Purchasing an insurance policy is one of those seemingly boring tasks that accompanies entering adulthood. Whether it was your parents making you chip in on the higher costs of car insurance because they were now insuring a teenage driver, or seeing the health insurance deduction come out of your paycheck every two weeks. Or maybe it’s realizing that you now have folks who are dependent on your income so it’s finally time to purchase a life insurance policy. Regardless, it’s often thought of as a dull task but our guest, Amy Finkelstein, is here today to explain why insurance is more fascinating than we realize! Amy is a distinguished professor of economics at MIT, she’s a co-director at the National Bureau of Economic Research, she’s won the MacArthur Genius Grant, and now she’s written a book, “Risky Business: Why Insurance Markets Fail and What to Do About It.” In our conversation today we talk about the imperfect insurance market, the purpose of waiting periods, the types of insurance policies we should think long and hard about, and much more!

 

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During this episode we enjoyed a Kon Tiki Triple IPA by LA Ale Works. And please help us to spread the word by letting friends and family know about How to Money! Hit the share button, subscribe if you’re not already a regular listener, and give us a quick review in Apple Podcasts or wherever you get your podcasts. Help us to change the conversation around personal finance and get more people doing smart things with their money!

 

Best friends out!

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