La. Gov. Vetoes Bill to Sell All State-Backed Insurer Policies

July 23, 2007

  • July 23, 2007 at 2:11 am
    Confused says:
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    How could anybody sponsor a bill to try and sell policies that nobody wants in the first place. If they want to reduce exposure they need to model their de-population program after Florida’s which actually provides some incentives for companies to pull policies out of Citizens. If Louisiana is successful in getting companies to buy some of the Citizens book of business (that most companies could market and get for free), then I have some ocean front property in Arizona, For Sale, to those same companies at bargain prices!

  • July 23, 2007 at 4:03 am
    Tom says:
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    Amen to that! Doesn’t anybody wonder why those policies are there in the first place? Apparently this proposal was modeled after a successful plan in Missouri to handle workers’ compensation policies. Gee, that’s about as bizarre an analogy as I’ve seen in a long time.

    Pools only get de-populated if (a) rates are adequate and (b) a financial incentive is offered – because it’s a sure bet that the pool business will generate above-average losses.

    Until or unless both of those factors are present, Citizens will stay as it is.



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