My Friend Thinks Insurance Is a Scam—Genius or Foolish?

[oncall-engineer]

I have a friend who is well-educated, smart, and even works as an engineering manager. By all accounts, he should be financially savvy. But here’s the kicker—he refuses to buy any insurance. No health insurance, no life insurance, nothing.

His reasoning? He thinks it’s a waste of money and believes in “challenging the odds.” When I asked him how he plans to handle a major medical emergency, accident, or financial catastrophe, he shrugged it off. “I’ll deal with it when it happens,” he says.

The crazy part? He has a young daughter, and his wife used to work at Google, so it’s not like he doesn’t understand risk or financial planning.

It’s honestly puzzling to me. Am I being overly cautious, or is he taking an insane gamble with his family’s future? Is he a genius who has cracked the system, or am I the fool for thinking insurance is a necessity?

Curious to hear what others think—would you ever go completely uninsured?

By the way - he’s from Hong Kong, and likely has settled down as a permanent resident with his family.

 

[RinoaX]

Hello insurance agent.

 

[Corba2001]

Only when something happens and one realize cash on hand isn't enough, then one will regret not having insurance to cover

 

[Laguna123]

Think hospitalisation must have, then can get a low premium term insurance just in case?

 

[Travis_Touchdown]

engineering manager notch financially savvy de rahz...

moi gotch some acquaintances working as engineers... dunch dare to use cc...

 

[ceestudent]

His life his choice bah.

My principle is always BTIR and buy what I need. Not about worth it or not, but what do i need to cover.
I don't believe we can always be a winner in life and never tio anything. I don't want to burn my hard earned cash and jeopardize all of my life planning if tio something. So term is my choice and i treat it as expenses.

 

[twodragon]

cpf got force him buy insolent

anyways can buy the cheap singlife mindef insolent also what - its group insurance tho

 

[Philipkee]

I have a friend who is well-educated, smart, and even works as an engineering manager. By all accounts, he should be financially savvy. But here’s the kicker—he refuses to buy any insurance. No health insurance, no life insurance, nothing.

His reasoning? He thinks it’s a waste of money and believes in “challenging the odds.” When I asked him how he plans to handle a major medical emergency, accident, or financial catastrophe, he shrugged it off. “I’ll deal with it when it happens,” he says.

The crazy part? He has a young daughter, and his wife used to work at Google, so it’s not like he doesn’t understand risk or financial planning.

It’s honestly puzzling to me. Am I being overly cautious, or is he taking an insane gamble with his family’s future? Is he a genius who has cracked the system, or am I the fool for thinking insurance is a necessity?

Curious to hear what others think—would you ever go completely uninsured?

By the way - he’s from Hong Kong, and likely has settled down as a permanent resident with his family.

It really depends on his mentality

Assuming he stays in Singapore, he is uninsured. So what? He gets into a major illness? So what? He just defaults on the bill. I dunno if Singapore public hospitals will ever make a person bankrupt cos it’s political suicide.

He no money for treatment. Just go ane. No money maybe admit C class or cannot admit but so what? It’s not like Singapore public hospitals will turn away a dying person from urgent medical care

And worst case, just crowdfund

 

[jinsadndepress]

He notch mathematically wrong ...

EV of insolent ish negative ,, that how insolent earn marnee through law of large number ... Actuary paid well to ensure it ...

But he no consider life only got 1 , if chiu 1 of the unlucky 1 that will jiak more from insolent then give , then chiu lose out lor ...

He ownself think he lucky n healthy then take risk save that sum lor ...

 

[Lchlch]

in the past, many buy insurance.
I think now, many opt out but buy investment policies.

 

[ceestudent]

It really depends on his mentality

Assuming he stays in Singapore, he is uninsured. So what? He gets into a major illness? So what? He just defaults on the bill. I dunno if Singapore public hospitals will ever make a person bankrupt cos it’s political suicide.

He no money for treatment. Just go ane. No money maybe admit C class or cannot admit but so what? It’s not like Singapore public hospitals will turn away a dying person from urgent medical care

And worst case, just crowdfund

If he is single is ok. Can have "Die then die" kind of mentality.
But i find it irresponsible if he have wife and kids.

 

[grevq80o]

I have a friend who is well-educated, smart, and even works as an engineering manager. By all accounts, he should be financially savvy. But here’s the kicker—he refuses to buy any insurance. No health insurance, no life insurance, nothing.

His reasoning? He thinks it’s a waste of money and believes in “challenging the odds.” When I asked him how he plans to handle a major medical emergency, accident, or financial catastrophe, he shrugged it off. “I’ll deal with it when it happens,” he says.

The crazy part? He has a young daughter, and his wife used to work at Google, so it’s not like he doesn’t understand risk or financial planning.

It’s honestly puzzling to me. Am I being overly cautious, or is he taking an insane gamble with his family’s future? Is he a genius who has cracked the system, or am I the fool for thinking insurance is a necessity?

Curious to hear what others think—would you ever go completely uninsured?

By the way - he’s from Hong Kong, and likely has settled down as a permanent resident with his family.

Ur friend is NOT WRONG and totally entitled to his opinions.

INSURANCE is a product bought to manage RISKS. Personal insurance like health insurance is bought to manage the RISK of being hospitalized and slammed with huge medical bill.. But your friend can argue that he will never use hospital ever in the 1st 50 years of his life, so wait until 51yo then buy health insurance. That is totally logical. He put risk of hospitalization before 50 yo as ZERO.

Same thinking: I won't buy simi insurance for hearing damage if I know I will not be exposed to loud sounds ever in my life. But I will bye hospitalization insurance because I think there is a NON ZERO chance of my jena hospitalized... especially in today's SG, which is so much more dangerous.. The "SG is safe" mentality is a modern myth since LHL took power.

But one day if he suay suay kena hospitalized, he will have to pay for his own bills.

 

[ceestudent]

in the past, many buy insurance.
I think now, many opt out but buy investment policies.

This is damn stupid move and even make the insurance agent laughing to the bank..

 

[askxyz]

depends if he is smart in investment. if he is able to cover what the insurance can cover for him via own investment with the less amount paid to inusurance company, insurnace looks like a scam lo because still need to pay commission to those insurance agent leh

 

[V-FORTY]

if he can manage his risk and health well
dont see anything wrong
from hk and pr should be pocket deep deep
insurance company also challenging odds when they sell insurance

 

[jackiehuat]

Hello insurance agent, yes insurance is a scam to me. In Singapore, we pay and pay for CPF Medishield Life and Careshield Life and heavily subsidised wards in public hospitals. I am working and company is also paying for my and my family hospitalisation insurance. If suay kena major illness, I will stay in cheapest ward and tell the doctor to pull the plug when needed. There is absolutely no need for additional coverage. What for live longer beyond any meaningful period?

For early-stage major illness, I make my own investments and have sufficient wealth. I do not need insurance companies to help me to make investments. Their profits are so insane that agents are flying first class for their holidays.

 

[charleslee1989]

this is a thread either to promote insurance or to bait life insurance agents to bite...

 

[Lchlch]

if you have money to spare, why not?

 

[Ye_Rongtian]

The only insurance I buy is HDB compulsory fire insurance and travel insurance. No health insurance except the compulsory one. So? You are gonna preach what those insurance agents are parroting and showing off on social media?

 

[Lchlch]

I heard ex colleague saying they have few insurance agents...
why so many?
1 is more than enough.