Which came first, the wind or the water?

Real Estate Agent

Six years later, we still don’t know. I guess it’s just a trick question, some sort of mystery, or just a sickening legal loophole.

Who remembers this? This was the multibillion dollar dilemma after Hurricane Katrina. USAA didn’t pay because according to them, “your home policy doesn’t cover damage caused by flooding.” Meanwhile, State Farm denied your claim because according to them, “your flood policy doesn’t cover damage caused by wind, which technically came before Katrina’s water.” In the aftermath of this hellish tug-o-war, there was no shortage of politicians promising insurance reforms. Dozens of wide-eyed ‘06 midterm election candidates pimped Katrina’s pain with promises of change for votes. Well, lucky for them, 2006 was a great red herring (H1N1 spreads across the globe, North Korea got nukes, Italy stole the World Cup, and Saddam was hung)… we forgot to hold them accountable.

Six years, and more than 46.7 million dollars in political contributions from insurance companies later, Congress still hasn’t fixed anything. No legislation, no amendments, not even a simple floor speech. In fact, Congress just reauthorized the federal flood insurance program with no mention of wind damage. I wonder if they know the Mississippi river is currently flooding and Hurricane season just started…


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  1. Jon Zolsky, Daytona Beach, FL 06/08/2011 04:24 PM
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Jon Zolsky, Daytona Beach, FL
Daytona Condo Realty, 386-405-4408 - Daytona Beach, FL
Buy Daytona condos for heavenly good prices


This is a blog post, that stops you annd makes you think. Not every blog post does it. I am reblogging it

Jun 08, 2011 04:19 PM #1
Marc MyWords
Slidell, LA

Thank you!

Jun 08, 2011 04:27 PM #2
Cynthia Larsen
Cotati, CA
Independent Broker In Sonoma County, CA

This is ridiculous! I had now idea this was going on. Insurers need to be held to a higher standard, right now I would classify them as liars and crooks.

Jun 09, 2011 07:48 AM #3
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