Tuesday, June 4, 2013

The Port of Houston, we won't be fooled again.

(Ok, I am suppose to stick to consumer issues and my first post was to be on insurance and the hurricane season, but bear with me on this one.)

The Port of Houston will be asking consumers to donate $1 Billion for a giant bridge to protect the ship channel from super hurricanes. From KTRK:

I'm not quite sure consumers, who are paying the highest rates in the nation for homeowners insurance to protect their own homes, are willing to pony up $150/year for the next 30 years to protect the Port and line the pockets of the Port's insurance companies.

Obvious the big winners in a hurricane bridge would be the insurance companies that provide coverage to the various companies that are within the channel, so the logical question should be "Why don't they pay for it?". The bridge would lower the risk for the insurance companies and raise their profits and the chemical companies could use the savings that are passed on to them to fund the bridge. It is a win-win for both.

Consumers, on the other hand, would get squat for our $150/year investment. So why are consumers being asked to fund this? The insurance industry has fooled the consumer in Texas for over ten years, constantly promising lower rates through less regulation and the power of the free market and we continue to pay the highest rates of insurance in the nation. We won't be fooled again.

As the great President George W. Bush said : Fool me once, shame on you. The Fooled me can't be fooled again".

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