The American Debate: Insurance Companies Vs. the People

In the last few years, there has been an increasing number of people who are trying to upset the world of insurance. The debate over private medical insurance is one of the biggest problems on the table for the 2020 election. But it isn’t just the cost of health care that has people talking. 

The rising cost of auto, home, rental, and life insurance has some people very concerned. There is talk about these insurance companies being an oligopoly and even in some cases a monopoly. Why does this matter and what are the biggest problems with the insurance companies? We decided to take a look.

High Costs 

The biggest complaint of those who are voicing concerns about insurance is the high costs of coverage. The rising costs of health insurance and the increasing price of mandatory insurances like auto and home insurance leaves very little wiggle room. There is a big concern about the reasons behind the rise in rates. 

Many believe that the reason for the high costs of premiums is due to the fact that only a handful of companies own the majority of companies. Activists who petition for insurance reform claim that these companies work in harmony to raise rates and gouge the working class. 

Lower Coverage 

Most would assume that with higher prices comes better coverage. The truth is that there are major problems with regulations. Insurance rates continue to climb for the same if not lower coverage. There is very little government oversight into the prices and coverage offered, especially in America. 

There may be a direct correlation between rising health care and other insurance costs as well. For example, car insurance may increase due to health care costs associated with the risk of bodily injury. 

Problems with Filing a Claim 

It isn’t just the costs of being insured that many find distressing about most insurance companies. There are numerous complaints about trying to use the insurance you have. Many find that when they are sure their insurance should cover something they get denied. Home insurance companies are notorious for finding any way to get out of paying for damages. 

As Lakota R. Denton, a car accident lawyer, points out sometimes auto insurance companies refuse to give a reasonable offer on coverage. This means that it may be necessary to high someone to fight for what you are owed. 

Is There Hope?

While many people may feel that the problems with insurance companies is an evil they just have to deal with, there are those who are fighting for change. As mentioned previously, the next election may hinge on the bipartisan issue of health care reform. 

In many states and counties, local governments are trying to impose regulations on auto and home insurance policies in the hope of protecting their residents from the too-powerful system. One thing seems obvious; it is time for a change.