[Where does Mutual of Omaha get the money to pay the beneficiary when someone dies?
Great question. This should clear up your confusion.
Mutual of Omaha collects premiums and invests the money in a combination of funds to protect principle but also allow the fund to grow. When a policyholder dies, they take the money out of the fund and pay the beneficiaries.
Social Security collected premiums and put the money in the General fund. They wrote themself an IOU and spent the money. When someone retires, they give their kids the bills to pay for their retirement and to pay back the IOUs the government wrote themselves because they never actually saved anything.
How are you not getting this?