- cross-posted to:
- usnews@beehaw.org
- cross-posted to:
- usnews@beehaw.org
The decision was “necessary to effectively manage risk exposure,” the company said.
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DeSantis, probably:
we should make it illegal for insurance companies to factor in rising sea levels to their actuarial tables
“Fine, fine. You do that. We’ve upped the risk of kaiju attacked along the Florida coast. Water and wind kaiju, not the radioactive fire breathing ones.”
“That makes no sense!”
“Neither does what you’re proposing!”
Guess what, that would insurance companies only speed up heading out of that state.
DeSantis:
Insurance companies are trying to cancel Florida!
Now that would be a good thing!
sell their houses to WHO ben? fucking AQUAMAN?!
A spokesperson for Farmer’s said:
“You are fascists! Bum bum bum bum bum bum bum!”
Well, I guess people who decided to buy property in high risk areas are going to need to face the music. But I am sure they will get a bail out like every companies do. God forbid anyone besides the poor face any consequences for their poor decisions.
“We know a thing or two, because we’ve seen a thing or two.” and that’s why we’re getting the fuck out of Florida.
Oh boy, time for my insurance rates to double again!
Thanks DeSantis / GOP!
Didn’t they just do the same in California, along with State Farm and maybe others?
Thought I read something about it but didn’t get all the details.
State Farm & Allstate due to wild fire risks.
Yeah, reportedly due to the increased wildfire risk and inflation.
https://apnews.com/article/california-wildfire-insurance-e31bef0ed7eeddcde096a5b8f2c1768f
Doing complex math to predict the future is how these companies make billions. The fact that they’re Nope-ing out of Florida entirely should tell you something. If your plan was to move to Florida soon, maybe it’s time to reconsider.
Huh, it’s almost like for-profit insurance companies shouldn’t be a thing…
On the other hand, maybe we should rebuilding in places with catastrophic disasters on an annual basis. How long should we keep doing the same thing expecting different results?
It’s hard to stomach bailing out people and parts of the country for events caused by a process they actively deny and lie about.
Florida actually has a state sponsored home owners insurance.
https://www.citizensfla.com/who-we-are
This was after private insurers started bailing out in the early 2000s when it became clear how ridiculously expensive it would be to provide hurricane insurance there.
I’m on Citizens. Every year I get a letter telling me they have the legal right to sell my policy if they find a comparable one in the private sector within 20% of what I’m paying. Every year they fail to find one. The best thing about Citizen’s is that they can’t leave the state.
From what I understand a large portion of the problem is rampant fraud in Florida. Florida accounts for 9% of the insurance claims nationally, but 79% of the insurance based lawsuits. Additionally 71% of the money spent for claims in Florida has gone to attorneys fees.
From what I understand, every time there is a storm contractors go around and tell people that their property (roof, deck, whatever) was damaged and they can get them a new one for free. The catch is that you have to sign over your power of attorney to file the claim. They do this whether your roof was actually damaged by the storm or not.
So the homeowner says yep, gets a new roof, and doesn’t think anything more of it. The contractor sends in the claim and the insurance company responds saying you have to have an adjustor come out and evaluate the damages before doing the work if you want to file a claim. And it makes perfect sense, the insurance company has systems in place to protect against fraud, but the contractor ignores that and tries for it anyways. The contractors then respond by suing the insurance companies.
Because the contractor has gone around to several hundred houses he has a critical mass of cases that even if sole of them lose the settlements from those that succeed are enough to still make a profit.
deleted by creator
I’m all for hating on the insurance companies, but your approach is a bit short sighted. This isn’t just getting even with the insurance companies, it’s wide scale fraud. The fraud was so rampant that Florida passed two insurance reform bills to help protect the insurance companies and they are still leaving.
Most mortgage lenders require you to have home owners insurance through the life of your mortgage. If you lose your insurance and can’t replace it it will result in defaulting on your loan. This is the reason why Florida has the highest inflation in the Country right now and unless something happens soon people might start losing their homes or be priced out of them.
They won’t be in Florida soon.
We don’t cover natural events or anything that happens in the next 50+ years
Damn those LGBTQA+, CRT, public schools, libraries, and libruls.
Next hurricane season is also going to be a bailout season
\s
Awesome user name.
Insurance, every kind, is the biggest scam since religion was invented. It should be a socialised utility paid for by the taxes already being sucked from our veins instead of funding endless wars all over the world.
A counterargument is that people in places where we suffer few natural disasters shouldn’t have to subsidize people that choose to live in places like Florida that suffer frequent disasters.
If the government becomes responsible for the bills to rebuild from disaster, then the government should have the ability to tell people they can’t live somewhere that is going to flood every 10 years. And I imagine most people don’t want that.
The free market solution to disincentivize people from living in places that increasingly suffer regular disasters is for it to become increasingly expensive to live there. Insurance prices skyrocketing accomplishes that, and if someone can’t afford the insurance then they should cash out and move somewhere where they can afford to live.
But really, the problems in Florida are more about insurance fraud and a state government disinterested in doing anything about it. Maybe this will put pressure on the populace to forget culture wars and vote for people that will fix their problems. Ha!
While I do understand your argument. This is a planned effort by insurers. They are all pulling out of these areas in protest in an attempt to persuade the government to increase the amount they pay to insurers to cover these areas. The government already subsidizes insurance sold in these areas and while it does come out of your taxes it does not impact your insurance costs regardless of what you might have been told.
SOURCE: This is second hand from a close friend who is an insurance executive at one of these firms. They are also doing this in California.
It’s still feasible to tax risky areas more. If a property becomes uninsurable, great that property gets a big tax break and rebuilt every 10 years.
It’s funny how fans of the free market assume that anyone can just pick up and leave, ignoring how godawful expensive that act is in itself. What about family and friend ties? Do you even realize how difficult it is to move across state lines? Your entire premise is so absolutely separated from reality.
Ok Boomer. This fuck you I got mine attitude is one of the major problems we face in this country. The notion that everyone can just chose where they live is naive at best and your privilege is showing if you actually believe it. The nightmare political situation we are seeing is largely due to older generations who live by exactly your way of thinking and selfish actions. Nothing will improve until you people are extinct.
Insurance can only work as long as input and output is balanced. It is a (sad) fact that hurricanes get worse, and the risk and cost of damage in Florida is going to rise. They could probably offer home insurance in Florida, but the premiums would be so high that people would not buy it anyway.
The question will not be “Can you afford to move out of Florida?”, but “Can you afford to stay in Florida?”.
