I learn something new every day. I learned an important fact about insurance companies over the last few months. You see, the way it works is this: You pay the insurance company, but you are not supposed to make a claim for any damages. Like a fool, I thought they were supposed to “insure” you, but they don’t see it that way. The way they operate; they take in the money but they don’t pay out any money and that makes them happy, which, really, is what we all want isn’t it? To keep the insurance companies happy?
We had something break in our refrigerator. (Not the water line TO the fridge, something inside.) At the same time a water filter way back under the kitchen sink blew out. Those two water events flooded our kitchen, breakfast room, and dining room. So Liberty Mutual paid for new flooring in two rooms and sanding down the other. What had been a $400 bill from Liberty Mutual immediately went up to $700 a month. Now, a year later, we get a letter from the local LM agent that they were raising our payment to $1000 a month! He didn’t give a reason for that, he just said to look out for that thousand buck a month bill and they appreciate our business. No kidding? I wish I had a business that took in money but penalized you if you wanted some back.
So we went to State Farm. “Nothing we can do for you,” the State Farm man said. “Since you had a claim nobody else will insure you.” It wasn’t negligence, my wife explained. It was an accident. And if we hadn’t been home at the time it could have flooded the whole house. “No matter,” the SF man aid. “That claim makes you unacceptable to any other company.”
So my wife sought out an Independent Agent. A few days later he called and said, “Since you had a claim nobody else will insure you UNTIL 2021!” My God, that’s FOUR years from now! I’ll be dead before I can change insurance companies. (Come to think of it, I don’t believe I’ll still have to pay LM after I’m dead, but the way insurance companies work I’m not entirely sure about that. There probably is some small print in there that covers “payment after death.”) Four years at $12k a year is $48,000. Seems just a tad exorbitant to me, but then I don’t really understand the insurance scam.
Life is full of choices. In this case I pay Liberty Mutual a grand a month, or I drop my insurance which is unacceptable these litigious days. Some salesman could stub a toe on my front steps and sue me and take my house away.
Well, I have learned a good life lesson. You pay the insurance company, but they don’t pay you. And all this time, dumb ol’ me thought that was the reason to have insurance!