Self funded Sink hole insurance

[trenbarg12]

Why can't someone (AKA Morse and others) start a self funded sinkhole insurance that only deals with houses in TV. Houses here are all built to code, there is less likelihood of fraud and if all houses are somehow covered, the sinkholes causes us to lose less sleep. It does not seem fair that previously owned houses cannot get regular sinkhole insurance and new houses can... Just makes sense that something like self funded insurance for The Villages, can and should be done.

[trenbarg12]

I know I would buy it even if it was $20,000 deductible... because my risk then would be $20,000 not $150,000..

[graciegirl]

Why can't someone (AKA Morse and others) start a self funded sinkhole insurance that only deals with houses in TV. Houses here are all built to code, there is less likelihood of fraud and if all houses are somehow covered, the sinkholes causes us to lose less sleep. It does not seem fair that previously owned houses cannot get regular sinkhole insurance and new houses can... Just makes sense that something like self funded insurance for The Villages, can and should be done.


You realize that this sinkhole insurance thing is STATEWIDE? Not something only affecting people who live here? There is no conspiracy by the Morses.

[NotGolfer]

You realize that this sinkhole insurance thing is STATEWIDE? Not something only affecting people who live here? There is no conspiracy by the Morses.

Again another voice of reason re: this issue. The insurance can be purchased but due to a change of FLORIDA LAW...they changed the "sink-hole insurance" to "catastrophic" insurance! Think there is a whole other thread with this discussion.

[ureout]

Again another voice of reason re: this issue. The insurance can be purchased but due to a change of FLORIDA LAW...they changed the "sink-hole insurance" to "catastrophic" insurance! Think there is a whole other thread with this discussion.

yes, and the problem with that is what if the sinkhole is in your yard but isnt effecting your home and your home is not codemned or considered unsafe....the way I understand it is that then the homeowner is responsible for all costs?

[Big O]

Why can't someone (AKA Morse and others) start a self funded sinkhole insurance that only deals with houses in TV. Houses here are all built to code, there is less likelihood of fraud and if all houses are somehow covered, the sinkholes causes us to lose less sleep. It does not seem fair that previously owned houses cannot get regular sinkhole insurance and new houses can... Just makes sense that something like self funded insurance for The Villages, can and should be done.

Why don't you start a plan? I would buy from you if the price and coverage were competitive.

[Cathy H]

Carefully read your homeowners policy (assuming you have one). The insurance Co.. will only pay you for the value of you home minus deductible when the home is declared uninhabitable by the local building department. A sinkhole in your lawn or the street in front that does not affect the house is not covered. The payment may not cover all your costs to relocate or repair the hole and rebuild your house. Welcome to the worry club!

[samhass]

You realize that this sinkhole insurance thing is STATEWIDE? Not something only affecting people who live here? There is no conspiracy by the Morses.

I don't think the OP said anything about a conspiracy by the Morses. I do think he has an excellent idea. TV has the deep pockets needed to start up such an agency, and if we all paid in, it could even be another profit center for them and peace of mind for us. I see it as a win/win. OP's comments read as an idea to me, not an attack. Yes, sinkholes are statewide. That does not preclude TV being proactive and attempting to do something that keeps the residents feeling secure.

[Bogie Shooter]

This guy makes it look so simple.
He forgot to mention the cost of lobbyist in Tallahassee!
------

How to Start Your Own Insurance Company | Chron.com (http://smallbusiness.chron.com/start-own-insurance-company-2402.html)

How to Start Your Own Insurance Company
by Owen E. Richason IV, Demand Media


For entrepreneurs that want to build a small business that provides an ongoing revenue stream for years to come, an insurance agency is an ideal opportunity, as clients repurchase products to ensure that coverage continues. Among the types of insurance products an insurance agency can sell are: life, annuity products, term and whole health, automobile, homeowners, property, causality, and disability. Opening an insurance company requires some preparatory steps.





Step 1
Become a licensed insurance agent. Laws and identifiers differ by state, but in general you will need a Property and Casualty Insurance license and/or a Life, Health and Variable Annuity license. For instance, in the state of Florida, these are referred to as 440 and 220 licenses respectively. Each can be obtained online or through classroom instruction. Most community colleges also offer these courses.

