> Insurance companies need to know their maximum loss exposures.
Yes, but a dollar cap is only one way to do that.
In my case, my policy has no dollar caps, but of course it only covers reasonable and necessary care. I'm sure the insurer knows the probability distribution of expensive ways to die, so they still know their overall maximum exposure.
Yes, but a dollar cap is only one way to do that.
In my case, my policy has no dollar caps, but of course it only covers reasonable and necessary care. I'm sure the insurer knows the probability distribution of expensive ways to die, so they still know their overall maximum exposure.