We have had 3 major catastrophes this year in my state. Our losses were much greater in 2006 than your state. And yet companies are fighting to lower rates and get into our state to do business unlike yours. We had catastrophes in 2001 and 2003 too. The one in 2001 at the time was the 10th largest insurance company payout to date. After that storm most people saw 30-45% increases in premium. We still have competition among insurance companies because our state does little to interfere. By the way, I have clients near the most dangerous fault line in the country and their Earthquake rates are awful high. They know the risk and still choose to live there and pay the high premiums. If it happens we will have increases again and we will pay them and not ask for a Federal bailout. A federal bailout system will only allow insurance companies to make more profit by passing the burden on to taxpayers. I thought you tree huggers were against insurance companies making profit. Why do you think Allstate is in favor of this? They are notorious for being the cheapest (I.E. least responsible with their customers money). When they lose money they try not to pay, take huge increases to make up for it, restrict coverages, and try to leave the area causing the pain. If they had a federal bailout system they could charge as little as possible only to then pass it on to the taxpayers.
It’s kind of like your own saving account. If you dip into it because you have to buy a new refrigerator, lawnmower, etc one year. Then in years later when you do not have things break down you put more in the savings account. Insurance companies work much the same way. If you do not allow them to put money back in good years than they eventually cannot do business in your state. I welcome increase premiums even in good years because I know it will soften the blow in the bad years. Free market is the only thing that will help your state. If insurance companies are overcharging you can bet another company will step in and sell if for less. You just have had bad luck there and are paying for it. It hurts, but government price fixing and oversight is only going to make it worse. Pray for more years of no storms and you will see rates fall dramatically but to your detriment because we all know they will return which will in turn cause steep increases again.
Brilliant. A serious issue about insurance rates, cat losses, regulations, and you try to turn this into a bash-Bush commercial? Is your hatred for Bush, Cheney and Rove now driven you to the point of blaming them for hurricanes?
Media Mogul? More like Media Moron.
Grow up
The entire concept of insurance, through many hundreds of years has been simple math equation: The losses of the few are shared by the many.
Actuarially, proof the system works is in the consistency of rates for fire, lightning, debris removal, VMM, etc.
The problem in Florida is wind, because it upsets the simple math equation into a new one: The losses of the few are shared by the few.
The only solution I see is for coastal states to solicit a federal fund (that they contribute the most to), much like that which already exists for Flood coverage.
Is it perfect? No, but it is certainly better than the alternative of driving insurers out of the state and bankrupting themselves in the process.
I see nothing in this mindless tirade that bears any relationship to the problem under discussion. What mind altering substances were taken before this was written?
It is quite clear Crist does not understand the problem, at all. But, he is a good politician, pandering to the masses who also do not understand, mortgaging the future to massive surcharges and increased taxes. But, if we have another bad season in \’07 or \’08 he\’ll still be in office to reap the benefits of his ignorance. Of course that will cost all us residents dearly.
I guess we don\’t hear \”mitigation\” from him because it\’s to big a word for him to spell or pronounce.
I feel your pain, really!
Assuming no one forced you to buy your home.
You can\’t have it both ways.
I just returned from a week in Palm Beach Shores – lovely weather. Houses there way
overpriced. $500K for an unremarkable 1 story that, frankly, I wouldn\’t live in. You think being 2 blks from the beach had anything to do with that?
Don\’t know what your house is valued at but here in the \”mid-west\” my taxes are just under yours on a home just over $200k & I live the the \”tornado belt\”.
Point being, you live where you want to – don\’t whine about the cost.
By the way, the high temp tomorrow is to be 9 degrees (Sunday 0). You don\’t like FL, move up here and enjoy!
Well put Tommy! Its is colder than cold here where I live in the midwest. My lips, skin, and everything else are chapped and dried out do to the freezing temps. The air burns when it hits me. My car is freezing the whole drive home. By the time it finally warms up I\’m already home. So its kind of like driving home in a freezer. However, my insurance policy is nice and cozy in my heated home. I think all Floridians should come to our state in February and help us shovel snow. In exchange we will help the subsidize their high insurance for their million dollar homes on the beach. Until they make the trip I say kiss my A**
He knows that he is setting Floridians up for a fall. A relatively minor hurricane season will quickly bankrupt the state\’s cat fund. On the heels of this he will appeal to the federal government to intervene. The voluntary Florida property insurance market will retreat very, very soon. Amazing how he believes Floridians are entitled to build and own homes without having to bear the true loss costs associated with the risk they represent.
My home did triple in value the last three years. I could move to a smaller home and end up paying more due to taxes.
But you\’d like me a whole lot less if I moved up there. I came down here because I can\’t take the cold – so you\’d be paying for my welfare checks and all my medical because I couldn\’t leave my house from Oct to Mar. And since I\’m very prone to Pneumonia, my doctor would make sure the system (aka YOU) paid my bills.
Wait, that actually does sound better then where I\’m working my *** off to pay what you think I deserve to pay……….
Gov. Crist has declared a state of emergency in central Florida after deadly tornados have ravaged 4 counties.
Umm, so, I assume all the people who have been running their mouths about the midwest has tornados is blown out of the water. Looks like Florida has hurricanes, floods, and tornados. And have people forgotten about the sinkhole problem in Florida?
I believe it\’s the whole package… the politicians running the industry, the non-fault fraud infested auto market, etc this is going to do this industry in for Florida.
