More insurance companies are fleeing the state because of the growing threat from natural disasters.

More insurance companies are fleeing the state because of the growing threat from natural disasters.

  • danhasnolife@lemmy.world
    1·
    1 year ago

    Insurance companies are about the purest form of capitalism around. If they aren’t making money, they aren’t going to participate. This is going to be a problem for California, Florida, Louisiana, and places in the Mountain West.

  • fubo@lemmy.world
    1·
    1 year ago

    Mr. DeSantis, why can’t the people of Florida get privately owned homeowners insurance from capitalist corporations?

    Why does Florida suck at capitalism?

    Is it because of climate change … or is it because fascism isn’t actually good for business, it just pretends to be, while assassinating the businesses it doesn’t like?

    Could it be … BOTH?

    Either way, you’re a piece of shit, Mr. DeSantis, and you can go to hell.

  • dan1101@lemmy.world
    0·
    1 year ago

    Even CBS does clickbait now. First sentence in article:

    AAA will not renew the auto and home insurance policies for some customers in Florida, joining a growing list of insurers dialing back their presence in the Sunshine State amid a growing risk of natural disasters.

    Some customers. Will that be dozens, thousands, millions?

    • Corran1138@lemmy.world
      1·
      1 year ago

      I bet even they don’t know the specific number. But certain conditions like being in a hurricane-prone area or zones not performing the maintenance on structures that help deal with natural disasters would probably cause those people to no longer be insurable as it predictable that they would pay out more money to more people when things go sideways. This is information for their stockholders, so they don’t get sued for not maximizing profit.

  • madcaesar@lemmy.world
    0·
    1 year ago

    If only the gays would stop marrying the hurricanes would stop and premiums would be lower! - Florida republican voter, probably

  • Mog_fanatic@lemmy.world
    0·
    1 year ago

    “Unfortunately, Florida’s insurance market has become challenging in recent years,” the company said in a statement emailed to CBS MoneyWatch. “Last year’s catastrophic hurricane season contributed to an unprecedented rise in reinsurance rates, making it more costly for insurance companies to operate.”

    This is hilarious and sould crushingly unsurprising. People actually ended up needing to use the insurance the companies were offering soooo they are just no longer offering it. Proving once again (for the millionth time) insurance companies have absolutely zero desire or feel any moral obligation to actually help people. It is 100% purely a money making operation. The millisecond they actually have to help any of their customers out, they will bend over backwards to get out of it and if they can’t, they’ll just leave entirely and not insure you. Beautiful. God I hate insurance so much.

    • dragonfly4933@lemmy.dbzer0.com
      1·
      1 year ago

      Insurance doesn’t work very well for things like hurricanes. When big events happen that cause large percentages of their policy holders to file claims at the same time, it results in large payouts which causes increases in price. When prices go up, people don’t insure. This combined with the fact that florida gets hurricanes means prices for insurance are high.

      Maybe the state could help by introducing laws to help combat insurance fraud, but that could lead to consumers getting fucked by their insurance companies.

      • clutchmatic@lemmy.world
        1·
        1 year ago

        You are being downvoted unfairly. There is greed at play, but there is math and economics as well.

        The state could also help by reviewing building codes and infrastructure to make the losses due to hurricanes less severe but, with Florida republican votes not understanding the benefits of government helping address externalities for the benefit of everyone, there’s no chance the situation will improve there…

        • TheDarkKnight@lemmy.world
          1·
          1 year ago

          Most insurance companies strive to avoid excessive profits, honestly and aim for a combined ratio of something less than 5% profit. It’s a fairly competitive field, getting greedy results in losing policies and is very price reactive. Consumers can change pretty easily and do so regularly.

    • Treczoks@lemmy.world
      1·
      1 year ago

      Are you actually surprised that an insurance company is not there for the good of the people, but to make money? They did keep their contractual obligations and paid out their customers, so you cannot fault them for that.

      And what the insurance companies are doing is quite normal behavior. They analyze business risks and move out of fields that are not profitable. They are now telling you that they will no longer cover you so you can find another insurance to take over business. That those other insurance companies are more expensive is just founded in the fact that Florida is already a risky state, and the risks just skyrocket through global warming. And with the water temperatures rising as they do, I expect this year to have an interesting hurricane season.

      People complain again that they cannot afford to move to safer places. Maybe now they can start thinking whether they can afford not to move to safer places instead.