Reasonable margin for expenses and profit

Someone posted a comment that the insurance c0mpany has to make a reasonable margin to cover its expenses and make a profit. I agree.

The cost of a life insurance cover for a person to provide an adequate sum for a family should be $200 a year (e.g. to cover $300,000). It is all right for the insurance company to charge $300 a year, and have $100 as a margin to cover expenses and earn a profit.

Unfortunately, most insurance products (e.g. whole life, endowment or investment-linked policies) require a premium of $3,000 to provide the same amount of cover. About $6,000 is taken away to pay the commission and marketing expenses. This is too expensive and does not provide value to the consumer. These policies should be avoided. The agent who sell these policies are not taking care of the interest of their clients.

I hope that insurance companies and agents will act in the interest of consumers and offer the right products.