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Article: ENOUGH ALREADY Next time, buy flood insurance Government should not reimburse the careless
- Article from:
- Chicago Sun-Times
- Article date:
- September 18, 2005
- Author:
CopyrightCopyright 2005 Chicago Sun-Times. (Hide copyright information)
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Just because a person loses his house in a flood that destroys
hundreds of thousands of other houses, rather than in a fire that
destroys just his house, is no reason for the taxpayer to reimburse
him for the loss. The fact that most people do not buy flood
insurance, just like the fact that most Californians don't buy
earthquake insurance, is no reason for me to insure them. Only if
they can't afford insurance, or if the insurance industry refuses to
insure against a particular risk, is there a compelling case for
government intervention.
Flood insurance is federally subsidized, and as a result the
annual premium is quite low. The average premium in 2000 was $353,
and it started at only ...