Step 2
Determine what products you will offer. Typically, insurance agencies do not limit themselves to specific products and carry a variety of insurance plans. However, you might consider specializing in one particular product while still offering other insurance plans. As an example, you might wish to focus on corporate health benefit plans and sell employee insurance benefits to companies while still offering life and variable annuity products.

Related Reading: How to Start Your Own Purse & Bags Company

Step 3
Apply for a business loan and insurance. Compile a list of all start-up costs including but not limited to: office equipment, lease monies, employee expenses like wages and benefits, and insurance, such as liability and errors and omission insurance. Using these numbers have an accountant or business plan writer write a business plan to apply for a small business loan using the Small Business Administration's approved lender database.

Step 4
Locate suitable office space. Office space should have a well maintained exterior and interior and provide enough space for a reception area, one or two offices and a conference room for initial client consultations and workshops for potential clients.

Step 5
Buy a franchise or open your own agency. Choose between buying a franchise and opening your own independent insurance agency. The advantages of buying a franchise is operating under a well established name and having access to "in-house" financing provided by the parent company. The advantage of opening an independent agency is freedom to choose any product.





References (2)




Resources (2)




About the Author

Owen Richason grew up working in his family's small contracting business. He later became an outplacement consultant, then a retail business consultant. Richason is a former personal finance and business writer for "Tampa Bay Business and Financier." He now writes for various publications, websites and blogs

[rdhdleo]

I don't think the OP said anything about a conspiracy by the Morses. I do think he has an excellent idea. TV has the deep pockets needed to start up such an agency, and if we all paid in, it could even be another profit center for them and peace of mind for us. I see it as a win/win. OP's comments read as an idea to me, not an attack. Yes, sinkholes are statewide. That does not preclude TV being proactive and attempting to do something that keeps the residents feeling secure.

:BigApplause: :agree: There was no attack on the Morses, just an idea for another business for them! Won't ever happen but would be nice!

[Bogie Shooter]

When the Developer gets the insurance business up and running...........how about a buyers club. They buy in large lots (Like WalMart) and pass the savings along to all residents.
Then buy a cruise ship for the exclusive use of residents who would pay a small fee to cover beer consumption.
Then build a car manufacturing plant, a place for all the home constructions workers to have jobs after build-out. Residents could buy cars at a much discounted price.
Etc..........................
:beer3::blahblahblah::throwtomatoes:

[perrjojo]

:BigApplause: :agree: There was no attack on the Morses, just an idea for another business for them! Won't ever happen but would be nice!
Many large businesses are self-insured for employees health care. The premiums for employees are lower. It's really not a bad idea though I don't know how workable it would be for TV or what is involved. Many years ago my husband thought it would be good for our family (large extended family) to self insure. Think about 20 families pooling ALL insurance premiums into a trust. Of course we never this it but I think it would have worked as I look back.

[Steve9930]

yes, and the problem with that is what if the sinkhole is in your yard but isnt effecting your home and your home is not codemned or considered unsafe....the way I understand it is that then the homeowner is responsible for all costs?

I don't believe the old sink hole insurance covered your yard, only your home.

[Steve9930]

Catastrophic Ground Collapse works just fine. The Insurance Companies never sold insurance that covered your property with out affecting your home.. If you have a sink hole in your back yard there is no law that says you have to fill it. I guess I don't see the reason for all the panic. Sink Holes have been in Florida forever because of what is under our feet. The reason everyone is so aware is because these sink holes used to happen in the middle of a pasture. If you look at the country side while out on the road you can see them. What do you expect when you start to build all these house over a greater expanse of the country side. As for starting a private insurance company that only covers The Villages I think you will find that there are many obstacles to that approach. There is no way to buy insurance that will take all the risk out of life.

