Thread: Federal government is a bad insurance co.

The US federral government has proven that it has no business going into the insurance business.

Whether it's selling annuities like Social Security, or medical insurance like Medicare, the federal government has BOTCHED both ventures miserably.

I know there's something more to this, something about
Part A" and "Part B," but gee, I'm paying over $4,000/year a person to insure my family members but Social Security only withholds EIGHT HUNDRED DOLLARS A YEAR for Medicare premiums?????????????

That imbalance is simply absurd! Utterly divorced from reality.

Now, I know all the usual suspects will chime in and talk about their agenda instead of the topic, and want to quibble about immaterial details, but bottom line is, the federal government has no business being in the insurance business. period.

Like private accounts in Social Security, we need to find THE EXIT for Medicare too, and RESTORE the insurance market to insurance companies before the wheels come entirely off our society.

So I suppose you think that the Feds have botched the FDIC, too? If you want them out of the insurance business, ask yourself if you really want to trust your life savings to an uninsured bank.

ask yourself if you really want to trust your life savings to an uninsured bank.

Any "liquid" cash I have saved is in a NON-FDIC mutual fund money market

As far as my "life" savings, it far exceeds the LIMITS of FDIC.

Really, do yourself a favor, don't limit yourself to such small-mindedness. $100k LIFE savings? If you're at the end of your productive life and only have $100,000 in the corner bank, you are fucked!

Any more cheap rhetoric I can shoot down for you?

Originally Posted by Emale

As far as my "life" savings, it far exceeds the LIMITS of FDIC.

Really, do yourself a favor, don't limit yourself to such small-mindedness. $100k LIFE savings? If you're at the end of your productive life and only have $100,000 in the corner bank, you are fucked!

Oh, I see! Let the hoi polloi who haven't been as lucky as you suffer at the hands of the banks. Now I get it!

Aside from the fact that you didn't address my question about why you think the FDIC should be eliminated, your answer is quintessentially Cheneyesque: "I've got mine and screw you."

Jeeez I come here to debate politics, instead I have to do my part to stamp out ignorance.

I hope you can read and comprehend this better than my posts:

The first factor that shows up in a number of studies and commentaries on the crisis is deposit insurance in lecture Unit Two, part IV. As we stated in the second Unit, deposit insurance cost the same for every depository institution regardless of its risk structure. Some have argued that this was worse for the S and L, given the mismatch in maturities that was particular to them. I would argue, however, that some of the same pbs can be seen the US banking crisis and deposit insurance did encourage some risk taking by banks as well as S and L's.

Here's the site URL if you care to further your EDUCATION:

http://stripe.colorado.edu/~meaf/f98...eunitthree.htm

Originally Posted by Emale

Jeeez I come here to debate politics, instead I have to do my part to stamp out ignorance.

I hope you can read and comprehend this better than my posts:



Here's the site URL if you care to further your EDUCATION:

http://stripe.colorado.edu/~meaf/f98...eunitthree.htm

Your apology is accepted.

However, it does not seem to me that this professor is advocating abolition of the FDIC. Did I miss something?

Originally Posted by trailblazer

So I suppose you think that the Feds have botched the FDIC, too? If you want them out of the insurance business, ask yourself if you really want to trust your life savings to an uninsured bank.

The FDIC and the Postal Service is not a strict governmental program. They are a quasi-governmental programs that incorporates both governmental and private business policies. Furthermore, the FDIC is not the only insurance banks have. There is a special niche market in the insurance world, specially for Llloyds of London, to ensure banks on fraud, identity theft, embezzlement, and other actions by the federal reserve and monetary circumstances.

Government is always the insurer of last resort.

Originally Posted by Chappy

Government is always the insurer of last resort.

If this was the case, most of the entitlement programs would have started and stopped at the state level.

So Trailblazer, now that we've let the children shime in with meaningless distractions, maybe you could address the point of the thread?

Chappy:
Last resort?

Show me.

Show me where I can buy a private policy providing what Medicare provides.

$799 a year?

Why is no one weeping and wailing about "deficits" insisting the government run its insurance business responsibly?