Saturday, November 11, 2006

At the Risk of Repeating Myself...

dollar signLet me repeat myself... It Isn't “Life, Liberty and Property Insurance” There are a whole raft of articles today bemoaning the fact that some retirees can no longer afford the insurance on their million-dollar (or many hundreds-of-thousands of dollars) waterfront homes in hurricane country.

A simple two-bedroom condo with a "water view" in this area recently sold for just shy of $400,000. Do I feel sorry for the owners that they have to pay large amounts for hurricane insurance? No. That is a choice.

Lexington Herald-Leader | 11/11/2006 | Hurricanes change where retirees live is a fairly typical article.
"I think we need for the federal government to get involved and create some sort of backstop," Lereah [Realtor] said. "If you're a private insurance carrier, you think twice about getting involved in an area where there is not a backstop."
Why should the government be involved in insurance? So that the developers can make even more money destroying what little is left of our beaches? I don't think so. If insurance is too high in hurricane-prone areas then people won't live where it makes no sense to live... like in flood plains or on earthquake faults or in hurricane zones. Or if they do decide to live there, they will have to accept the consequences of that choice, and not expect the rest of us to foot the bill.

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