[StBernard] #11

[Westley Annis]

Westley,

To answer your question, no.  I guess all of this came up so fast after
Katrina that we never really had the chance to realize what was happening.
And of course, once we got close to the session it was too late to introduce
any legislation that wasn't already thoroughly researched and run by legal
counsel.  Not to mention, you know as I do Walter is not an easy person to
get hold of, particularly during session.

I would think we need to get our feet under us before introducing such
legislation and be prepared for the opposition - and you know the insurance
industry is going to retaliate hard on something like this.  And I don't
want anyone to misunderstand my position on the insurance carriers.
Generally,  I consider myself to be "pro-insurance company" from a
legislative perspective.  For many years I've thought Insurance carriers
have not always been treated fairly in Louisiana and all too often pay out
on frivilous law suits.  I strongly believe in the "loser pays" concept in
civil suits, which I would definitely vote for if I were in Baton Rouge.

But, I also believe you can't have your cake and eat it to.  If the
insurance companies want more protection against law suit abuse, then they
need to "give" a little in return - by not being allowed to pick and choose
the types of coverage they will provide by the sole criteria of which ones
make more profit.

When I mentioned the conversation with my State Farm agent, let me further
talk about what he told me.  He actually said to me "after all the
complaints and law suits insurance companies (like his) are getting by
trying to blame all the damage on flooding, I think insurance providers
should get out of the "home owner coverage" business, and it should be taken
over by the federal government and handled just like flood insurance
coverage by FEMA."

Yes, he actually said that.  My reply to him was "Oh, I see, so you guys in
the insurance industry want only the 'easy' business with auto and life, but
you don't want the responsibilities or risk affiliated with insuring homes."
He told me he "could live with that" since most of his State Farm business
came from insuring auto drivers anyway.  But, can you imagine FEMA taking
over everybody's homeowner policy.  I dread the day that happens, but the
direction we're heading to might very well lead to that.

So, you see Westley, the major insurance providers have been looking to bail
out of the home coverage business for some time.

John Scurich




----- Original Message -----

> John,

>

> Have you mentioned this idea to Walter?  He is already in and should 

> have

no

> ties to the insurance biz.

>

> Westley

>