The Push Back on Corban


A few days ago Slabbed carried a Bam Bam post on State Farm’s new 45% rate increase, and the process of “whipsawing.” It explained how State Farm uses the media and purchased politicians to manipulate and scare homeowners in depleted Cat markets, who are compelled by lenders to buy adhesion insurance contracts, and pay ever escalating premiums.

The ink was still wet on that post when 2 days ago the Mississippi Supreme Court ruled that the ACC clause as interpreted by the notorious, corporation loving 5th Circuit ain’t the law in Mississippi. The tragedy is that hundreds of thousands of claims were illegally mishandled for 4 years before we got word. Anyway, State Farm, Allstate, Nationwide and USAA got bitch slapped, and they’re some kinda pissed. I knew there’d be press statements coming, all calculated to terrorize homeowners as soon as the shills got their poison pens loaded. We all know who they are: Robert Hartwig being foremost among them. So here’s what he comes out with after Corban:

“What this basically suggests is that the cost of claims is going to be higher than insurers anticipated,” Hartwig said, “so there are direct consequences for the price of insurance in Mississippi, and potentially for the availability as well.

If the state of Mississippi is going to take a different tack from the federal courts, the policies will have to be priced and underwritten appropriately. It makes selling policies in Mississippi risky and, on average, more expensive. There’s just no other way around that.”

You see how this sick SOB thinks nothing of threatening us? What he’s saying is “you’re gonna pay for this . . . we’re gonna jerk policies if we have to, or raise rates on you . . . but one way or the other, you’re gonna pay for this!”

In other words, if policyholders dare invoke the rule of law to reign in these monolpolies, they come back with “You’re gonna pay for this!” See how this is just like “whipsawing” rate increases? I’ve said it over and over, big insurance is openly engaged in racketeering, it’s just a matter of finding a person with backbone, someone like Judge Jed Rakoff to preside over the right landmark case.

You know the FTC has just come out with some new rules that affect shills who ride the rails of the internet pretending not to be affiliated with commercial interests. It’s worthwhile to take a look and see how they might apply to this fool. In fact, just to muse a minute . . . wouldn’t it be poetic to put together a war chest and sue this shill for operating a phony non-profit, (assuming the so-called “Institute” is a non-profit)?

We’ve simply gotta get these people out of lives and state forever. Whatever it takes.