The INSURANCE Problem
From
26xh.0717@21:1/5 to
All on Mon Jun 17 00:26:54 2024
XPost: talk.politics.misc, alt.politics.republicans, alt.politics.democrats XPost: alt.elections
Home/storm/flood/car/biz/whatever ... insurance prices
have spiked HIGH now and you probably can't even afford
insurance for a lot of things anymore - if you can get
it AT ALL.
From the early 1900s, the USA was just assumed to be
a RAPIDLY GROWING ECONOMY. This growth was the balm
for all sorts of things. Increasing money, increasing
population, increasing biz ... it was the equation
that made insurance WORK.
But NOW ... decline in biz/money/births/everything.
Well, except bad natural disasters.
Alas the pop that IS has created large dense cities.
This means any natural disaster can, naturally, do
a HUGE amount of damage. Hurricane, quake, fire,
tornado, ice-storm, epidemic .... the potential
instantaneous liability to insurers has gone out
of hand. The old equation DOES NOT WORK.
So, they are TRYING to reduce that instantaneous
liability issue. It's the only way to stay in biz.
Alas this generally results in prices for any and
all kinds of insurance to become generally
unaffordable.
Even houses are grossly overpriced now, and to get
a loan for a house you HAVE to buy insurance on
the property. It's a death-trap for consumers and
likely a false promise to lenders. If a cat-5
blows into Houston NO insurer can cover it so
both home-owners/biz and banks WILL lose BIG.
SO .... many kinds of insurance HAVE to be replaced
by something else. The only thing big enough are
state/federal govt reserves. Sorry, sucks, but
that's how it is. FEMA needs a LOT more funding,
a WHOLE LOT more. States also need to create large
reserve funds for disasters. Work out how much
proportion between fed and states - and MAKE
IT REAL-WORLD. NO STATE is immune ... so EVERY
STATE needs a big fund.
Nobody will LIKE it ... but "insurance" has been a
vital part of 1st world biz since the 1700s. Can't
dare do anything big without it.
Oh well, 25 square meter lot, a little yurt, nothing
but a yak-hair rug and smartphone to your name,
community shitter haunted by rapists/robbers out
back somewhere ......
Let's see how Mexico acts when you try to
flee south for 'opportunity' .....
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