The concept of Insurance

What is Insurance?

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 small loss to prevent a large, possibly devastating loss.

What are the alternatives to insurance?

The only alternative to insurance is self-insurance. Either you absorb your own risk, or you pay somebody else to absorb the risk for you. If you choose to shoulder the risk yourself, then you should at least try to manage it.

How to save on insurance?

Here are a few suggestions on how you can cheat on insurance
(DISCLAIMER: follow this at your own risk. By the way, there is no insurance for cheating on insurance.)

1) Eat right, exercise regularly and maintain your health so you might not need health insurance.

2) Keep your eyes peel when crossing the road. Avoid accidents (as much as you can) to cut down on personal accident/total permanent disability insurance.

3) Don't die. (Or at least choose to die at a time when you have no dependents. If not, just heck the responsibility.)

4) Have LOTS of savings. At least if the worst-case scenario STILL happens, you can bail yourself out.

5) Talk to me. Maybe I can source out a few good deals for you.