5 ms·
Keep in mind, at some point, insurers simply won't pay out.
by yifanl 5mo ago
Keep in mind, at some point, insurers simply won't pay out.
- Barbing 5mo agoat some point slightly sooner now thanks to parent comment Wouldn’t plan it but sounds like could’ve been a solid strategy assuming trust in timely condemnations (out of homeowner control, I think).
- throwup238 5mo agoBut the National Flood Insurance Program will, with plenty of federal bailouts. Private insurers haven’t been willing to cover large parts of the south for decades. The NFIP was the backstop and already overstretched when Katrina hit New Orleans, which is when it first got bailed out. It’s been a downward spiral ever since.
- toomuchtodo 5mo agoThe bond market will only accept this up to a point.
- toomuchtodo 5mo agoThe bond market is telling us the free lunch is over - https://www.axios.com/2026/05/26/inflation-debt-oil-bonds https://www.axios.com/2026/05/26/inflation-debt-oil-bonds - May 26th, 2026
- scoofy 5mo agoMy understanding is that ever since around 2018, the NFIP's premiums must actually reflect the payouts.
- throwup238 5mo ago[dead]
- michaelbuckbee 5mo agoWe're already seeing other states struggling with soaring house insurance rates (California and Florida) and a pattern of spikes in rates leading government mandated caps on rates leading to insurers pulling out of the states. I've no idea what the going rate for insurance is currently in New Orleans but it has to be crazy right?
- cj 5mo ago$6k/yr for $300k coverage in New Orleans.
- michaelbuckbee 5mo agoThat's a a lot less than I expected. Is it difficult to get coverage?
- randerson 5mo agoMy insurance agent told me that insurers in the US generally don't cover floods at all, because its expected that your compensation will come from the government.
- kjkjadksj 5mo agoThey won’t pay out even outside risky areas if your stuff is too old. 35 year old roof blown off in a storm? Insurance will say it was at end of life anyhow and worth $0. Tough.
- intended 5mo agoThere’s enough political power to force the government to pay for the belief systems that have been fostered by a captured media environment. The rational part of the economy has less leverage when the irrational information market is so large and well funded.