I'm tired of paying for disasters... Moral Hazard.....

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While I hope everybody is well after the pounding Florida took again, I have to wonder why we put up with the Federal Government paying for natural disasters that occur year after year. If you can't afford the proper insurance for the disasters that hit your area, MOVE.
We all know Florida and the Carolinas get hammered by hurricanes, California has earthquates and forest fires, Oklahoma has tornados, and those who live in a flood plane of a river get floods, and those who live at the base of a volcano get covered in lava, yet tax payers are forced to reimburse those people who CONTINUE to rebuild in the exact same spot time after time, knowing those places will get hit again in the future. Frankly, I'm tired of it.
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THe flaw in your argument is that there is no place that is totally safe from natural disasters and the folks who think they are safe are more likely NOT to have any insurance for it. I agree there should be places where folks would have to accept their losses (river bottoms and barrier islands) if they rebuild but you can't paint this with too wide a brush.
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snipped-for-privacy@aol.com (Greg) wrote in message

Don't you think hurricanes hitting Florida is pretty common? This isn't like a meteor landing on someone's home, for crying out loud. It happens numerous times in a decade. Could be three big ones if/when Isaac hits Fla. When the Mississippi River flooded out a few years ago, the same people who were wiped out 30 years ago were wiped out again. I distinctly remember people saying that they were going to rebuild exactly in the same spot. This is ridiculous.
Why should I, WE, be paying for the gamble that someone else takes? You state it in your first sentence, "folks who think they are safe are more likely NOT to have any insurance for it.". I'm sorry, but someone elses lack of preparation should not hit me, directly or indirectly, in the pocketbook.
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I bet the uninsured toll from Frances will be higher in states all the way from Georgia to Ohio than it was in Florida. Most of those people do not pay for any hurricane insurance. What's your solution, just to abandon the 4th largest state (population) in the union? You will also have to include the entire Gulf coast and the eastern seaboard. Most of the damage you do see is in mobile home parks and on the beach. I already said we probably should not be subsidizing people who rebuild on barrier islands but the same would have to apply to people who live on flood plains. That can be in virtually any state. They are flooding in Tennessee as we speak ... from a hurricane.
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They might not have hurricane insurance, but people can buy insurance to cover this type of damage.

Make these people understand that this will be the last time they get federal handouts, that if they CHOOSE to be underinsured and live in a high risk area, the government isn't going to be there for them if they make another stupid decision to rebuild without proper insurance.

A flood planes are known areas by insurance companies. They've flooded in the past, and will flood again in the future. We KNOW this. Yet people rebuild, and somehow are SHOCKED that, egads, a RIVER actually flooded?
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Larry Bud wrote:

I did a little websearching after the last Florida disaster, and couldn't determine what it is the federal govt. pays out. They do pay for short-term humanitarian relief, but I don't think they pay to rebuild houses and businesses. We hear these huge damage estimates (say, $15BN); I think most of that is covered by Floridians through their insurance premiums.
I would certainly be interested in more clarification on the whole issue though.
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All of these "billions' are not really a loss. It is more like a public works project that dumps a lot of money back into the economy. Cleaning up and rebuilding is one job you can't ship offshore!
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--WebTV-Mail-31008-1918 Content-Type: Text/Plain; Charset=US-ASCII Content-Transfer-Encoding: 7Bit
I live in Florida, not in a flood zone, been here 40 years never have filed a claim. Never have had any flood or huuricane damage. Charley did not get me neither did Frances. But I've been paying for flood insurance and home owners insurance for the 40 years. not saying the next one Ivan won't get me.
So my premiums have been paying for everyone else that gets hit by all the other disasters that occur in this country. My premiums keep going sky high, starting with Andrew. I pay more for homeowners insurance than I do for taxes.
Do I begrudge it, heck no. I know if something happens my insurance will kick in and pay.
A lot of the people that got hit by the 2 hurricanes in he last 3 weeks here. Do not live near the water are what they thought were high and dry area. .And those people got hit twice by the 2 differnt hurricanes.
New law for homeowners nsurance insurance is : For hurricane and major weather disaster the deductible will be 2% of the value of your home.
Fema will help you get a loan at say 3% interest but they are not paying for your damage.
Pat.
--WebTV-Mail-31008-1918 Content-Description: signature Content-Disposition: Inline Content-Type: Text/HTML; Charset=US-ASCII Content-Transfer-Encoding: 7Bit
<html><bodybgcolor="white"text="green"></body></html>
--WebTV-Mail-31008-1918--
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The insurance deductibles are now a percentage of your home's appraised value.Premiums were increased,too. I also believe that in some areas(beachfront),only repairs are allowed,not construction of new replacement homes.IIRC,some of the homes in the Midwest floods several years ago were in this category.
But much of the Florida damages are NOT from proximity to beachfronts,but inland homes.
Also,I believe only low interest,favorable term LOANS are offered,not free money;no giveaways.
--
Jim Yanik
jyanik-at-kua.net
  Click to see the full signature.
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From the Fema.gov site, the application for losses:
Temporary Housing (a place to live for a limited period of time): Money is available to rent a different place to live, or a government provided housing unit when rental properties are not available.
Repair: Money is available to homeowners to repair damage from the disaster that is not covered by insurance. The goal is to make the damaged home safe, sanitary, and functional.
Replacement: Money is available to homeowners to replace their home destroyed inthe disaster that is not covered by insurance. The goal is to help the homeowner with the cost of replacing their destroyed home.
Permanent Housing Construction: Direct assistance or money for the construction of a home. This type of help occurs only in insular areas or remote locations specified by FEMA, where no other type of housing assistance is possible.
Other Needs: Money is available for necessary expenses and serious needs caused by the disaster. This includes medical, dental, funeral, personal property, transportation, moving and storage, and other expenses that are authorized by law.
They clearly help people rebuild their homes.
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Larry Bud wrote:

