Depends on how much is insurance pay out and how much $ the gov't prints.
ZRX1200 wrote:
Insurance companies are paying, that is for sure. A company I have knowledge of is on the hook for at least 10 million and 1,000 claims 75% home, the rest auto.
Insurance companies will get some deserved and undeserved bad press. Many of the people that lost their homes didn't opt for flood insurance. Those same people won't likely take accountability for that decision, they'll just lash out at Big Bad Insurance Companies.
The other thing many people chose to do when they bought their policies was choose a different deductible for hurricane than the standard policy deductible.
Example; $300,000 policy, with a standard $1,000 deductible for the run of the mill fire, tree damage etc. Instead of choosing that same $1,000 deductible on hurricane (which is pricey), they choose a 15% deductible. Which means now that they have to come up with $45,000 out of their pocket before insurance begins to pay.
That is a tough financial nut for most people to crack.
Some cut rate insurance companies wrote a bunch of business close to the Atlantic shore with a relatively cheap rate, never thinking they'd have to pay for The Big One..... whoops. Don't be surprised if a couple of insurance companies follow the now typical big business plan.
Well, we can't afford to pay all these claims! We'll go under!! WE NEED A BAILOUT!!!Line up, taxpayers.
Edited by user
13 years ago |
Reason: Not specified
