Also, Mark, you are right. The Dems think of insurance as a bottomless pit of money that can be drawn on ad infinitum. The same way they think of the US Treasury. I am starting to disagree with some folks on the blog, the Left IS just plain stupid.
Also, Mark, you are right. The Dems think of insurance as a bottomless pit of money that can be drawn on ad infinitum. The same way they think of the US Treasury. I am starting to disagree with some folks on the blog, the Left IS just plain stupid.
How quaint. Selling Insurance tied to Reserves to pay out claims when the day comes.
Most Americans have Zero idea about the U.S. Derivatives Market where naked/unbacked insurance is written every minute of everyday, wait for the U.S. Treasury and the Fed to jump in to save their butts. After pocketing years and years of ill-gotten gains stuffed into private pockets.
Insurance companies are required to keep reserves far in excess of the premiums they collect. And they also buy reinsurance to insure themselves against catastrophic losses like the one in California. CA regulators would not allow insurance companies to charge their insureds for the cost of the reinsurance. That is one of many roadblocks for insurance companies to charge a premium commensurate to the risk they take on. The insurance companies are not to blame. There is no "naked/unbacked insurance" in the home insurance market. Each state regulates insurers within their state, and California's regulators have tied the hands of the insurers. That is why they're leaving.
Also, Mark, you are right. The Dems think of insurance as a bottomless pit of money that can be drawn on ad infinitum. The same way they think of the US Treasury. I am starting to disagree with some folks on the blog, the Left IS just plain stupid.
How quaint. Selling Insurance tied to Reserves to pay out claims when the day comes.
Most Americans have Zero idea about the U.S. Derivatives Market where naked/unbacked insurance is written every minute of everyday, wait for the U.S. Treasury and the Fed to jump in to save their butts. After pocketing years and years of ill-gotten gains stuffed into private pockets.
Insurance companies are required to keep reserves far in excess of the premiums they collect. And they also buy reinsurance to insure themselves against catastrophic losses like the one in California. CA regulators would not allow insurance companies to charge their insureds for the cost of the reinsurance. That is one of many roadblocks for insurance companies to charge a premium commensurate to the risk they take on. The insurance companies are not to blame. There is no "naked/unbacked insurance" in the home insurance market. Each state regulates insurers within their state, and California's regulators have tied the hands of the insurers. That is why they're leaving.