Montana Insurance

Next time, if you want to live in Florida, think again. The Sunshine State may warm weather and great beaches, but it is also vulnerable to natural disasters such as hurricanes and floods, the assurance that its rate of homeowners are among the highest in the USA - and can not that become even more costly.

D’insurance vary from state to state. The auto insurance is more expensive in New Jersey as, say, Montana. In some countries, but homeowners insurance is increasing so rapidly that some owners are forced to end its political, and other lifestyles dramatic adjustments with regard to the swing sharply increased. What is the worst rides? In Florida, for example, after Hurricane Andrew in 1992, took things residential rates have increased by 100% in two years. Home owner pays an annual premium of $ 400 for the year 1992 could have paid $ 800 in 1994.

These cases are not rampant in the USA - in general, they are concentrated in areas of the country disasters such as Texas, California, Louisiana and Florida. Although the insurer should have cash reserves to cover the disaster in respect of losses, they are constantly revaluating the profitability of the insurance homes in areas regularly experience disasters. Many insurers are now forecast once the disasters are rare events to happen with more regularity, sending pay-out - and premiums - through the roof.

While some of these catastrophic events are created by man - as the terrorist attack against the World Trade Center - many others are the result of natural resources. In one study, on March 3 of the Swiss Re, the giant Zurich-based reinsurer has his finger on global warming, indicating that the underlying cause for scores by disasters such as fires and floods resulted in billions of dollars of damage. The report is also expected that these events are increasing.

Why is it that global warming, that other disasters? Swiss Re offers $ 70 billion in catastrophic losses in 2003 (including Hurricane Isabel, the fall of France in floods and forest fires in California) are in harmony with the trend climatologists expect that in a warmer climate. “Although the study draws a picture to say building owners, it is now proposing a more rose for the shareholders of the company because of the growing demand obligations disaster. According to Swiss Re, the volume of the outstanding obligations disaster has steadily increased since 1997 to a current level of nearly $ 3 billion. During the first eight months of 2003, the volume of new issues was $ 910 million, which was almost equal to the full year 2002. Swiss Re Capital Markets underwrote approximately $ 750 million in 2003 a new exhibition on behalf of the Swiss Re and two other customers.

Several climatologists and experts from the insurance industry, Swiss Re immediately dismiss the report as nonsense. Patrick Michaels, a critic of global warming and Senior Research Fellow in Environmental Studies at the Cato Institute, said the study “cabin”.

“The European reinsurance companies are playing a dangerous game. They tend to Treaty of their governments, for they have no fear of extermination, while the USA not to push insurance companies, rate of climate change increases, and they will do more business because their rates to be low, “says Michael.

Furthermore, it is a good year for the insurance sector, despite the dangers of global alert. Swiss Re announced in August, the latest period for which they said he had seen the first half of rising net profit of CHF 118 million (approximately $ 86 million) to CHF 691 million (approximately $ 504 million). Much of this growth came from his group Property and Casualty issues its policy owner.