by insuranceripofftexas » Sat Apr 11, 2009 05:00 pm
this is the biggest bunch of shxx (edited profanity-lori) if u want to get rich in texas buy a insurance company or become an agent the state is making these companies rich at our expense recession proof job !!!!!
Posted: Sat Apr 11, 2009 06:58 pm Post Subject:
Most carries are having combined loss ratios in he 90%s or in the 100%s. This means that they are spending more money on claims and operating expenses then they collect in premiums. Carrier usually still make money through investments. We all know how investments are going theses days.
So I'd say the last thing you'd want to do is to buy an insurance company right now.
Posted: Sun Apr 12, 2009 12:49 am Post Subject:
I would agree and its not just that industry..it seems the economy has effected every industry. I know we are all stressed out over the state of our economy but foul language and angry tempers will not help make it better. I did read in Time magazine that economic expansion should begin in late 2010...I myself wish it was sooner but we all just got it ride it out.
Posted: Sun Apr 12, 2009 01:09 pm Post Subject:
Any industry is a 'joining of efforts'. There are people who may 'dig out a mummy to get the gold piece'. And also there are people who are wishing well being, as how few of the people on this forum are helping others without much expectations. The time when the cummulative 'good wishes' exceeds the evils, the recession will end. I hope many have learnt a lot in these bad times. Although it will resume, the progress will be more 'fool proof' than dynamic one due to corrective measures taken. Insurance in contrast, gain more sympathy of government and people in bad time.
Posted: Mon Apr 13, 2009 05:16 am Post Subject:
The insurance companies are making profit ever since the inception of insurance business. That is the way of business. So, how come it occurred to you all of a sudden? Again, how the state is making the insurers rich? If you feel that you can become rich by owning an insurance company, you are most welcome to do so since many of the insurance companies too are going out of business owing to this economic condition.
I’d agree with Firey…..foul languages are not the solution to this problem. And, because of the insurance companies you know that your properties are still covered, without which you would have left dealing with the damages when the nature strikes.
Posted: Mon Apr 13, 2009 05:26 am Post Subject:
Okay, I tend to agree with the view point of the OP….the insurance companies seem to be avoiding the evils of recession since they are free to wind-up their businesses whenever they’re not making enough money and leave the customers wondering about the future. Recently, we have seen that State Farm washed their hands-off from Florida because they were required to pay out more claims than they have expected.
I’d like to know the experts’ idea about this atrocious behaviour of the insurance giants?
Posted: Mon Apr 13, 2009 11:27 am Post Subject:
Hi Blue giant..
Recently, we have seen that State Farm washed their hands-off from Florida because they were required to pay out more claims than they have expected.
You seem to have a good bit of information regarding State Farm's operations in Florida. Could you show us any statistics regarding their unsettled claims in Florida?
Steven
Posted: Mon Apr 13, 2009 12:51 pm Post Subject:
Recently, we have seen that State Farm washed their hands-off from Florida because they were required to pay out more claims than they have expected.
Not entirely correct and it really changes the meaning completly. It's not that they just paid more claims then "expected"... they paid out more in claims then premiums and operating cost. Here is the correct information:"State Farm corporate vice president Dave Hill said the company has paid out $1.4 billion more in claims and expenses than income it has taken in since State Farm Florida was created as a subsidiary of State Farm Mutual 1998."
So, SF _lost_ $1.4 billion in Florida. This goes directly to the OP's post that carriers are _making_ money hand over fist.
Posted: Mon Apr 13, 2009 01:27 pm Post Subject:
if u want to get rich in texas buy a insurance company or become an agent the state is making these companies rich at our expense recession proof job !!!!!
First off I'd say if you can afford to purchase an insurance company ANY insurance company, you aren't doing to bad getting thru the recession...The state has nothing to do with making a carrier rich....recession proof job !!!!
andI tend to agree with the view point of the OP….the insurance companies seem to be avoiding the evils of recession
Might want to let some of 'us' in on this, since most if not all carriers have hiring freezes, lay offs, wage freezes etc in place and (IMO) no end in site for this to change....believe me, it's like ever other industry, they are all or have all lost their butts in one area or another during this economic nightmare, and also like ever other industry the people that you would come into contact with (local agents, claims depts etc) are the ones feeling the pain :roll: so (OP) try and remember that when you share your ever so eloquent opinions on the topic.Posted: Tue Apr 14, 2009 11:30 am Post Subject:
Hi tcope,
So I'd say the last thing you'd want to do is to buy an insurance company right now.
Don't you think if someone has funds to buy an insurance company under the current downturn, he'd be reaping the benefits in the long run?I guess that's what Lori meant over here-
First off I'd say if you can afford to purchase an insurance company ANY insurance company, you aren't doing to bad getting thru the recession..
Steven
Posted: Tue Apr 14, 2009 02:17 pm Post Subject:
Well, I don't think anyone from here is going to run out and buy an insurance company but no, buying any company right now would not be a good idea. Here is why I say that... the stock market is showing it's not even a good idea to buy stock in companies.
But it's certainly a gamble that could pay off in the long run but it's still a big "if" as to if you could drop enough money into an insurance company to keep it afloat until the economy got better. I'm not talking a few thousand... I'm talking several million. Insurance companies combined loss ratios are pretty high right now as winter storms have been bad. They can usually still turn a profit due to investments... but we all know how those are doing.
Add your comment