For sure if you are in FL, one of reasons that your insurance has tripled is because of the surcharges being assessed by Citizens on everyone that has coverage, regardless of carrier, to cover their losses from 2004 & 2005. I share ownership of a condo in FL and our agent says that 30% of our current premium is due to surcharges.
You need to look at your Policy…your assessment is only about $100 to $150 and if that is 30% of your insurance premium then your premium is lower than anyone else I know in Florida,
June 4th 2007: Time magazine reports that 153 million people in the United States live within 50 miles of the Coast, this is more than HALF of the total US population.
I guess we should all move to Nebraska so we can afford our insurance!
Great logic, but people like Kathy and RAL don’t understand the business so your logic falls on deaf ears. The surcharges on non-Citizens policies won’t really be a factor in Florida until the first big blow. Then listen for the whining when the surcharges (up to potentially 74%) start hitting the non-citizens policyholders. The governor and people like Kathy will probably still find a way to blame this in the insurers too since facts and logic don’t enter their thinking. Sad state (Florida) of affairs.
I take exception to some of Rolfneu’s comments although well written.
Where does it say that the government must step to help the stupid. Why, just because I have money and can build on the coast should I expect anyone to pay for my loss.
As for the midwest paying for tornados, we do. We do not expect the coastal states to jump in. Many of the companies in our area are only midwest companies.
All of us have had “too cheap” home insurance and when areas like Florida have to pay more for the risk they are unhappy.
I wish I could afford to live in Florida I will just have to dodge our midwest tornados.
THere is a real Life example of the dangers of government insurance on an economy.
In the mid 70s….dang memory…..Brazil or Argentina had a federal reinsurance program. Federal reinsurance has been mentioned in the news for the US lately. The rule in whichever country it was that to be fair the only reinsurer their companies could use the the federal re.
If you know anything about the reinsurance market and the wide variance in types of cover needed, you can imagine what kind of box that put the companies in.
It lasted only a few years before the economy was so tied up because of the lack of full coverage that, in addition to the rest of the socialist programs at the time – it was a total disaster.
It’s too long a story here, but do your own research on the subject.
‘The insurance industry has no grounds to complain….they chose to abandon certain high risk areas such as flood and coastal exposures.’
I wasn’t aware the insurance industry was complaining. Who in the insurance industry is complaining. The complaints listed here are not by the insurance industry – they are by taxpaying citizens who know whats coming next in Florida. That would be of course Florida taxpayers subsidizing those who live on the coast.
Rolfneu must be new to insurance…. carriers who pull out do so because the losses they are suffering are unacceptable to stockholders or members.
Now everyone is happy. Well almost. Socialists are happy to have government in the insurance business. Insurers are happy because, instead of forcing them to stay and take a beating, the elected government stupidly took it on themselves instead of negotiating on behalf of the citizenry. Taxpayers will be chapped in a year or three when losses exceed revenue with the too low premiums and taxes triple. I cannot believe how little posters here know about the business of insurance. Socialism indeed!
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I live approximately 100 miles from coast, 12 feet above sealevel and my HO insurance has also tripled!
For sure if you are in FL, one of reasons that your insurance has tripled is because of the surcharges being assessed by Citizens on everyone that has coverage, regardless of carrier, to cover their losses from 2004 & 2005. I share ownership of a condo in FL and our agent says that 30% of our current premium is due to surcharges.
You need to look at your Policy…your assessment is only about $100 to $150 and if that is 30% of your insurance premium then your premium is lower than anyone else I know in Florida,
June 4th 2007: Time magazine reports that 153 million people in the United States live within 50 miles of the Coast, this is more than HALF of the total US population.
I guess we should all move to Nebraska so we can afford our insurance!
If you go to this link, you will see where all the natural disasters are. Not just coastal flooding are hurricanes!
http://www.usatoday.com/life/graphics/natural_disasters/flash.htm
Great logic, but people like Kathy and RAL don’t understand the business so your logic falls on deaf ears. The surcharges on non-Citizens policies won’t really be a factor in Florida until the first big blow. Then listen for the whining when the surcharges (up to potentially 74%) start hitting the non-citizens policyholders. The governor and people like Kathy will probably still find a way to blame this in the insurers too since facts and logic don’t enter their thinking. Sad state (Florida) of affairs.
Oops, on the insurers, not in the insurers.
I take exception to some of Rolfneu’s comments although well written.
Where does it say that the government must step to help the stupid. Why, just because I have money and can build on the coast should I expect anyone to pay for my loss.
As for the midwest paying for tornados, we do. We do not expect the coastal states to jump in. Many of the companies in our area are only midwest companies.
All of us have had “too cheap” home insurance and when areas like Florida have to pay more for the risk they are unhappy.
I wish I could afford to live in Florida I will just have to dodge our midwest tornados.
jj
THere is a real Life example of the dangers of government insurance on an economy.
In the mid 70s….dang memory…..Brazil or Argentina had a federal reinsurance program. Federal reinsurance has been mentioned in the news for the US lately. The rule in whichever country it was that to be fair the only reinsurer their companies could use the the federal re.
If you know anything about the reinsurance market and the wide variance in types of cover needed, you can imagine what kind of box that put the companies in.
It lasted only a few years before the economy was so tied up because of the lack of full coverage that, in addition to the rest of the socialist programs at the time – it was a total disaster.
It’s too long a story here, but do your own research on the subject.
‘The insurance industry has no grounds to complain….they chose to abandon certain high risk areas such as flood and coastal exposures.’
I wasn’t aware the insurance industry was complaining. Who in the insurance industry is complaining. The complaints listed here are not by the insurance industry – they are by taxpaying citizens who know whats coming next in Florida. That would be of course Florida taxpayers subsidizing those who live on the coast.
Rolfneu must be new to insurance…. carriers who pull out do so because the losses they are suffering are unacceptable to stockholders or members.
Now everyone is happy. Well almost. Socialists are happy to have government in the insurance business. Insurers are happy because, instead of forcing them to stay and take a beating, the elected government stupidly took it on themselves instead of negotiating on behalf of the citizenry. Taxpayers will be chapped in a year or three when losses exceed revenue with the too low premiums and taxes triple. I cannot believe how little posters here know about the business of insurance. Socialism indeed!