/better jobs to replace my lost income

if you have no one dependent on your income, then, in my opinion, you don't need life insurance and you could regard it as 'a scam'

 

[highland145]

i buy 'life insurance' because i have dependents and am the primary income earner in my family

so if i die before my children are out of the house, my family will have some $ cushion (pay off mortgage and debts) to get jobs/better jobs to replace my lost income

if you have no one dependent on your income, then, in my opinion, you don't need life insurance and you could regard it as 'a scam'

Looks at OP.......:biggrin:

Better get some.

 

[ConwayJim]

Did you also notice that people who sell life insurance are a little to happy about the whole transaction as well.

Our guy salivates over the details sometimes

 

[Blackjack200]

If anything you could look at an annuity as death insurance. You are purchasing an income stream that continues until you die. The purpose is to reduce the risk of outliving your savings. So you are essentially buying insurance that you will die in a timely manner.

 

[Crono]

Did you also notice that people who sell life insurance are a little to happy about the whole transaction as well.

Our guy salivates over the details sometimes

This him?

 

[SunnyD]

i buy 'life insurance' because i have dependents and am the primary income earner in my family

so if i die before my children are out of the house, my family will have some $ cushion (pay off mortgage and debts) to get jobs/better jobs to replace my lost income

if you have no one dependent on your income, then, in my opinion, you don't need life insurance and you could regard it as 'a scam'

Why so serious?

Still, it's "Death Insurance".

 

[cronos]

This him?

BING!

 

[cronos]

I could have sworn I've seen this exact thread before here. Someone with a better search-fu than me maybe can find it.

 

[kranky]

They have used a number of sales tactics over the years.

"You pay us money until you die. Then when you don't need it and can't use it, we pay you!" Failed.
"Death insurance" Another fail.
"Just review this 80-page document full of numbers to make sure you understand everything I'm not able to explain in simple language." Another fail.
"Why invest on your own when you can do it with us, and pay more?" Another fail.
"Trust your neighborhood agent to put your needs first, even though he's paid on commission." Another fail.

They found the magic formula with "It's Life Insurance, to save your family from living on the street."

 

[manimal]

NED

caps

 

[Jeff7]

marketing

death insurance is way too negative

so you use double speak to make it sound nice, like puppies and bunny rabbits

its all about marketing

Yup.
My car has the "all-weather package," which consists of heaters in the front seats, the side-view mirrors, and under the windshield where the wipers sit.
It's only really useful in cold weather.
But "all" weather sounds friendlier and more useful than "cold" weather.



(* - I guess the side-view mirror heaters would be handy to help clear up them up when it's raining.)

They have used a number of sales tactics over the years.

"You pay us money until you die. Then when you don't need it and can't use it, we pay you!" Failed.
"Death insurance" Another fail.
"Just review this 80-page document full of numbers to make sure you understand everything I'm not able to explain in simple language." Another fail.
"Why invest on your own when you can do it with us, and pay more?" Another fail.
"Trust your neighborhood agent to put your needs first, even though he's paid on commission." Another fail.

They found the magic formula with "It's Life Insurance, to save your family from living on the street."

Always the gamble. If you get insurance, then die a year later and your benefactor gets a nice big check, it's a win - unless you're a really good investor.
(Except for the whole dying part, it's a win.)

 

[Mark R]

It's not insurance on your life at all, but rather insurance that you WILL DIE eventually. Shouldn't it be called Death Insurance?

It's not even, technically, "insurance". You cannot insure against something that you know WILL happen. You can only insure against something that MIGHT happen.

For purposes of pedantry, it would be better termed life assurance.

 

[sactoking]

It's not even, technically, "insurance". You cannot insure against something that you know WILL happen. You can only insure against something that MIGHT happen.

For purposes of pedantry, it would be better termed life assurance.

Technically it is insurance. You're not insuring against death, which is certain, you're insuring against unexpected and premature death, which is uncertain. This is why there is often a 2 year suicide exclusion and why people with terminal illness are uninsurable.

 

[TuxDave]

It's not insurance on your life at all, but rather insurance that you WILL DIE eventually. Shouldn't it be called Death Insurance?

So car insurance should be called car crash insurance?

 

[GuitarDaddy]

You insure against LOSS.

You don't lose death, you lose life. Thus life insurance

 

[GuitarDaddy]

So car insurance should be called car crash insurance?

Or perhaps totalled hunk of scrap metal insurance

 

[Dr. Zaus]

Your personal opinion is based on destroying the wealth of individuals who would otherwise be able to do good things with their money.

Why do you think you get paid better to sell that POS product whole life? Because you are destroying the wealth of others.

Whole life: Truly the scum of the sales world.

Term life: Makes sense.

Get a life policy that lasts until you are self-insured through your savings. A savings you'll be able to pull together because you aren't blowing all your money on whole life.