I listen to a lot of commercials as I watch television. Life insurance, health insurance, pet insurance, automobile insurance, insurance to cover repairs on vehicles and houses, and anything else that you can think of. Lloyds of London will insure almost anything for their price. It is like gambling. If you want to give them your money on their terms, they will take it.

There are good kinds of insurance and ones that are not worth the payments. These companies use statistical probabilities to determine if they will make a profit. They also advertise that they cover certain problems, but they do not tell you what they do not cover. Did you know your homeowner’s insurance does not cover floods or earthquakes as a standard part of your policy?

Some car insurers tell you that they have a pricing gun to give you the price you want. What they don’t tell you is that to get the price you want, your coverage may decrease, or your deductible may increase. Want new car replacement coverage? There goes your budget.

For people my age, there are life policies with no health questions. The only question they have is how much money do you have? One company says you can get coverage for under ten dollars a month. Another is less than seven. Neither tells what amount of insurance you will have, nor whether you can expect full payment if you die tomorrow.

Then there are the auto service plans. Car dealers offer extended warranties when you buy a new car. Then lenders have their plans if the vehicle is new enough with lower mileage. Now you can buy one from people who advertise on TV. Read the fine print. Your plan may not cover what you want.

In high school, I learned the Latin phrase, “Caveat Emptor,” which means “let the buyer beware.” I’ve worked as a salesman on more than one occasion. I gave out $100 cameras that cost me less than one dollar each. Another company had pricing structures that ranged from 300 percent profit to twenty-five percent.

I’ve mentioned before in columns that if you want to know what profit a retailer makes on their products, wait until they mark them down for clearance. Some stores sell seasonal merchandise as low as 90 % off a few days after the holiday. That tells me that their cost is about ten percent of the suggested retail price.

My Uncle Clyde did not believe in insurance. He seldom bought it. Fortunately, he never lost his house to a fire or other tragedy. He knew God would take care of him. As far as I know, He always did. Don’t take chances, though.

And if there are questions you have about something you see advertised, ask questions. My wife buys and sells items on Facebook Marketplace. She always tells people that we meet at the Springfield Police Department to exchange goods and money. There are times when the other party is no longer interested. Go figure.

©Copyright 2025 by Charles Kensinger