if an entity donates130K

[onethatcares]

towards the election of a pencil necked geek of a governor and then that entity gets a paycheck of $52,000,000.00 is that considered

a smart donation or bribery?

I'm referring to the fact that Citizens Property Insurance of Florida just gave an upstart insurance company , Heritage Insurance, that amount. With no real discussion.

[Ohio Joe]

1. I do not understand...

One insurance company gave another one money... What does that have to do with elections? What should have been discussed and who should have been in on the discussion?

[dems_rightnow]

2. Noit so sure

http://www.theledger.com/article/20130523/NEWS/305235026/1374?Title=Citizens-Property-Insurance-Sheds-60-000-Policies

It doesn't seem there's much political about it.

[badtoworse]

3. You need to clarify. There has to be more to this.

[onethatcares]

4. thanks for the replies, guys

here's what galls me. From the Tampa Bay Times, todays date.

Heritage Property and Casualty Co, which opened for business 9 months ago and contributed $110,000.00 to Gov Rick Scotts campaign in March will begin sending out "takout" letters to tens of thousands of homeowners this week. I could receive a multimillion dollar cash windfall within months...........................................The board at Citizens approved thedeal despite concerns that the proposal was unveiled less than a week ago and that the company's president, Richard Widdicombe has a track record of fines and violations from insurance regulators. Two of the companies run by him racked up hundreds of violations and thousands of dollars in fines for breaking insurance rules.............................................

Under the deal, Heritage will takeout as many as 60,000 policies from Citizens and receive up to $52 million in cash..................The payment would be structured as a backdated "reinsurance" agreement where Citizens essentially pays Heritage to cover Citizens losses on certain policies from Jan 1 to June 28, 2013. That period of time is in the past, Heritage can actively select policies that had no losses, in effect, making the deal low risk. ( I believe the time period is Jan 1 to June 28, 2012)



Now for you folks that don't understand how it works here in sunny Floriduh, Citizens is the insurer of last resort, there are few companies writing policies and fewer still that write policies to cover homes over 50 years old. At best the yearly premiums cost about $3000.00. We have not had a hurricane of any magnitude for 7 years but each year the premium rise 10% on average which makes this a great place to get free money from the citizens.

Backdated reinsurance for cash on the barrelhead, is that anything like robo signing?