Kathleen Blanco is trying to get the understandably hesitant insurance companies to issue more policies in hurricane-prone areas. She says that “there is no silver bullet” to solving the “problem” of lack of insurance. Maybe there is no problem and people should not be living there?
I would not be surprised if laws are changed to force companies to insure certain areas. Nor should anyone be surprised if public housing expenses are increased.
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Perhaps they will use the strategy we use here in sunny Florida. The state can form an “insurance company of last resort” that charges high premiums that are still not enough to cover the risk of hurricanes/flooding. Then, they can force the insurers in the state to raise their rates to help fund the state run company.
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