No Loss No Gain

Right now, I’m taking a property and casualty course. This is my insurance tidbit for today. If you have insurance and someone damages your property and insurance pays you for the claim minus the deductible and you sue the person that damaged the property; the money gained from the law suit belongs to the insurance company. You can’t sue someone for damages that did not occur. This is not a malpractice case. This is the principle of no loss, no gain. So, during our next tornado my neighbor’s tree falls on my house and damages my roof and insurance pays me for a new roof, I can’t sue my neighbor for damages and use the cash to buy a hot tub. Life insurance may create wealth in some cases but health insurance and property/casualty insurance is not intended to be used to create wealth.


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