What does the Bible teach concerning insurance?

The insurance issue has been confusing to many. Some believe that only those who lack faith would seek protection by insurance. But insurance does not prevent accidents. It is merely a means of compensating one’s family or others in the event of such a loss so that they can be economically stable.

Nowhere in God’s Word are Christians promised hazard-free lives, devoid of disaster and difficulty. Ecclesiastes 9:11 states, “…time and chance happen to them all.” We should expect to have to endure various difficulties (John 16:33; Acts 14:22). But we do have God’s promise that He will not allow us to suffer beyond what we are able to bear (I Cor. 10:13).

Taking precautionary measures to safeguard ourselves from the adverse effects of disaster is a principle clearly taught by the Bible, God’s inspired Word. Proverbs 27:12 states, “A prudent man foresees the evil, and hides himself; but the simple pass on, and are punished.” Carrying appropriate levels of insurance is a means of saving for future needs, a principle emphasized in the Bible. (See Proverbs 6:6-8).

Through insurance, a breadwinner makes provisions for his family’s future well-being, should he die or become disabled. (See II Corinthians 12:14, I Timothy 5:8 and Proverbs 13:22.) Other types of insurance protect others. God’s law plainly demonstrates that we are responsible for compensating those incapacitated, or otherwise adversely affected, by our actions. Exodus chapters 21 and 22 provide the general guidelines for many situations in which compensatory measures are required. Carrying liability insurance coverage helps to curb the financial impact on all parties involved.

Man’s law also requires certain other forms of insurance in personal and business affairs. Certain minimum levels of liability insurance are required in most states in order for car owners to register their vehicles. Mortgage companies often require home buyers to purchase fire and natural disaster insurance. Businesses are required to have insurance to protect the interests of their employees, clients and customers. As long as such laws and regulations do not conflict with the keeping of God’s laws, Christians are to adhere to them. (You may wish to read our article “Should Christians Submit to Government Authority?”)

Christ stated, “Love your neighbor as yourself” (Matt. 19:19; Mark 12:31). He also stated, “Do unto others as you would have them do unto you” (Matt. 7:12). Christians are to consider the needs of others (Phil. 2:3). Carrying proper insurance is a vital part of living by these principles that Christ taught (Matt. 4:4).