this post was submitted on 05 Mar 2025
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[–] [email protected] 23 points 1 month ago (14 children)

I struggle to understand what modern insurance companies actually exist for, apart from money people donating money to them for nothing in return.

[–] [email protected] 30 points 1 month ago (2 children)

Insurance prevents people from hoarding money that they would need in case of a (personal) disaster to rebuild/repair/re-purchase their losses. If you know insurance will cover your house if it ever burns down, you spend the money, which helps the economy.

[–] bitcrafter 13 points 1 month ago

Even if someone worked very diligently to save money, it would take a whole lot to save enough to be able to afford an entire second house.

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