It has to be determined a disaster though. If a 747 crashes into my house and no one else if affected, I am shit out of luck getting any help from the goverment. My only hope is that the friggen' plane was piloted by a terrorist and it wiped out my whole neighborhood.
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BTW I am not sure we are really getting that big a government handout. My insurance is almost $3000 a year for $100,000 of coverage with a $4000 deductible, per occurance and per policy. If I have a flood and wind damage that is TWO deductibles and if that is over 2 storms it could be FOUR deductibles. The FEMA help is a low interest LOAN that they expect to have paid back. I assume they will tag your income tax returns
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Greg wrote:

If you live in an area that may have 2, 3, or more, hurricanes a year, and you are complaining about your insurance rates, then move to another area. If you want to continue to live in a tropical paradise, then live with its tropical storms. I live in a area that rarely has hurricanes, tornados, earthquakes, or forest fires. In the 20 years I have lived here, my insurance company has made a total of $250 in claims to me because of spoiled food due to a 74 hour power outage. FEMA doesn't even know where I live. Don't get me wrong. I don't want to see anyone die, but those million dollar yachts all bunched together in one pile didn't elicit an ounce of sympathy from me.
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In 20 years I have not had a single claim, why move? It sounds like you are in the danger zone, you have had one. BTW insurance here would not cover your $250 food claim.
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Greg wrote:

Are you complaining about your insurance rates? If not, then disregard.
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No I am just commenting on those who think I am getting some kind of free ride.
I pay a lot for this free sunshine
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I'm tired of paying the price for frivilous lawsuits because some people are just too stupid to use common sense...or because they don't want to take responsibility for their actions and are looking to have someone pay for their stupidity.
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I always wondered why they build such flimsy houses in hurricane prone areas. I'm reasonably sure that something like my vintage 1950 brick rowhome would hold up quite well in a hurricane. Would need to add sturdy shudders for hurricane but other then that it should be OK.
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On 7 Sep 2004 13:13:49 -0700, scott snipped-for-privacy@my-deja.com (Childfree Scott) wrote:

How is your roof fastened to the ground? How is your house attached to the foundation. You are probably not nearly as prepared as you think.
BB
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Excluding the mobile homes the houses down here are very well built. If you haven't been through a hurricane you just can't imagine the forces that have to be dealt with. What I see mostly down here are roofs being ripped off the houses. What happens is that the structure gets breeched through a window or the wind pulling up a piece of wood somewhere or by flying debris. Once the wind has a way in its pretty much all over from there... The pull of the wind outside and the push on the wind from the inside will make short work of the best roof structures.
Hurricane Francis was only a tropical storm by the time it got to me but it was still amazing. The wind would hit the gable vents and set up a vibration that you could feel in the floor. Went to the beach and could not open the car doors that were facing in to the wind.
Steve B.
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