[samhass]

This guy makes it look so simple.
He forgot to mention the cost of lobbyist in Tallahassee!
------

How to Start Your Own Insurance Company | Chron.com (http://smallbusiness.chron.com/start-own-insurance-company-2402.html)

How to Start Your Own Insurance Company
by Owen E. Richason IV, Demand Media


For entrepreneurs that want to build a small business that provides an ongoing revenue stream for years to come, an insurance agency is an ideal opportunity, as clients repurchase products to ensure that coverage continues. Among the types of insurance products an insurance agency can sell are: life, annuity products, term and whole health, automobile, homeowners, property, causality, and disability. Opening an insurance company requires some preparatory steps.





Step 1
Become a licensed insurance agent. Laws and identifiers differ by state, but in general you will need a Property and Casualty Insurance license and/or a Life, Health and Variable Annuity license. For instance, in the state of Florida, these are referred to as 440 and 220 licenses respectively. Each can be obtained online or through classroom instruction. Most community colleges also offer these courses.

Step 2
Determine what products you will offer. Typically, insurance agencies do not limit themselves to specific products and carry a variety of insurance plans. However, you might consider specializing in one particular product while still offering other insurance plans. As an example, you might wish to focus on corporate health benefit plans and sell employee insurance benefits to companies while still offering life and variable annuity products.

Related Reading: How to Start Your Own Purse & Bags Company

Step 3
Apply for a business loan and insurance. Compile a list of all start-up costs including but not limited to: office equipment, lease monies, employee expenses like wages and benefits, and insurance, such as liability and errors and omission insurance. Using these numbers have an accountant or business plan writer write a business plan to apply for a small business loan using the Small Business Administration's approved lender database.

Step 4
Locate suitable office space. Office space should have a well maintained exterior and interior and provide enough space for a reception area, one or two offices and a conference room for initial client consultations and workshops for potential clients.

Step 5
Buy a franchise or open your own agency. Choose between buying a franchise and opening your own independent insurance agency. The advantages of buying a franchise is operating under a well established name and having access to "in-house" financing provided by the parent company. The advantage of opening an independent agency is freedom to choose any product.





References (2)




Resources (2)




About the Author

Owen Richason grew up working in his family's small contracting business. He later became an outplacement consultant, then a retail business consultant. Richason is a former personal finance and business writer for "Tampa Bay Business and Financier." He now writes for various publications, websites and blogs

Those requirements might pose no problem for The Villages. They already have a vast infrastructure of office buildings and have half a dozen corporate insurance entities in place, according to corporationwiki.
I think they have done a tremendous job with this place and if this idea grew legs, it could be good for all concerned.

[graciegirl]

Catastrophic Ground Collapse works just fine. The Insurance Companies never sold insurance that covered your property with out affecting your home.. If you have a sink hole in your back yard there is no law that says you have to fill it. I guess I don't see the reason for all the panic. Sink Holes have been in Florida forever because of what is under our feet. The reason everyone is so aware is because these sink holes used to happen in the middle of a pasture. If you look at the country side while out on the road you can see them. What do you expect when you start to build all these house over a greater expanse of the country side. As for starting a private insurance company that only covers The Villages I think you will find that there are many obstacles to that approach. There is no way to buy insurance that will take all the risk out of life.


Excellent post and perfect summary.

[DINTY]

When the Developer gets the insurance business up and running...........how about a buyers club. They buy in large lots (Like WalMart) and pass the savings along to all residents.
Then buy a cruise ship for the exclusive use of residents who would pay a small fee to cover beer consumption.
Then build a car manufacturing plant, a place for all the home constructions workers to have jobs after build-out. Residents could buy cars at a much discounted price.
Etc..........................
:beer3::blahblahblah::throwtomatoes:

'Sounds like a ho ho conversation from the Angler's Club.'

The crime and sinkhole issues here in The Villages are not strivitual matters ... for the residents. All ideas are welcome.

[TNLAKEPANDA]

There is no reason why sinkhole insurance should be expensive. If a sinkhole occurs it will only effect one or two homes. It's not like they are a daily occurrence either. One or two a year would be a lot. Unlike hurricane's or earthquake's that can cause wide spread damage. A Villages Only insurance pool is a great idea. If you had half the people join (50,000) at $50 a year you could have a pool of $2.5M the firs year alone. With that kind of money you could pay for sinkholes in your yard that do not damage the house. I can not believe that no one has done this.

