Insurance Coverage- what is the companies responsibilities.

HOME

I have a home that would take $400,000 to replace, I have an insurance policy for $200,000. I have a fire and a total loss. The insurance company pays me $200,000. I am backrupt, I still owe $300,000 on my home. Do I get to call up the president to tell him the evil company wont pay me $400,000? NO OF COURSE NOT.


CAR

I am insured for $500,000 liability 0n my car. There is an accident 5 people are badly injured. I fell asleep at the wheel and was at fault and was sued. The injured were awarded $1.5 million. The insurance company paid $500,000. Do I get to call up the president to tell him the evil company wont pay $1.5 million? NO OF COURSE NOT.

HEALTH

I am 21 I work at a company that offers health insurance, I dont buy it or take advantage of the 90 day period allowing previous illnesses. I am diagnosed with cancer, treatments will be $200,000. I try to get in plan at work and am turned down for pre-existing conditions. Do I get to call up the president to tell him the evil company wont give me $200,000 in return for my $300 a month payment? YES OF COURSE.

INSURANCE

Insurance is a business decision. It is balanced decision of probable loss versus cost of insurance. Some areas of the country flood insurance would be rediculous, others not so much. If a family has insurance with a $3,000,000 cap and they exceed that, that is a business result. The insurance company fullfilled it's obligation. They have no more requirement for compassion than the other examples of Homeor Car coverage. It is easy for the president to twist this into something it isnt.