this post was submitted on 17 Jan 2025
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The only reason it's unsustainable is because they are trying to charge less than they should for insuring something in these locations, not built to survive the hazards of them. If insurance companies would stop spreading the cost around to make insuring these properties not cost as much as it should, it would work as the incentive it is supposed to be to change behaviour. By spreading the cost out to people not affected by high risk, they are punishing good behaviour and rewarding bad behaviour.
If they charged the premiums that it would actually take to insure these places based on their risk and their risk alone, it would either be sustainable, or no one would want to pay it.... either way, it solves the problem.