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The Alabama Department of Insurance approved premiums

The Alabama Department of Insurance approved premiums for coastal counties that are 4 times higher than the rest of the state, even though it had no proof that Mobile and Baldwin losses were higher!. Where’s the. ?. Rep. Joe Faust and the Homeowners Hurricane Insurance Initiative (HHII)

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The Alabama Department of Insurance approved premiums

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  1. The Alabama Department of Insurance approved premiums for coastal counties that are 4 times higher than the rest of the state, even though it had no proof that Mobile and Baldwin losses were higher! Where’s the ?

  2. Rep. Joe Faust and the Homeowners Hurricane Insurance Initiative (HHII) authored the Alabama Clarity Law. It requires collection of Alabama insurance claims and premiums data by zip code and county. Sen. Trip Pittman and our coastal legislators passed the law in 2012. Its 10 years of data came online Nov. 27, 2013

  3. When counties are compared Mobile and Baldwin are in the bottom-third Alabama counties with the least amount of losses 2006 2007 2008 2009 2006: Mobile in bottom third; Baldwin third lowest 2007: Mobile in bottom third; Baldwin eighth lowest 2008: Mobile in bottom sixth; Baldwin WITH LEAST LOSSES in state 2009: Mobile and Baldwin in the bottom six(the year of Tropical Storm Ida)

  4. Bottom-third Alabama Counties with the least amount of losses 2010 2011 2012 2010: Mobile in bottom ten; Baldwin in WITH LEAST LOSSES in state 2011: Mobile third lowest; Baldwin second lowest 2012: Mobile in bottom fourth; Baldwin WITH LEAST LOSSES in state (NOTE: 2012 was the year of Mobile’s Christmas tornados)

  5. The coastal counties did NOT have the highest losses even in the years of the hurricanes. During Hurricane Ivan, 12 inland counties had more proportional damage than Mobile County: Escambia, Monroe, Conecuh, Clarke, Wilcox, Washington, Butler, Covington, Lowndes, Choctaw, Marengo and Perry. During Hurricane Ivan, 7 inland counties had more proportional damage than Baldwin: Washington, Escambia, Choctaw, Sumter, Clarke, Pike and Greene.

  6. Ivan - 2004 ALL the counties in bluecost insurance companies money that year.

  7. Katrina -2005 All the counties in blue cost insurance companies money.

  8. When premiums and deductibles were at the state average, HALF the cost of the hurricanes were paid with premiums collected in the same year as the storms. Hurricane Ivan losses . . . . . . . . . . . . . $312 million Katrina losses . . . . . . . . . . . . . . . . . . $276 million Combined coastal losses. . . . . . . . . . .$588 million Coastal premiums in 2004 & 05 totaled . . . $275 million

  9. SouthAlabama’s coastal counties havelower losses per policythan the rest of the state because: • -- hurricanes do significant damage • statewide • -- upstate tornados and hail do • extensive damage inland

  10. The coastal counties did not suffer 4 times more in losses than the rest of the state. They have had LESS. YET. . . the Department of Insurance decided to allow companies to charge coastal counties 4 times more. $1,384 Premium $786 Premium All of State Coastal Counties State excluding coast

  11. Alabama statute says that rates must not be: • * Excessive • * Inadequate • * Unfairly discriminatory ALABAMA RATE STATUTES The average price for homeowners insurance around the rest of the state is $950! It is time for the Department of Insurance to halt the unfair discrimination against Alabama’s coastal counties. As in the decades before 2006, we should pay the state average. Less actually.

  12. HHII asks the public to -- Go to the Homeowners Hurricane Insurance Initiative (HHII) website & join the Groundswell! -- Receive updates by email -- Learn about the solutions www.hhii.us

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