Forbes Magazine: Texas #1 In Home Insurance Rates

[johncoby]

"So after three years of fighting on behalf of the consumers, we got two black eyes. Higher rates and less coverage. In short, we got ripped off, swindled, cheated, conned, deceived. Call it what you want, but in the end, the consumer, got it in the end."

WHAT HAPPENED TO INSURANCE REFORM?

Last week Forbes Magazine released a study with Texas ranked #1 with the highest insurance rates in the nation, 25% more than 2nd place Lousiana. During the last State elections, Texans were promised insurance rate relief, and yet over the last three years our rates double, tripled and our policy coverage was reduced.

So what happened, and what are our elected officials doing about it?

In 2001 the Texas Department of Insurance or TDI, held toxic mold hearings across th e state. After hundreds of homeowners pleaded for help, the commissioner relieved the insurance industry from mold damage, yet not one single penny of rate reduction was provided to consumers.

In 2002 insurance became a campaign issue with promises of lower rates yet the TDI continued to cave to the insurance lobby by allowing the use of HO-A policies. These policies removed foundation, water, and sewer damage. And yet again, not one single penny of rate reduction was provided to consumers.

In 2003 the Texas Legislature lead by Houston

[kjb434]

One of the biggest reason for high home owner's rates is the silly lawsuites and claims from this black mold scare. Black mold is a scapegoat and a red herring. I have been in contact with black mold for years when i was growing up because it is quite natural in the outdoor areas in south Louisiana. It doesn't have negative health affects unless you just decide to eat it for lunch and lick it off floors and walls.

Black mold can be easily sealed with many primers and it will not come back. Black mold most often reveals other problems in a house such as penatration of water into the structure.

What's sad is that insurance companies have too much risk involved in texas and can't lower rates until those risk dissapate.

Get rid of this useless so called "toxic" mold scare and the threat of all the baseless claims, and the insurance industry would gladly lower rates.

[SpaceCity]

One of the biggest reason for high home owner's rates is the silly lawsuites and claims from this black mold scare.

[kjb434]

The should for home owner's insurance policies like car insurance. Because every home has to be offered insurance and can't be turned down, increase competition will help lower rates. I love the low car insurance rates that are out now because of these rules.

[johncoby]

.....increase competition will help lower rates. 

<{POST_SNAPBACK}>

Yea. right. And if birds carried 45's grasshoppers wouldn't jack with them.

Dream on.