- My Forums
- Tiger Rant
- LSU Recruiting
- SEC Rant
- Saints Talk
- Pelicans Talk
- More Sports Board
- Fantasy Sports
- Golf Board
- Soccer Board
- O-T Lounge
- Tech Board
- Home/Garden Board
- Outdoor Board
- Health/Fitness Board
- Movie/TV Board
- Book Board
- Music Board
- Political Talk
- Money Talk
- Fark Board
- Gaming Board
- Travel Board
- Food/Drink Board
- Ticket Exchange
- TD Help Board
Customize My Forums- View All Forums
- Show Left Links
- Topic Sort Options
- Trending Topics
- Recent Topics
- Active Topics
Started By
Message
re: Homeowner’s Insurance is collapsing in LA - UPC gone, Cajun now gone - rates up 40%
Posted on 3/23/23 at 12:19 am to Swagga
Posted on 3/23/23 at 12:19 am to Swagga
quote:
This is an issue in Florida right now too and will be in Texas the next time a storm comes.
I don't understand why people say this and also say "if LA can just go 3 years without a storm then rates will go down".
Insurance companies are aware where storms are likely to hit and what the cost might be. Getting a storm or not getting a storm in a given year(s) shouldn't make much difference in assessing risk of an area. They are very aware that a major storm could very well hit TX the next year and have calculated that into their rates. I imagine the risk teams at major insurance co's are some of the sharpest people in the room. And right now they think the risk is so great in LA and FL that they don't even want to collect premiums from homeowners.
3
Posted on 3/30/23 at 7:35 am to Turnblad85
quote:
They are very aware that a major storm could very well hit TX the next year and have calculated that into their rates. I imagine the risk teams at major insurance co's are some of the sharpest people in the room
The problem is, they haven't been.
Rates were way too low for too long and insurance companies couldn't handle the claims from Laura, Delta, Ida, etc.
So companies have the issue of taking the same risk to write a competitive policy or have an "overpriced" policy that's more solvent (which few will buy). It's not an enticing market for insurance companies to risk losing your entire company when you can continue to operate elsewhere for a profit.
Posted on 3/30/23 at 7:42 am to Turnblad85
quote:
Insurance companies are aware where storms are likely to hit and what the cost might be. Getting a storm or not getting a storm in a given year(s) shouldn't make much difference in assessing risk of an area. They are very aware that a major storm could very well hit TX the next year and have calculated that into their rates. I imagine the risk teams at major insurance co's are some of the sharpest people in the room.
This is a pretty bold claim to make immediately after multiple insurance companies get placed into receivership.
Posted on 3/30/23 at 8:03 am to Turnblad85
quote:
Insurance companies are aware where storms are likely to hit and what the cost might be. Getting a storm or not getting a storm in a given year(s) shouldn't make much difference in assessing risk of an area. They are very aware that a major storm could very well hit TX the next year and have calculated that into their rates. I imagine the risk teams at major insurance co's are some of the sharpest people in the room. And right now they think the risk is so great in LA and FL that they don't even want to collect premiums from homeowners.
One storm yes. The problem is when you have four major storms hit in basically one year. Laura, Delta, Zeta, Ida; all four of these occurred between 8/20/2020 and 8/29/21.
Page 1 of 1
Popular
Back to top
Follow TigerDroppings for LSU Football News