In yet another example in how the Federal Reserve is destroying our dollar and standard of living, you need to look no further than home insurance. The magic trick of distraction is the media blaming all the current malaise to climate change. We, at Evolution will not argue that the level of intensity and number of storms needs to be addressed, but the home insurance sector has had wildfires, flooding, hurricanes and tornadoes before. The intrinsic problem is the cost. The cost is inflation and the Fed is responsible for that fact. No one challenges these corrupt controlers of our economy. I do not want to go off on a tangent, but their actions play into the hands of the WEF (World Economic Forum). Those idiot elites (that's an ironic joke) seek to blame all the injustice, all the world's economic gaps on wealthy nations, especially the US. In the near future, JFL will respond to these Davos fools who like the Fed think that they can engineer the world.
Florida is the Canary...
...in the mine. When coal mining realized the dangers of coal dust, they would bring a caged canary into the mine. If it died, that was the signal to get the hell out of there. The coal dust is blowing in the wind in Florida. The hign cost of damage caused by high winds and hurricanes is presenting a new challenge to the Sunshine State. When you add the cost for flooding and tornadoes, even increased premiums cannot cover the replacement costs.
Did you know that Florida is our nation's third leading state by population (22.9-mil)? It surpassed New York (20-mil). Did you further know that there are 1.5 million condominium owners with most along the coast lines? Well, for years those homeowners have been complaiming about the high cost for home insurance. Now, they have an even deeper problem. No company wants to insure their units! Not only that, we found out that 7 insurance firms have gone belly up and whatever damage their policy owners had, is useless. Ouch!
Danger
Not only are these condo owners left high and dry or should I say, wet and cold, but their high price property could be worth next to nothing. Think about that! This could cause fear that could ripple across the nation and a catagion in the real estate market? Dear Reader, don't panic. These trends take years and decades to resolve. However, the citizens of Florida and our largest state by population, California does have this problem in their lap. Currently, large insurers are not taking new policies in California. As for Florida, an insurance rating firm is also breathing coal dust. Denotech is connected to all these seven failures. They are an insurance rating service. They rated all these firms as stable under economic terms. I wonder if Evergrande in China had a similar situation? Here is the list of firms that are going out of business:
1) American Capital Assurance Corp. 2) Avatar Property and Casuality Insurance Co. 3) Fed. Nat. Insurance Co. 4) Gulfstream Property and Casualty Insurance Co. 5) Southern Fidelity Insurance Co. 6) St. John's Insurance Co. 7) Western Property and Casualty Insurance Co.
There is also another problem connected to this mess. The rating service seems like a pay for a rate service that provides insurers an "A" or above rating. Now, those high loans are in danger which means mortgages are in trouble which means mortgage lenders could be in trouble. One sin (fraud) gets compounded and the only winner will be lawyers with litigation.
It seems that each week we mention some retail firm or restaurant that is going out of business, but this is a whole different sector. It is one connected to the American dream and another reason why we say, "End the Fed!"
Let us say a prayer for our fellow citizens in the South that this new hurricane season does not include one with a landfall... Peace.
