Prometheus 6

I guess what works for medical insurance works for home insurance too.

Insurers Shift Cost Burdens to Homeowners
By JOSEPH B. TREASTER

PALMETTO BAY, Fla. — Charles R. Williams stood near the glass sliding doors in his home south of Miami and pointed out parts of the ceiling and walls that had crumpled after Hurricane Andrew ripped open the roof 15 years ago.

The visible damage from that storm, one of the worst of the century, has largely disappeared. But Mr. Williams and homeowners nationwide are still feeling its effect in their pocketbooks.

The storm stunned insurance companies and, after paying out more than $22 billion in claims in inflation-adjusted dollars, they began rewriting policies to protect themselves as much as homeowners. They also developed computer programs intended to limit payouts on claims.