Insurance Explained - How Do Insurance Companies Make Money and How Do They Work

How do insurance companies actually work and how do they make money?

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[TheInfographicsShow]

Have you had good or bad experience when filing a claim to the insurance company?

[mintbrownieangelfish-]

This is the type of stuff I wished I learned in school. Thanks Infographics Show!

[DankMatter]

Does Lightning McQueen have life or car insurance?

[vippsmillennial]

How do they make money??
Ans. They take your money, and then refuse to pay!

[RaheemD]

I work in insurance and I learnt something from this! Makes me laugh when customers demand to talk the underwriters though lol

[randym]

Great explanation. Been in the industry almost a decade and believe you introduced the concept wonderfully. Thank you for making these.

[Sth_Magical]

As someone who studies insurance law in the UK, this is quite a good summary for the average person. Good job

[kellyyork]

Here’s how they make money. They charge you high insurance fees for years. Then when you have an emergency, they find reasons not to honor their contract, and they don’t pay out anything. Then, they charge you more for insurance simply because you had an emergency and you reported it.

[MatHolliday]

"How do insurance companies make money" more like is it even possible for them to lose money

[lucymartin]

The amount of time we spend believing we can't is more than enough time to learn how you can.

- my Brain

[beautifulsquidward]

can you discuss about how stock exchange works?

[marcusmorris]

Smoothest, transition to a sponsor I have seen in a minute 😂

[spacejunky]

The last five minutes blew my mind. I think the selling premiums to use for higher interest returning assets is genius. Insurances are the forefarthers of the passive income everyone wants. Literally having even a small slice of this scheme will set yourself in good standings for the rest of your life! Thank you for the information. I'm saving this video

[ashleyelizabeth]

When I think of insurance I think of that scene from The Incredibles where Bob threw his boss through multiple walls because he was getting yelled at for helping an old lady get through all the house insurance red tape.

I have to know a lot about my insurance just to keep my own personal health coverage but Mr. Incredible gives me hope while I'm on hold for like 2 hours on the phone with the agency.

[enriquerubio]

These videos are so freaking interesting, I love them. You have one my subscription Infographics Show, awesome. Keep up the good work!

[aeringothyk]

I earned my life health and accident insurance a few years ago but left the insurance business. Watching this video I was glad I was able to remember how all of this worked before pressing play. I was beginning to think I lost that information.

[hrmt-substack]

Historically you might want to consider the Renaissance as the time period where insurance started. In particular long-distance trading Mediterranean cabotage. In fact the Dutch East India Company was, before its consolidation as a company, a merchant insurance business where over 1000 people acted as insurers. This puts the creation of insurance as a business somewhere between the mid-15th and early-16th century.

[vikasb]

My city was heavily flooded a few years ago. The insurance company refused to pay for 3 of my cars. That's how they make money. Nice video though.

[jeffreywilliams]

You omitted to mention that back when insurance was founded in the coffee houses of old London, that business was typically done on only a single hand shake. On the basis that your word is your bond. It was not until much later (when I imagine when some people had renegade on their words and decided to get into politics instead) that contracts were drawn up. Now days could you imagine doing business on a hand shake, many people including a few politicians in high office, I could mention, would not be trusted to honour their word. Still at least it has created plenty of work for lawyers and will continue to do so.

[dem.c]

Great video as usual!! Love the simplicity of how you explain everything!