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What 'n Tarnation (Calgorithm Ranger) 🤠
@watn_tarnation
had a feeling this article was just going to describe insurance companies pricing risk appropriately and boy howdy was I right.
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David Dayen
@ddayen
This is a superb piece from @rkuttnerwrites. The homeowner insurance industry is not suffering from hurricane-related losses. They're using them to jack up rates on policyholders in no danger. prospect.org/economy/2024-1
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David Watson 🥑
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What 'n Tarnation (Calgorithm Ranger) 🤠
@watn_tarnation
ignoring briefly that "low risk people pay a little extra to cover high risk people" is how insurance works as a concept, your house being next to an unburned area on a mountain that regularly burns down means it gets higher risk every single year there isn't a fire!!!
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PedsNP
@cantab_biker
It’s amazing that the writer thought “this area at the urban-wildland interface in LA County hasn’t had a fire in 30 years” could be used to argue that it was fireproof and not that the fuel burden was extremely high
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Stephen Raab
@OneTrueStephen
Every so often you see the sentiment bandied around here that if you didn’t make a claim on your car/home insurance, you should get your premiums back. Same logic.
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The Notorious S.E.B.
@bigseb31213
After last week people were saying "oh florida is going to be uninsurable", as if the US Government wouldn't move heaven and earth and spend whatever required to ensure that people living in suburban sprawl never experience any inconvenience
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Dave Halpern
@thedhalp
And wow do they have planning incentives wrong. Public planning is a political process and swayed by rich homeowners. Self-interested private insurers are interested in actual risks, not politicized risks.
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Matt Powell
@mpowell0831
It’s a bit weird if they increased premiums 4x in one year. Maybe they are not offering a ‘fair’ price now because they don’t want excessive exposure in a single region, but if you can’t get a better price from a different insurer…
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Hei Lun Chan
@heilun_chan
It's interesting when people think insurance should be priced strictly according to risk and when the low risk should subsidize the high risk. I'm guessing the article's writer doesn't think people and groups that use more health care should have to pay more.
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Jonathan Passey
@jonathanpassey
Sigh. In 2024 every example of an increasing price is inflation or price gouging and the underlying problem is always greed. We can help poor people without breaking markets. We should. But helping this lady lower the insurance cost on her 2 million dollar home seems off target.
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John Lin💙💛 @itsjohns.network
@tkejlboom
The insurance commission has FULL authority over the rates in California. The rates applied broadly instead of to the at risk areas is the rate increase the commissioner approved. The failure has occurred, but the author has failed to identify the point of failure.
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