Posted On: November 8, 2007, 11:31 am CST

Posted By: SouthernBelle

I seem to recall that in the definition of insurance spreading the risks is an important component. With all of the Natural Disasters occuring yearly (i.e.
Floods, Fires, Earthquakes, Tornadoes, Down Bursts, Straight Line winds, NorEasterns (?spelling), Hurricanes, Drought, and etc., it seems to me that every state is effected. Also, keep in mind that higher rates= higher cost of living,which eventually is translated into higher prices for consumer goods.
It's a vicious cycle. And if insurance
premiums keep getting higher, and the deductibles increasing to ridiculous amounts, our customers are going to reach a point where they refuse to give up that much of their income for a possible loss.
The industry is going to price themselves out of business in some areas. We need a stabalization factor. The insurance industry needs to find ways to offset the costs. At least this bill has openned a dialog on change and solutions.