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The article says that the state has created an insurance product that people can buy if they can’t get insurance in fire risk areas - THEN that entity passes on
by asimpleusecase 3y ago
The article says that the state has created an insurance product that people can buy if they can’t get insurance in fire risk areas - THEN that entity passes on losses to insurance companies who refused to insure that risk to start with!
That seems like a great reason not to be in the fire risk business there. If the state thinks they can do it better, let them hold the risk.
Did, I misread that? Why would any company what to be in that space?
- SapporoChris 3y agoThe FAIR Plan is an association comprised of all insurers authorized to transact basic property insurance in California. "THEN that entity passes on losses to insurance companies who refused to insure that risk to start with!" Incorrect, some of them are refusing to offer new coverage. They still have existing contracts. "Why would any company what to be in that space?" The FAIR Plan has higher premiums and the risk is divided by all insurers operating in California. Now, when a insurance companies completely bows out of California. That will be big news.