This content was created by Hunter Nelson. This content was uploaded by Hunter Nelson. This is a YouTube video titled "Insurance Companies: How They REALLY Make Money!" featuring Hunter Nelson explaining the financial operations of insurance companies, including investment strategies and cash flow management.
And how that works is, okay, I'm being the insurance company. How insurance companies make money, they invest that money. You guys pay in your million bucks a year. It gets invested, you earn dividends on it or interest. You guys start building up a cash flow there. The reserve of the insurance company, how much money they got set aside for claims. You guys turn into less claims on what you're paying. It's going to start building up there. You can take, you can take some of that money back now. Okay, you are going to pay a captive fee. And so some of that money is going to go to the captive, but most of us being going to your what's called a fund, okay?
