Peter Lohmann says insurance companies make 10-20% profit margins after claims and overhead, the same as roofers and plumbers. Nobody gets mad when their roofer makes money, so why should they be mad at insurers doing the same.
I think you said like 10, 15, 20% profit margin after accounting for claims paid out and administrative and operating overhead. I have to say I'm okay with that. Like as a business owner myself who runs about those same profit margins, I'm okay with that. Like I'm, I'm, I don't feel kind of this moral outrage knowing that an insurance company is only paying out X percent of premiums collected. I feel like. I mean, isn't that the case for every business? Like, I, I look at like the plumbing companies and the, and the roofing companies and the flooring companies that we hire to, to do work at our properties. They're also running 10, 20% profit margins. Does that mean I want to be in the roofing business or the flooring business? No, I don't. I want to focus on what I'm good at and let these people do what they're good at, and I'm happy for them to earn a profit in the process. So like, is the juice worth the squeeze here?
