Insurance isn't a scam (probably)

Like you, I used to think insurance was boring, confusing, and probably a scam.

I still think it's expensive and kind of a scam. Just not for the reasons most people think.

Insurance is a way to manage risk. You pay money up front so you don't have to pay more money when something unexpected happens later. Obvious, right?

So now you know what plan's right for you, right? 

No? 

Let's unpack what insurance risk actually means. 

Once upon a time I took time off between jobs. I looked at my COBRA notice and said, “Psh! No way, Jose. I'll just get my own plan.” It was only going to be a few months before I got another job anyway. 

I bought the cheapest marketplace plan I could find. $7K deductible, 30% coinsurance. I saved my money and took on the risk.

“It's only in case I get hit by a bus,” I told myself. I didn't know the bus was already practically on top of me. 

At my free physical, I happened to mention, "...And I've been having these chest pains. They make it hard to breathe. I'm sure it's just anxiety."

"I'm just gonna take a listen," the doctor said, pulling out her stethoscope. 

She listened. Her eyebrows furrowed. She pulled the stethoscope out of her ears. "I'm gonna order an EKG." 

"Is that expensive?" I asked. "I don't have very good insurance." 

Sometimes a bus hits you one test at a time.

By the time I started my new job, I had a cardiologist, $9,000 in medical bills, and a lot less hubris than before. 

But one of my new responsibilities was benefits administration. I couldn't prevent the unexpected, but I could give people better information. 

I made it my mission to help my team actually understand their plans. I tracked their questions, made calls, found answers, and kept going.

Everywhere I went, I saw the same thing: Employees didn’t understand what they signed up for. Brokers didn’t really understand either. HR didn’t want to touch it. Claims were denied. People thought their plans sucked.

Is it a scam? Not really. 

What looks like greed is just layers of misaligned incentives. Regulations that discourage asking questions, leading to learned helplessness. Billing structures that reward confusion. 

But if you know the layers of regulations and bureaucracy—and where the incentives are—you can make a real difference, one covered life at a time. 

Is your company overpaying for insurance that isn't really meeting your team's needs? Tell me about it! Seriously. I'd love to help.

Let's make your insurance suck less

By the way, I think I'm required to tell you here that I'm a licensed insurance broker.

NPN: 21374929

That's not all I do, but it's something I can do.