Monday, July 24, 2006

Where is Glenda?

As everybody knows Glenda was the good witch. She made everything alright. I thought that is what Insurance Companies were supposed to do.

I actually have good companies, they seem perfectly willing to pay the actual amount of the damage. They don't however seem to be willing to assist in actually replacing damaged property, for pretty good legal reasons I guess. I might be willing to pay an excess fee if the Insurance Company were agreed to provide a wrap around policy which would include a assurance that in a catastrophy, all coordination and facilitation was covered, including finding temporary housing, flood and storm damage hiring and paying the contractors. A sort of life interruption policy.

The Insurance Company would coordinate coverage with FEMA and I'd bet Congress would offer some incentives for this kind of arrangement. If the policy included reasonable mandatory alternate dispute resolution (by the Insurance Commissioner?) on a expedited basis, that would be a positive.

4 comments:

Jen said...

I have a question for you. Aren't people in your area concerned about rebuilding? I mean, have they fixed the "wall" that is supposed to keep the ocean out? Scientists predict these hurricanes to be more and more common, so what will be different the next time? Will insurance companies even insure homes in the area again against another flood? Forgive me for all the questions.... being from Indiana, I have no clue what's going on down there except for the news. And we all know how accurate they can be...LOL.

mominem said...

Everybody is concerned about rebuilding.

One interesting misconception is the Insurance Companies insure against flooding. They don't.

The Insurance Companies sell policies backed by the US Treasury. In the end it is a government program. The Insurance Companies sell the policies and get paid what amounts to a a commission.

They settle the claims and get paid a fee.

Most scientists I have heard believe that we are in a cycle of greater hurricane activity. These appear to occur every thirty years of so, but are unpredictable and somewhat irregular.

A. said...

Jen - the levees and floodwalls that failed in New Orleans were for canals, the lake, and the Mississippi River. No ocean. Ocean is about an hour away. An d if the Army Corps of engineers had done their job properly in the first place, the levee system never would have failed and we would not be having thisconversation. The flooding had NOTHING to do with the NOLA's geographic location and EVERYTHING to do with gross, systemic incompetence on the part of the federal government and its minions.

Food for thought: have you ever questioned the right/desire of people in Florida or Charleston to rebuild after a storm? What about L.A. or San Fran and a quake? Missouri, Iowa and Illinois after those catestrophic levee failures in the early 90s?

Why is New Orleans any different?

glenda said...

Well, here I am, buti really don't do insurance...sorry, not my forte.