Social Question

ANef_is_Enuf's avatar

Who pays when a bank is robbed?

Asked by ANef_is_Enuf (25199points) August 25th, 2010

From what I gather from my friends and family that work in a bank – it’s quite simple to rob a bank. Nothing like the movies, that’s for sure. They basically give you no hassle and just hand over the loot.

Now, I can respect and understand how that is a matter of safety. But I hear about bank robberies around here all the time. Who pays for that? (I’m guessing some kind of insurance..)
How do the banks not lose a ton of money this way?

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17 Answers

dotlin's avatar

The banks pay for it I would have thought, they have more money than just in that one branch.

ANef_is_Enuf's avatar

@dotlin right, but, that is still money lost. There isn’t some kind of insurance to cover theft?

Deja_vu's avatar

The banks are insured.

second_guessing's avatar

All banks are insured

FireMadeFlesh's avatar

As others have mentioned, banks are insured. Many financial institutions are with high level insurers, such as Lloyds. (Also see http://en.wikipedia.org/wiki/Lloyd's_of_London – Fluther won’t link it for me). Lloyds is a pool of companies and individuals which share risk between all members, so if one goes through hard times, everyone pays, but if another has growth everyone is rewarded. I imagine it has a number of banks on its lists.

MeinTeil's avatar

The FDIC.

In other words we all do.

downtide's avatar

In the short term, the bank’s insurer covers the losses, so customers don’t lose out. But this is offset by higher insurance premiums for banks and businesses, and this is then passed on to the customer in the form of higher banking fees, lower interest rates etc. So in the long run, it’s us who pay for it.

ANef_is_Enuf's avatar

@downtide thank you, I think that was actually what I was asking, I just did a very poor job of saying so. :)

erichw1504's avatar

The robbers would pay for it by going to jail!

mowens's avatar

Crime never pays. Muhahhahaahahah

Zyx's avatar

Responsibility is voided, you pay for everything.

erichw1504's avatar

Us citizens pay for it in taxes.

Hypocrisy_Central's avatar

@MeinTeil Yup, we all pay for it in the end, that which is not recovered from the robber.

MeinTeil's avatar

Then we get to pay for the trial and incarceration. Yay!

Thanks loser jackasses!!!

Jabe73's avatar

What downtide said. 1. Banks insurance will pay first. 2. We pay the bank back through higher interest payments. 3. Your tax money will in some form pay for the latter two. 4. The robber usually gets caught and goes to jail and then your tax money pays for his/her incarcination. (like MeinTeil says). You see, its a win win for us law-abiding citizens!

teenarobert's avatar

It is a critical situation. When a bank rob it’s consumers/ clients. Because public trust on banks a lot. The insurance company or the regulatory will look for the same.

talljasperman's avatar

The bank robs us right back.

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