Talk of The Villages Florida - View Single Post - State Farm Dropping All Homeowners In Florida
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Old 01-28-2009, 08:12 PM
Laker14 Laker14 is offline
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This is one example of the misconception people have about insurance.

Insurance is really a pooling of money set aside to pay the individual who is unlucky enough to be the one to whom something unlikely happens. If one out of 10,000 homes (just making up numbers here) statistically will burn down, then all of those people put in money, and if you happen to be the unlucky one, you get help.

Chances are that if your house burns down, not all of the houses will burn down. However, if your house is destroyed by a hurricane, or the ancillary winds or tornados that go with the hurricane, it's a certainty that many, many, others will be affected. And with hurricanes in Florida, it's not a matter of IF, but of WHEN, and HOW MANY THIS YEAR.