What is the ethical issue in dead peasant life insurance?

There are a few ethical issues with dead peasant life insurance.

1. Often it is more profitable for the company if the employee dies, rather than stays alive.

2. The money goes to the company as opposed to the family of the 'dead peasant.' None of the money is used to pay for funeral expenses, living expenses for the family of the dead person.

3. Often in medical cases, the money that the company receives could have been used to pay for medical care that would have kept the person alive!

4. It provides dubious 'tax shelters' for major companies.

5. The insurance is sometimes bought without the employees' knowledge or consent. (Some states now required employees' knowledge in order to purchase this insurance).

6. If you get sick, it is in the company's interest that you die quickly, rather than be a burden on the company's short term disability payout.

Summary: The company is profiting off the death of their employees, and has a vested interest in their deaths.