Gambling with Florida's financial future
Published: Wednesday, January 17, 2007 at 6:01 a.m.
Last Modified: Wednesday, January 17, 2007 at 12:02 a.m.
2. How will the state of Florida get the money to pay the affected homeowners? What taxes would have to be raised or how else could this sum of money be raised?
Under some of the insurance reforms proposed by the Legislature, a major, Katrina-size hurricane could result in Florida owing a huge amount to the affected homeowners, and the only way to pay this amount would be for the state to raise taxes to very high levels and slash all sorts of programs such as education, law enforcement and highway maintenance.
If the legislators cannot come up with a way to ensure that Florida's financial situation is still good after a strike by a major hurricane, it should avoid these proposed reforms. Playing "Russian Roulette" with Florida's financial future by passing an insurance reform bill that does not protect Florida's finances against large losses in the event of a major hurricane would be incredibly irresponsible behavior.
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