Friday, February 26, 2010

Obama Showcases Insurance Ignorance

Video Link:

From the "Healthcare Summit":

When I was young, just got out of college, I had to buy auto insurance. I had a beat-up old car. And I won’t name the name of the insurance company, but there was a company — let’s call it Acme Insurance in Illinois. And I was paying my premiums every month. After about six months I got rear-ended and I called up Acme and said, I’d like to see if I can get my car repaired, and they laughed at me over the phone because really this was set up not to actually provide insurance; what it was set up was to meet the legal requirements. But it really wasn’t serious insurance.

Now, it’s one thing if you’ve got an old beat-up car that you can’t get fixed. It’s another thing if your kid is sick, or you’ve got breast cancer.

That statement makes it obvious that he does not understand that the "mandatory insurance law" for driving a car on public roads is not designed to protect the purchaser, but rather the person injured (body or property) by that driver. Obama explained in this clip that he only bought the legal minimum, not collision or comprehensive, which would have covered his damage.  When people buy insurance, it’s made very clear exactly what it covers.  Most drivers can understand it, even the Harvard Law grads. Small wonder he was laughed at.

This anecdote proves that Obama never learned a thing about insurance — so why would we want to have someone who understands so little remaking the entire health-insurance sector.

If he does know better, maybe in his arrogance, he thinks the "great unwashed" (that's us) don't. Which way makes you more comfortable?

Crossposted @ Insurance Q&A


Mary Stack said...

I think the operative words are "When I was young, just got out of college". Seriously, how many kids know that there are levels of insurance coverage? The anecdote proves he was a typical kid.

Richard said...

I want to meet an insurance agent that would not explain the coverages available. When any of my clients decline coverage they have to sign a waiver stating they understand what they did and did not buy. Personally, I think it was an allegorical not factual story.

Mary Stack said...

I assume Obama was referring to graduating from Columbia University in 1983 but he may have meant Harvard in 1991. In either case, Insurance was a simpler process, (wasn't everything?) without all the legal/regulatory issues. Interesting to read your POV on politics but ignorance in your twenties does not generally carry through to your adulthood. I meant to comment on the cartoon and I have already read the story behind its first use. I dislike the use of rape in a political cartoon but I am not interested in censorship. I thought it ironic that you followed with a post referring to alpha males and "our women are just hotter" video. .

Richard Roark said...

I got my insurance license in 1979 after I was medically discharged after eight years in the Army and I still maintain if he didn't know what he bought, he wasn't the sort of young man he pretends he was. The rape image is exactly how despicable I think the shenanigans with the passage of NObamacare. I found the rethuglicrat video funny. I have been a card carrying Libertarian since the party began in 1973. I was raised to be a southern gentleman with all the chivalry that goes with that, even the prep school I attended had the motto(goal) "Gentleman, Scholar, Athlete."

Mary Stack said...

"Gentleman, Scholar, Athlete." A all-male institution explains it and also reminds me I never watched Dead Poets Society. Seriously, I understand you are a libertarian and thus have complete disdain for Obama but I have a daughter graduating and it is their nature to be uninformed. We handle most of her affairs and she is in school in Europe. Obama had no parental authority picking up his slack and I have a lot of respect for his success. As for the rape image, I find it disturbing and I would not publicize it on my website. What for? It really serves no purpose and gives the artist (a female) publicity. I know you are against Obamacare but it repels your POV to anyone you care to expose to your opinion. I don't know how those conservative women feel about the 'hotter title'. It reminds me of the sixth grader boy who told my 4.0 daughter that her grades were insignificant because she was made of his rib. While funny, it makes this mother a little crazy that we are not judged on success.

Richard Roark said...

Congratulations, not many people realize that a guy one year ahead of me wrote that. A guy a year behind me was Sen. Bill Frist and many years behind me Reese Whitherspoon was a cheerleader there.

Another school I attended had the motto "Duy, Honor, Country". I swore an oath to defend the constitution against all enemies foreign and domestic. It did not have an expiration date attached.

Have you seen the Clare Boothe Luce Calendar by any chance? I believe that all those women are successful. My mother owned a car dealership in the 1950s, I would say that qualified her as on the leading edge as a feminist. Does it tarnish her credentials in any way that she loved her sideline as a model?

My son worked his way through college. I moved to Texas long enough to establish him as a resident student and left him to his own devices (he was about six months younger than I was when I enlisted in the Army).

Most of my readers are friends who get email updates and I did have one 78 yr old ex-nun that thought the cartoon was a little harsh, however my female friends in their 40s and 50s thought it was spot-on.

Richard Roark said...

"Duty, Honor, Country"

Mary Stack said...

I am woefully ignorant on American history. I grew up in Canada but I was only peripherally aware of Clare Boothe Luce. I have spent the morning reading up on her and it has left me wanting to find a good book on this most interesting woman. No, I have not seen the calendar but it seems your mother would have qualified for April (national car care month). I will look forward to reading your next post.