The put up, Ding Dong the Wicked Insurance Witch Is Dead! Florida’s Insurance Commissioner Resigns!, generated a substantial amount of feedback from readers. The Wizard of Oz is my favourite film, and classes are considerable within the story. However, some missed the purpose of the put up, which is discovered within the final paragraph:
All policyholders and I can do is rejoice his resignation. Most of us have felt just like the munchkins in a faraway land and ignored ever since Altmaier was appointed Florida’s insurance coverage commissioner.
Some readers urged that Altmaier ought to be prosecuted for one thing or “locked up” and that Florida’s politicians are being bribed. Not so, and in response, I famous:
He is a vivid man. I simply don’t assume he was proper for this job.
I’m very joyful he has provided his resignation as a result of Policyholders deserve higher.
And,
… I don’t suspect the Governor nor any Florida politician of being bribed and haven’t any proof of it. Indeed, I’ve heard of Governor DeSantis warning individuals to not contribute giant sums as a result of it is not going to matter.
…
We want nice leaders who work arduous and with braveness. We deserve leaders that may deal with powerful points pretty and with nice knowledge if we demand that from these liable for appointments. We don’t want insurance coverage trade shills on this place.
This put up was meant to indicate my happiness once I heard that the chief of the Office of Insurance Regulation had resigned. My view is that his efficiency was disastrous for the insuring public.
Lots of people correctly commented in regards to the enhance in premiums and never with the ability to discover insurance coverage carriers who would offer protection. I wrote a lot of responses, most of which make this level:
My prediction is that this laws is so favorable to new insurance coverage firms, that they are going to be again as a result of it is going to be a worthwhile feeding frenzy.
The charges shall be excessive and it’s possible you’ll not have your insurance coverage declare paid, however yow will discover one other firm to purchase your insurance coverage.
Some correctly commented on the rise in litigation and AOBs. I made quite a few responses to this, and one specifically I want to share:
Insurance is a social product. If losses occur in a single a part of the state, it may possibly impression general losses in one other a part of the state. Indeed, nationwide property losses have an effect on our reinsurance charges.
So, if there’s gamesmanship occurring concerning the litigation of AOB claims, it impacts all of us. I believe that may be a level all of us have to return to grips with it doesn’t matter what facet of the aisle you’re on.
This AOB downside doesn’t excuse the horrible underpayment of claims, the raiding of surplus by insurance coverage executives, the feigned statistics resulting in unhealthy legal guidelines nor the ignoring of policyholders which our quickly to be insurance coverage commissioner was permitting on his watch.
Insurance commissioners are crucial governmental positions as a result of we extensively rely on the product in our private and enterprise lives. Historically, insurance coverage firms wish to:
- Charge charges with out authorities interference. This interference has led to catastrophe as a result of they traditionally will cost each too little, resulting in chapter, and an excessive amount of as a result of rate-making is exempt from anti-trust legal guidelines.
- Want to be freed from regulation questioning claims dealing with and motives for wrongful claims conduct.
- Do not need lawsuits from personal events and policyholders with a vested curiosity to uncover wrongful claims conduct or query the propriety of a claims resolution.
- Do not need regulators asking about how the premium cash is spent and whether or not bills are authentic reasonably than being siphoned off into the palms of the insurance coverage firm executives by way of favored administration contracts or associated firm offers.
My view has been that our quickly to be ex-insurance commissioner was working for the executives of insurance coverage firms reasonably than policyholders on these points. I have no idea the explanations or motive for his doing so. Many speculate that his resignation is motivated to keep away from the anti-lobbying regulation coming into place on January 1, so he and others on his workers may be retained by the insurance coverage trade. Time will inform.
We must assist an appointment of a brand new insurance coverage chief who may have the intelligence to repair issues as they come up, braveness to control, and management to construct consensus. I’m satisfied we will do significantly better, though Florida is all the time going to have property insurance coverage points sooner or later, given the geography and vital enhance in inhabitants.
Thought For The Day
A child has brains, however it doesn’t know a lot. Experience is the one factor that brings data, and the longer you’re on earth the extra expertise you’re positive to get.
—The Wonderful Wizard of Oz