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pjsparkles83 t1_iu8y7xl wrote

Tell that to my homeowners insurance, they just requested a 38% increase for the state of NJ through the Dept of Banking and Ins. Apparently they saw something we didn't.

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I_Am_Skipples t1_iu8zghz wrote

Yeah, they saw an opportunity to steal more from you.

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Reddit_-_username t1_iua0kzf wrote

If you insurance companies are milking profits in a way that doesnt accurately reflect their costs, you should be able to make a significant outsized return investing in insurance companies.

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I_Am_Skipples t1_iua0qu7 wrote

If stocks made sense like that we’d all be able to retire at 65.

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Reddit_-_username t1_iuachxc wrote

I don't understand what your mean by that. First, the average age of retirement is 63, second, companies that grow profits without growing costs experience outsized returns.

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vafunghoul127 t1_iubjc14 wrote

Also a shrewd businessman would see those big profits and get in and undercut those charging too much.

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dread_beard t1_iuaamaw wrote

Do you have any clue the razor thin margins that most personal lines carriers operate on? They make most of their money by investment strategy.

I work in the industry (but on the brokerage side) and people don't realize this. You see 100+% loss ratios fairly regularly (hence rate increases).

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SailingSpark t1_iu92k77 wrote

probably they see more fires in our future due to drought?

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psuedonymously t1_iu9fphm wrote

The trend of what’s going to happen with hurricanes is very clear, they’re growing more intense and dumping more water. That doesn’t mean we’ll necessarily have them every year this far north, we certainly didn’t before.

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PSEOL t1_iu91t0x wrote

And you’re sure that has to do with hurricanes because…?

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pjsparkles83 t1_iu9mm1v wrote

I didn't say that. I said my insurance Co is trying to take more money from me.

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metsurf t1_iu9qbba wrote

Have you looked at the price of lumber and other building products? My insurance company now says the value to rebuild my house is over 600k up from 400k five years ago, thus higher premiums.

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PSEOL t1_iu9mvvu wrote

You’re responding on a thread about hurricanes complaining about your home insurance going up…why else would you make the comment?

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