Insured or Insecure the modern dilemma of Personal Healthcare Insurance System

The financial science system of insurance was invented to save lives and give comfortable payment system for a given country’s general public.  Since one of the founding fathers of health care insurance system was introduced and legalized the system by law in Britain (sickness insurance law 1883) by Otto von Bismark, people at that time are enjoying the comfort of financial assistance from the insurance companies given.  From working class, athletes, even owning a car are all insured financially to secure any accident that may deemed to arise with the expectation that the insurance company will compensate the damages being incurred by the insurance member.

 Many convenient strategy are being done by these insurance companies to catch the present cash on hand by the middle working class.  Just a thought, being poor is better because the government will subsidize all the medical expenses due to the fact that poor people are way behind the normal curve of the national salary range, on the contrary the rich people has the capacity to buy the premium insurance plans being incurred by the insurance companies.  But the premium accounts from the rich customers is just slim in number knowing that rich customers are way above the normal curve opposite to the poor people who are enjoying the government financial subsidy.

As such, these insurance companies are enjoying the middle class working people as their “sweet spot” for profit making.  Indeed, the application of “normal curve” is so effective in segmenting the target market of these insurance companies.  Insurance companies are not getting their biggest chunk of profit from the poor and rich but rather those who are striving middle class who are getting a minimum salary wage from their given company’s.  Moreover, the marketing religion of these insurance companies are becoming addictive for the middle class knowing that the system is already applying a slight MLM (Multi Level Marketing) type of marketing.  If you scrutinize the marketing system of MLM you will realize that the members are being squeezed by their financial resources and making the upper level member more financially fat.  This kind of MLM system is so effective in the case of the insurance system marketing knowing that the working class is the only class who is working hard to achieve a more secure health insurance service.  Even in the US today the government of Mr. Obama is trying to stabilize the national insurance system to give the general public a more convenient life.

Do you think insurance system is still applicable in the twenty-first century? I may not read the latest research journal about the effectivity of insurance system, but as a personal middle working class experience, to get insurance privileges today is as hard as getting gold rush in the mountains of California.   Given, many insurance companies today just melt in the air and declare bankruptcy without any concern with their middle class customer. (We can’t deny that because they declare bankrupt already). 

Undeniably, many smart investors today divert their family savings and investments to other financial machinery like investing in stock markets that requires lesser amount of money.  Just a thought, gold bullion before is the standard currency value of the country but today gold is not the only financial wealth resource of a given country.  Maybe, in the future insurance system being originated by Otto von Bismark for example will vanish as a source of health financial security. 

Academic Discussion about Health Insurance System 

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