History of Insurance

For those who are not American, or are an American who gets their information about the insurance "business" from television commercials, here is a short history of American insurance.

In the early 1920's United States, Prohibition was in effect, alcohol was illegal. Organized crime organizations like the American Mafia sold illegal alcohol and provided "protection" to those who transported and sold bootleg liquor. Providing "protection" is one of the most basic organized crime operations. You make regular protection payments to the mob to "insure" nothing bad happens to you. If you don't pay, you become very accident prone, usually resulting in serious bodily harm to you or someone in your family. Bootlegging, along with protection, gambling, extortion and prostitution made these well organized criminals a tremendous amount of money.

When Prohibition ended in 1933, the mobs made up for lost bootlegging revenue by drug trafficking and controlling the trucking and shipping industry, infiltrating and controlling the Teamsters and Longshoremen's unions. Politicians, police and judges found it easier to accept bribes than protect the American public, enabling organized criminals to take control over every aspect of American government. At this time, "insurance" companies appeared. These insurance companies provided "protection" against personal injury and/or property damage. These insurance companies, regulated by individual states, with state lawmakers already on the payroll, began to take control over every aspect of American life.

In the United States, in order to receive the most basic healthcare, you must have some type of health insurance. Given the highly inflated cost of medical care, an insurance policy may not be enough. Inability to pay medical expenses is a leading cause of personal bankruptcy and major factor in Americans losing their possessions and becoming homeless. Americans who need to use a motor vehicle are required by states to carry an insurance policy. It's the first thing a law enforcement officer will ask for should you be stopped in a vehicle for any reason. To purchase a home or commercial building in the United States, you must have multiple insurance policies. To operate a business, you also need multiple insurance policies. American Federal and State governments carry massive insurance policies with the huge premiums being paid for by the American taxpayer.

Insurance companies control whether you can own a home or business, drive a car, which is mandatory for life in most of America, or even if you live or die. There are no laws in America that require insurance companies to honor their policies. An insurance policy is a business agreement, a civil matter. For American states to force you to do business with these organizations is extortion, but again, the state lawmakers are on the payroll. The average American may be paying 30% of their income to insurance companies who write over $4 trillion of policies annually and have no legal obligation to provide any service. There is no business, no organization, not even the State and Federal American governments, have so much power over the lives of American citizens without any oversight or regulation.