Insurers (STATE FARM) Outsourced Their Cost of Living Expenses to the American Taxpayers

Insurers Outsourced Their Cost of Living Expenses to the American Taxpayers

Insurers Outsourced Their Cost of Living Expenses to the American Taxpayers

ShareThis What happens when families purchase all the hurricane insurance needed only to have their carrier deliberately--and apparently with the malice of forethought--wrongfully deny claims for wind-related damage? Who picks up the tab for their living expenses or their loss business income? Insurance companies also deny these families with the rental assistance that comes with homeowner policies. For businesses, insurance companies also deny them the income loss that would normally have been paid. Instead, the insurance companies outsourced these costs onto the American taxpayers in the form of FEMA trailers or the other housing assistance, subsidized disaster loans, tax deductions, and other aid. It wasn't that the property insurance companies were strapped for cash. In 2005-the year the Katrina hit, property the insurance companies collectively posted a $44.2 billion profit. The following year, in 2006, the industry posted a $63.7 billion profit. By deliberately failing to pay on the legitimate wind-related damage claims, the property insurance industry essentially outsourced their cost-of-living expenses to the American taxpayers. Essentially, the insurance industry helped itself to an unstated federal failout. This was wrong. These companies gladly deposited the premiums for those home and business policies. Rather than provide the services for which those premiums were intended, these companies padded their own bottom line while passing the bills to the American taxpayer. That is so wrong. With passage of the Multiple Peril Insurance Act of 2009, these cost of liivng expenses would be funded through actuarily sound premiums rather than ripping off the American taxpayer. One policy. One premium. One claims adjuster. Protecting America's home & business owner. Protecting America's taxpayers. Rep. Taylor's Multiple Peril Insurance Act of 2009 solves the issue of an unstated insurance industry bailout every time a hurricane hits an American coastal community. Premiums, rather than the tax dollars, would do what they are supposed to do: fund the homeowner policy, including cost of living expenses.