Why Are Insurance Companies So Greedy? 
Insurance companies are established to manage shared risk . They are closely scrutinized by state regulators . Most businesses seek to reduce cost and increase profits . Most insurance companies operate on a very narrow margin . To do this they operate in a narrow band of acceptable behavior . This covers sales , underwriting , investing and claims . If you perceive that the companies are greedy they would contend they are protecting their policyholders and their shareholders . Dont forget that they make promises that must be kept for decades . 