Read the following article and answer the question by choosing from the options.

But do n't be penny wise and pound foolish like my Dad ! You know , my Dad insured his house - nothing has happened to it , but he still has the insurance ( statistics show that your chances of a house fire is 5 in 1,000 ) . He paid for car insurance - never had to use it , ( statistics show that your chances of your car being stolen is 10 in 1,000 ) but he is still paying for it .

Why would the man be paying for something he has n't had to use ?
Available options: - He 's wasteful with money . - That 's how insurance works . - That 's how a car payment works . - He 's forgetful ....A:
That 's how insurance works .