Insurance Scams

As a former financial professional, formally trained and experienced not only in corporate finance, but also insurance, I can state that the insurance industry is plagued with fraud and misappropriate business practices. However, the fact is that every American needs insurance. By law all vehicle owners are required to have at least liability insurance and if you consider the recent trend of staged fake auto accidents, imployed to victumize innocent parties and to extort payments from them, comprehensive insurance is really a necessity, regardless of your vehicle.

As well, if you have a mortgage, you are required to maintain home owner's insurance that covers the amount of the mortgage. And if you do not want to face financial ruin you really need health insurance because the cost of healthcare in America has skyrocketed despite the fact that America is ranked only 20th in the world in healthcare, according to the World Health Organization.

Insurance companies soliciting life and term insurance try to position these contracts as investments when in fact, at best, life insurance can be more of a security tool. If you want an investment, stick to the stock market. Meanwhile, one of the biggest unjustices to consumers is the inadequate knowledge in teh marketplace about term life insurance. This type of insurance lures many due to its low premuims, but unlike whole life insurance, whose premuims are applied to an account which you retain ownership, term insurance builds no equity and when you stop payment you receive nothing.

term insurance and insurnce quotes are avaliable online. Term life insurance is affordable but does not build equity. Whole life insurance does build equity. Auto insurance is becoming less afforadable. When consumers buy auto insurance they are usually not aware of the full benefits and limitations. There are sites that provide cheap auto insurance but you need to make sure they have a good trackrecord of paying claims.