The Wall Street Journal:State Farm Won't Cover Properties In Florida.

So here is my 2nd post.
Today I want to discuss about the article found on Jan.28,2009 from Wall Street Journal.

As the title indicates its pretty clear, State Farm (The nation's largest insurer of autos and home) decided it is pulling out of the Florida homeowners insurance market.

Reason: The risk Florida faces against Hurricanes are enourmous.
In order to insure these risks State Farm must charge higher premiums to insureds.
However, 47% raise in their rate has made the Florida regulators to reject this request.

Now, that Florida has uninsured homeowners left in state, it is interesting to see who is gonna take over the market.

However, one thing we can expect is Florida's homeowners will suffer the somewhat high rate regardless of who is going to be the insurance provider.

Who will be willing to take on the risk which State Farm has withdrawn from?
Would it be someone that focuses on niche market or someone that writes general coverages?

State Farm is saying that it takes about 2 years to drop all the policies.

1/19/09 New York Times

My first post!!
Found the article about health care in today's paper (NY times) page A19

Impact of Paerson's Plan to Plug Health Care Age Gap May Be Limited.

The main concern
"Vast numbers of young adults between the ages of 19 and 29 not having health insurance"

Couple reasons why
1. Young people often start their careers working part time or for employers who do not offer health coverage.

2. People decide not to buy insurance because of the cost.

3. People decide not to buy insurance because belief of their youth making them invincible.

To plug the gap, Gov.Paterson is preparing a plan that will allow many more young adults to be claimed as dependents on their parents' health insurance plans. (step towards NY universal health care.)

However, reports states that other states implementing similar system did not see a significant improvements.

I think it is very difficult for the U.S to bring in universal health care, even at the state level.
We must consider the number of frauds that exist in our society as it is now and the potential growth of those numbers as a consequence.

Also when we look at Canada, the waiting times for doctors can be rediculous.
Also we must consider the number of illegal immigrants in our country.
How many would commit fraud by selling or lending false "health care card" type of items?

I just think its very very difficult.