[samhass]

When the Developer gets the insurance business up and running...........how about a buyers club. They buy in large lots (Like WalMart) and pass the savings along to all residents.
Then buy a cruise ship for the exclusive use of residents who would pay a small fee to cover beer consumption.
Then build a car manufacturing plant, a place for all the home constructions workers to have jobs after build-out. Residents could buy cars at a much discounted price.
Etc..........................
:beer3::blahblahblah::throwtomatoes:

What a grand idea. He seems to be involved in almost everything else.:1rotfl:

[villagerjack]

The Villages is 36 Square Miles or 23,040 acres in size. The damages from sinkholes total about 1/4 of an acre, perhaps less, therefore the chances of you getting a sinkhole are about 1 in 92,160, still pretty slim.

[buggyone]

The Villages is 36 Square Miles or 23,040 acres in size. The damages from sinkholes total about 1/4 of an acre, perhaps less, therefore the chances of you getting a sinkhole are about 1 in 92,160, still pretty slim.

How do you come up with 36 square miles? That would essentially mean 6 miles long and 6 miles wide. It is way bigger than that! Last figure I heard was around 125 square miles.

[Steve9930]

Excellent post and perfect summary.

Thank You Gracie.

[jflynn1]

This guy makes it look so simple.
He forgot to mention the cost of lobbyist in Tallahassee!
------

How to Start Your Own Insurance Company | Chron.com (http://smallbusiness.chron.com/start-own-insurance-company-2402.html)

How to Start Your Own Insurance Company
by Owen E. Richason IV, Demand Media


For entrepreneurs that want to build a small business that provides an ongoing revenue stream for years to come, an insurance agency is an ideal opportunity, as clients repurchase products to ensure that coverage continues. Among the types of insurance products an insurance agency can sell are: life, annuity products, term and whole health, automobile, homeowners, property, causality, and disability. Opening an insurance company requires some preparatory steps.





Step 1
Become a licensed insurance agent. Laws and identifiers differ by state, but in general you will need a Property and Casualty Insurance license and/or a Life, Health and Variable Annuity license. For instance, in the state of Florida, these are referred to as 440 and 220 licenses respectively. Each can be obtained online or through classroom instruction. Most community colleges also offer these courses.

Step 2
Determine what products you will offer. Typically, insurance agencies do not limit themselves to specific products and carry a variety of insurance plans. However, you might consider specializing in one particular product while still offering other insurance plans. As an example, you might wish to focus on corporate health benefit plans and sell employee insurance benefits to companies while still offering life and variable annuity products.

Related Reading: How to Start Your Own Purse & Bags Company

Step 3
Apply for a business loan and insurance. Compile a list of all start-up costs including but not limited to: office equipment, lease monies, employee expenses like wages and benefits, and insurance, such as liability and errors and omission insurance. Using these numbers have an accountant or business plan writer write a business plan to apply for a small business loan using the Small Business Administration's approved lender database.

Step 4
Locate suitable office space. Office space should have a well maintained exterior and interior and provide enough space for a reception area, one or two offices and a conference room for initial client consultations and workshops for potential clients.

Step 5
Buy a franchise or open your own agency. Choose between buying a franchise and opening your own independent insurance agency. The advantages of buying a franchise is operating under a well established name and having access to "in-house" financing provided by the parent company. The advantage of opening an independent agency is freedom to choose any product.





References (2)




Resources (2)




About the Author

Owen Richason grew up working in his family's small contracting business. He later became an outplacement consultant, then a retail business consultant. Richason is a former personal finance and business writer for "Tampa Bay Business and Financier." He now writes for various publications, websites and blogs


Your Link is misleading. There is a big differnece between starting an insurance cmpany and Opening an Insurance Agency. The link deals with starting an Insurance Agency.

Having been involved with both opportunities starting and owning an agency is alot easier that starting an insurance company, especially one with one purpose... Sink Holes. Not impossible to do, just very difficult.