Print

Email story

Comment

Email editor

Let Citizens handle all Florida property insurance, 1/15

By LETTERS TO THE EDITOR
Published January 15, 2007

What's the insurance truth? Jan. 6 

Well, the truth certainly isn't with the insurance industry's doctor of deception, Robert Hartwig, who continues to parrot the industry's claims: They never make enough money and the risks are too great, because, eventually, there will be a severe storm that hits Florida.

Doesn't this same logic apply to life insurance? Not only do insurance companies know we will all die, but their actuaries can even estimate when, within a time frame, that will occur. Still, adequate reserves cover claims. Why is their planning nonexistent when it comes to property claims?

The bottom line is that insurance companies today are so short-term-profit driven that they don't want to be in the property insurance business. And we can't force them to be.

There is no free market for property insurance in Florida, only a noncompetitive, monopolistic industry that prefers not to deliver the product it purports to represent at any reasonable price.

So where do we go next? The Legislature and Gov. Charlie Crist must accept reality and realize that despite the state's efforts to create incentives for private companies, only the state can bring insurance to its citizens at affordable levels. The Legislature must rescind much of last year's "reform" bill and allow Citizens Property Insurance to write wind plus fire and theft throughout the state.

The Legislature also should expand the state reinsurance program to reward those companies that stay in the state and continue to write property insurance competitively by passing reinsurance cost savings on to consumers.

Property insurance is a necessity. It is not optional for those with a mortgage. And true conservatism is self-sufficiency, not dependence. Let's make Florida self-sufficient and create a model, like California in regard to earthquakes, for national catastrophe coverage.

Martin L. Altner, Clearwater

A broken system

I think most agree the present system for providing property insurance for homeowners is broken. As such, there should be broad remedies up for consideration.

All I have seen or heard about from those in authority is a potpourri of measures which are merely tinkering with the broken system. Don't we have any visionaries in Tallahassee? Private enterprise offers no competition in this instance, so we have a piecemeal system of monopolies. Ergo capitalism has failed.

My solution is to have one enterprise licensed by the state to insure property throughout Florida. If no private firm wants to bid on this proposal, then let the state government form a public corporation a la Citizens.

Calvin Mehuron, Spring Hill

Fishy insurance story

An insurance industry spokesperson described last year's $59-billion in record-setting profits as a "fluke." Perhaps there is some legitimacy to that, given last year was essentially hurricane-free. Unfortunately an insurance industry spokesperson used the same term, "fluke," to describe the record-setting profits of two and three years ago. These were years of extraordinary hurricane activity that included Katrina and still they raked in amazing profits. Three "fluke" years in a row with record-setting profits sounds pretty fishy to me.

Bill Adams, St. Petersburg

Split the costs

At the special session, I submit that the Florida Legislature consider the following concerning insurance premium costs:

A law should be enacted that would require any company that issues a mortgage in the state of Florida, and requires insurance on property, to split the premium cost of that insurance. The mortgage company or bank should be prohibited from passing its part of the premium cost on to the borrower, either by fee or payment. Both the mortgage holder and the borrower share the risks and the benefits of insurance against physical hazards, therefore, they each should share the cost.

The mortgage holder is, in fact, the primary insurance beneficiary in the early years of the mortgage, therefore, the mortgage holder should pay the larger proportionate share. The cost could be recalculated each year. In this way, the mortgage holder's premium cost goes down as the principal decreases.

This plan would give homeowners and businesses some immediate relief and show that the Legislature is serious about solving our insurance crisis long-term.

Julia McCord, Tampa

A tax to help Jan. 6, letter

Homeowner myopia

The letter writer suggests a sales tax hike to subsidize homeowners like him and homeless people.

Gee, I thought people who owned their homes were a step ahead of everyone who doesn't own their dwelling. Rental property does not have a homestead exemption or a cap on taxes. Rent is ever increasing to cover the skyrocketing taxes, and this guy wants me to pay more sales tax to subsidize his property tax - please!

Homeowners need to get over their myopic view of the problem.

Dale Romano, St. Petersburg

Be a mentor

As we celebrate Martin Luther King Jr.'s birthday, we should honor his life by helping others in need. So many years after his death, there are still so many poor students who are struggling with very little support. January is National Mentoring Month, and there is no better time to consider volunteering a few hours a month with a young person in our public schools. All state employees can take an hour off with pay to mentor, and many businesses allow the same opportunity. As a mentor of many years, I have benefited as much as my wonderful mentees.

There are thousands of children in the Tampa Bay area who desperately need a little more love in their lives. Another caring adult could make a huge difference and maybe help fulfill the Rev. King's dream of an equal opportunity for all of our children.

Steve Uhlfelder, chair of the Florida Mentoring Partnership, Tallahassee

Still dreaming

Martin Luther King Jr. represented one of those rare moments in the history of man. His courage, his message and the eloquence of his words touched the souls of all who chose to listen. He shook the conscience of the world.

Perhaps one day our children will indeed live in a nation where they will be judged not by the color of their skin but by the content of their character.

Happy birthday, Martin.

Tony D'Andrea, Clearwater

[Last modified January 14, 2007, 20:28:50]