Who will pay for the next hurricane?

Tuesday, August 28th, 2007 Catastrophe Property

As the second anniversary of Katrina approaches, residents in hurricane-prone areas are still concerned that they cannot obtain insurance to cover damage to their homes from future disasters. Specifically, the decision by State Farm, Mississippi’s largest insurer, to discontinue selling new policies on homes and small businesses there has sent shock waves beyond the state. Banks that normally require homeowner’s insurance as a condition for obtaining a mortgage are also not sure what impact this will have on their clients’ ability to buy such coverage.

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http://insurancenewsnet.com/article.asp?a=top_lh&neID=200708251490.3_c2850027617714e5

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