Rant on.
This has always baffled me... why do people continue to build in low lands or other disaster prone areas, then expect the insurance companies (contrary to the policy written) or the Fed to bail their dumb a**es out?
A sterling example of this is along the San Andreas fault, specifically The San Andreas River.(which, duhhh, run right down the fault) There are numerous dams on that river with a town built right below the dam... anyone want to guess what the odds are that those dams will fail, not if, but when that long overdue fault shift happens? Any bets on whether the insurance companies have clauses in their coverage that exclude "acts of god"? Any bets on whether we, the tax payer will cover those low percentage bets?
Rant over.
State Farm leaves Mississippi homeowners market amid Katrina disputes
NEW ORLEANS (CNN) -- Insurance giant State Farm announced Wednesday that it is pulling back from Mississippi, citing the "unpredictable" legal risk from disgruntled Gulf Coast policyholders in the aftermath of Hurricane Katrina.
The company "reluctantly" announced it would not issue any new homeowners or commercial insurance policies in the state, complaining that policies "are being reinterpreted after the fact to provide for coverages that were not contemplated when the policies were written."
The Bloomington, Ill.-based company is the second major insurer to curtail business in the region battered by Katrina in August 2005. In December, St. Paul Travelers said it would no longer write new commercial policies in southeastern Louisiana.
The withdrawal of two major insurers for large segments of the Gulf Coast market has raised fears that reconstruction efforts after the storm -- already criticized for their slow pace -- could be even further damaged. (Posted 4:40 p.m. )
This has always baffled me... why do people continue to build in low lands or other disaster prone areas, then expect the insurance companies (contrary to the policy written) or the Fed to bail their dumb a**es out?
A sterling example of this is along the San Andreas fault, specifically The San Andreas River.(which, duhhh, run right down the fault) There are numerous dams on that river with a town built right below the dam... anyone want to guess what the odds are that those dams will fail, not if, but when that long overdue fault shift happens? Any bets on whether the insurance companies have clauses in their coverage that exclude "acts of god"? Any bets on whether we, the tax payer will cover those low percentage bets?
Rant over.
State Farm leaves Mississippi homeowners market amid Katrina disputes
NEW ORLEANS (CNN) -- Insurance giant State Farm announced Wednesday that it is pulling back from Mississippi, citing the "unpredictable" legal risk from disgruntled Gulf Coast policyholders in the aftermath of Hurricane Katrina.
The company "reluctantly" announced it would not issue any new homeowners or commercial insurance policies in the state, complaining that policies "are being reinterpreted after the fact to provide for coverages that were not contemplated when the policies were written."
The Bloomington, Ill.-based company is the second major insurer to curtail business in the region battered by Katrina in August 2005. In December, St. Paul Travelers said it would no longer write new commercial policies in southeastern Louisiana.
The withdrawal of two major insurers for large segments of the Gulf Coast market has raised fears that reconstruction efforts after the storm -- already criticized for their slow pace -- could be even further damaged. (Posted 4:40 p.m. )
