Well, I can see already how this works.
The State of Florida would not allow private companies to raise the rates to point that would make it financially effective for them to do business, so they stop doing business.
The State run fund, Citizen's Property Insurance will manage it, until there is another bad year, and the state gets nailed with several storms.
Then the state won't have the money to pay the claims. Then the Feds will step in and bail out the state, so people who couldn't afford to relocate to Florida in the first place will pay the freight for those who could, and all because the State of Florida decided it knew better than the insurance companies how to run an insurance company.
Actually, pretty smart on the state's part, in the current mentality of having the tax payer pay for other's mistakes.
I don't suppose the fact that we can smell this a mile away, (or 1000 miles away) will change the state's thinking on this, do you?
|