What about using insurance products?
Discussion question for October 16, 2009.
Insurance products offer protection against loss. How should a Christian approach the use of insurance products? Should we “trust God only” as an act of faith? Are there circumstances where risk transfer through insurance is prudent? What does God’s character indicate about His will in this matter?
Here’s my summary of our discussion.
Insurance contracts can be used as a tool for risk management. The Christian must be prudent with all the resources God has placed in his hand, and operate as a good steward in managing those assets. For this reason, it may be financially wise to enter into an insurance contract.
The motive for using insurance is key.
First, it is not to be used in place of faith in God. It would be idolatrous to trust in an insurance carrier instead of God, especially since “acts of God” are not covered by insurance. That indicates that insurance carriers understand God to be a higher authority. If they capitulate to God, certainly we should recognize His position in our thinking as well. On the other hand, using insurance does not necessarily mean that our faith is lacking.
Second, it is not to be used out of fear or greed. An insurance contract is not an investment – there is a cost associated with the transfer of risk. Attempting to “make money on the insurance company” would be an indication of greed, and using it for something other than its intended purpose (risk management). Similarly, fear could move us to a place of false security if we rely on insurance instead of the hand of God.
Faith is not the opposite of insurance. Whether by faith or by contract, we are to believe in the One that is in control. Since insurance is involved in the physical realm, it is focused more on the outcome or eventuality rather than the motive or emotion. We must use care not to fall into a similar trap in our faith in God. In other words, we are to believe in the Whom, not the what.
The industry adage is thought provoking: “You insure the things you can’t afford to lose.” From God’s perspective, what do you cling to that you can’t afford to lose?
The practical question for further introspection would be: Does this insurance purchase (or avoidance) bring me into a closer relationship with God?