11.08.2009 / Insurance and Pre-existing Conditions
Ah, “pre-existing conditions.” A couple words that bring us all together in peace and harmony and close the gap amongst parties, races, and economic classes. Uniting words for all of us to use as joint artillery against the evil insurance companies that stand behind their faceless discriminatory practices. A concept that the most inhumane of inhumane would indisputably agree is inhumane.
Except me. Wikipedia defines insurance as “a form of risk management primarily used to hedge against the risk of a contingent loss. Insurance is defined as the equitable transfer of the risk of a loss, from one entity to another, in exchange for a premium, and can be thought of as a guaranteed and known small loss to prevent a large, possibly devastating loss.”
In other words, insurance is basically a big group of people that are willing to pay a little now to prevent the possibility of paying a large amount later due to some unfortunate, unforeseen occurrence. Insurance can exist because only a relatively small portion of insured are going to become critically injured or sick. From another perspective, this means that a majority of the insured are putting in more than they are taking out. But they keep putting money in because they know they may someday be one of the lucky losers. Not all the insured will or can be lucky losers; not enough money would exist to pay for the expenses. Insurance would cease to exist. Continue reading »
