Matt Davies for May 19, 2024

Yep. That’s what insurance IS (in theory): A way to spread the actual cost of “rare” bad events across a large group of the insured. Obviously, even in the best circumstances when the probability of a bad event goes up (and if the the number of insured stays level), so must the rates. And of course if the average price of recovering goes up, so must the rates. The other thing insurers do is decline to serve homes in places where the odds or the price go sharply up.

Climate is a great excuse to hide the greed behind these rises. My home insurance jumped by 100% due to flood risk from creek from which it’s impossible to rise and fill the 30 ft needed.

If people are this worried and angry about the rise in their insurance rates, how worried and angry will they become when their homes are literally under water? It’s already too late to save most of what’s been built along our coasts over the last couple of centuries. And they shouldn’t expect much help from federal and state governments, because too many are still voting for people whose aim is to “shrink government and drown it in a bathtub”.

It comes at a tremendous cost and someone has to pay it. Insurance spreads the risk.

Perhaps if we stopped being focused on the symptoms and started working the problem?

Insures are doing the right thing. They know the climate changes – it always has. And they know we do not have the technology to control the climate or effect it in any significant way no matter how much money we redistribute in the name of “equity”.

So they adapt. They raise rates to reflect the risk. Some can afford to pay the higher rates or go without insurance and may choose to live in flood prone areas. That’s up to them. Can’t afford it? Live where you can afford it. Do what the insurance companies do.

Adapt.

“.. Property insurance rates increased 3%, with the highest increases in the US and reductions in Asia and in the India, Middle East, and Africa region.

Casualty lines rates increased 3%; the same as in the prior quarter. Globally, insurers remained concerned with continuing large jury awards in US courts.

Financial and professional lines rates decreased 7%, compared to 6% in the prior quarter as every region experienced a decrease. US exposures — such as US listed companies for directors and officers (D&O) coverage — were again a focus of insurers.

Cyber rates continued to decline, falling 6% globally and with decreases in every region. Insurers continued to focus on cybersecurity controls, typically looking for year-over-year improvements. …" — .marsh .com/sa/en/services/international-placement-services/insights/global_insurance_market_index.html

Not to worry. Ron DeSantis and his Republican companion critters have cancelled climate change. Floridians expect to see a dramatic fall in insurance rates real soon.

Insurance companies, which carry the risks, have been all in on climate change since around 1992. They have to put their money where their mouths are, so to speak. Too bad politicians don’t.

Insurance costs are similar to extortion. You really need to have it but it is very expensive. Insurance companies need to stay in business but maybe they’ve forgotten why they’re in business and it isn’t all for profit. Sometimes they have to do what they were created for.

The Humans willings followed the dinosaurs. Not by fate, but by self-inflicted damage.

I remember reading, many years ago when I was getting my first insurance policy, that in some countries, the insurance rate starts out as a flat rate until the insurance company has to pay for something. Then the rate is increased until the company recoups its loss and then the rate is goes back down somewhat — but maybe that was just a dream.

Similar to selling life insurance to people who do not lead healthy life styles.

The homeowner insurance companies will keep raising their rates until they can no longer get a substantial profit. Then they just refuse to insure at their own discretion.

must be the guberment’s fault

But there isn’t any climate change in Florida. The governor said so. So, why are their insurance rates going up. Oh Yeah. Their governor is DeSantis, enough said.

Y’all do realize that flooding is not covered by property insurance, right?: