Taxpayers likely to foot flood insurance costs

[UpInArms]

http://www.news-press.com/apps/pbcs.dll/article?AID=/20050904/WEATHER01/509040388/1075

Losses from Hurricane Katrina are expected to be so sweeping the nation's flood insurance program will have to ask taxpayers for money to cover the costs.

Claims filed under the National Flood Insurance Program could run as high as $20 billion, experts said.

The program collects only $1.85 billion a year in premiums, so the balance will have to come from somewhere else.

<snip>

To cope with anticipated claims, the flood program will have to borrow money from the U.S. Treasury or get Congress to give it to them. Either way, it will need a huge influx of cash to stay afloat in coming months.

<snip>

In just four Louisiana parishes affected by flooding the insurance program has nearly 217,000 policies worth more than $32 billion in coverage.

...more...

[CanOfWhoopAss]

1. MIddle Class and poor tax payers

The rich will receive corporate subsidies and tax cuts.

[struggle4progress]

6. Bingo! eom

[no_hypocrisy]

2. Likely destination of your future tax dollars: to mortgage companies

for homes that no longer exist.

[gemlake]

3. Flood Insurance is 100 percent government backed

Insurance companies sell the policies, but the federal government pays all of the claims. That's why insurance companies love to sell flood insurance; the more claims, the more money they make.

[durablend]

4. Time to GUT SS and Medicare

Either you want your check or be protected against Mother Nature--CAN'T HAVE BOTH!

:sarcasm:

[RUMMYisFROSTED]

5. What exactly is the point of their existence then?

I'd be willing to back their losses if every last cent of profit they've taken from their policies over the last decade is thrown in first.

[Lori Price CLG]

7. Of course! And, who will pay Halliburton's bill? n/t

[DS1]

8. I'll happily start paying for the rebuild for these people, just as

soon as the insurance companies are left penniless.
I fucking hate insurance companies.