My husband has a very pro-insurance attitude. In fact, despite a bad experience with the now defunct CAP, he still trusts some insurance companies and has recently added one to his existing policies - an educational plan for our son.
Of course, I'm happy that he's preparing for Matt's education. I'm just concerned with the risk factor. Like what happened with CAP, some clients –my husband among them- were shortchanged because the company was financially in rough waters.
But he only shrugged and said, there's always a risk in everything. According to him, the benefit is very similar to putting up savings in a bank. You could have a fallback in case something happens like an accident (life insurance) or when fire has licked your home (home insurance), car trouble/accident (car insurance) etc...
And to be able to decide which one fits for one's need, he said it is best to compare. For example, if you're looking for a car insurance, ask your friends who have existing car insurances and then compare car insurance options that's available for you.