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We have had 3 major catastrophes this year in my state. Our losses were much greater in 2006 than your state. And yet companies are fighting to lower rates and get into our state to do business unlike yours. We had catastrophes in 2001 and 2003 too. The one in 2001 at the time was the 10th largest insurance company payout to date. After that storm most people saw 30-45% increases in premium. We still have competition among insurance companies because our state does little to interfere. By the way, I have clients near the most dangerous fault line in the country and their Earthquake rates are awful high. They know the risk and still choose to live there and pay the high premiums. If it happens we will have increases again and we will pay them and not ask for a Federal bailout. A federal bailout system will only allow insurance companies to make more profit by passing the burden on to taxpayers. I thought you tree huggers were against insurance companies making profit. Why do you think Allstate is in favor of this? They are notorious for being the cheapest (I.E. least responsible with their customers money). When they lose money they try not to pay, take huge increases to make up for it, restrict coverages, and try to leave the area causing the pain. If they had a federal bailout system they could charge as little as possible only to then pass it on to the taxpayers.
It’s kind of like your own saving account. If you dip into it because you have to buy a new refrigerator, lawnmower, etc one year. Then in years later when you do not have things break down you put more in the savings account. Insurance companies work much the same way. If you do not allow them to put money back in good years than they eventually cannot do business in your state. I welcome increase premiums even in good years because I know it will soften the blow in the bad years. Free market is the only thing that will help your state. If insurance companies are overcharging you can bet another company will step in and sell if for less. You just have had bad luck there and are paying for it. It hurts, but government price fixing and oversight is only going to make it worse. Pray for more years of no storms and you will see rates fall dramatically but to your detriment because we all know they will return which will in turn cause steep increases again.
Brilliant. A serious issue about insurance rates, cat losses, regulations, and you try to turn this into a bash-Bush commercial? Is your hatred for Bush, Cheney and Rove now driven you to the point of blaming them for hurricanes?
Media Mogul? More like Media Moron.
Grow up
Uninformed liberal moron!! Must be a very frustrated person to respond with such venom in a insurance trade medium!!!
The entire concept of insurance, through many hundreds of years has been simple math equation: The losses of the few are shared by the many.
Actuarially, proof the system works is in the consistency of rates for fire, lightning, debris removal, VMM, etc.
The problem in Florida is wind, because it upsets the simple math equation into a new one: The losses of the few are shared by the few.
The only solution I see is for coastal states to solicit a federal fund (that they contribute the most to), much like that which already exists for Flood coverage.
Is it perfect? No, but it is certainly better than the alternative of driving insurers out of the state and bankrupting themselves in the process.
I see nothing in this mindless tirade that bears any relationship to the problem under discussion. What mind altering substances were taken before this was written?
It is quite clear Crist does not understand the problem, at all. But, he is a good politician, pandering to the masses who also do not understand, mortgaging the future to massive surcharges and increased taxes. But, if we have another bad season in \’07 or \’08 he\’ll still be in office to reap the benefits of his ignorance. Of course that will cost all us residents dearly.
I guess we don\’t hear \”mitigation\” from him because it\’s to big a word for him to spell or pronounce.
I feel your pain, really!
Assuming no one forced you to buy your home.
You can\’t have it both ways.
I just returned from a week in Palm Beach Shores – lovely weather. Houses there way
overpriced. $500K for an unremarkable 1 story that, frankly, I wouldn\’t live in. You think being 2 blks from the beach had anything to do with that?
Don\’t know what your house is valued at but here in the \”mid-west\” my taxes are just under yours on a home just over $200k & I live the the \”tornado belt\”.
Point being, you live where you want to – don\’t whine about the cost.
By the way, the high temp tomorrow is to be 9 degrees (Sunday 0). You don\’t like FL, move up here and enjoy!
Well put Tommy! Its is colder than cold here where I live in the midwest. My lips, skin, and everything else are chapped and dried out do to the freezing temps. The air burns when it hits me. My car is freezing the whole drive home. By the time it finally warms up I\’m already home. So its kind of like driving home in a freezer. However, my insurance policy is nice and cozy in my heated home. I think all Floridians should come to our state in February and help us shovel snow. In exchange we will help the subsidize their high insurance for their million dollar homes on the beach. Until they make the trip I say kiss my A**
He knows that he is setting Floridians up for a fall. A relatively minor hurricane season will quickly bankrupt the state\’s cat fund. On the heels of this he will appeal to the federal government to intervene. The voluntary Florida property insurance market will retreat very, very soon. Amazing how he believes Floridians are entitled to build and own homes without having to bear the true loss costs associated with the risk they represent.
My home did triple in value the last three years. I could move to a smaller home and end up paying more due to taxes.
But you\’d like me a whole lot less if I moved up there. I came down here because I can\’t take the cold – so you\’d be paying for my welfare checks and all my medical because I couldn\’t leave my house from Oct to Mar. And since I\’m very prone to Pneumonia, my doctor would make sure the system (aka YOU) paid my bills.
Wait, that actually does sound better then where I\’m working my *** off to pay what you think I deserve to pay……….
Gov. Crist has declared a state of emergency in central Florida after deadly tornados have ravaged 4 counties.
Umm, so, I assume all the people who have been running their mouths about the midwest has tornados is blown out of the water. Looks like Florida has hurricanes, floods, and tornados. And have people forgotten about the sinkhole problem in Florida?
I believe it\’s the whole package… the politicians running the industry, the non-fault fraud infested auto market, etc this is going to do this industry in for Florida.