Hurricane Katrina Claims

Recently, I spoke with an attorney from Mississippi who told me that she is representing hundreds of victims of Hurricane Katrina against the insurance companies. The insurers are basically claiming that unless the victim can prove that his or her damage was caused by the wind and rain - as opposed to the flooding - they cannot recover. Of course, none of the victims can claim that because they, along with everybody else had fled north to escape the destruction.

So the insurance companies are offering ten cents on the dollar to victims who have nothing. The insurers claim they can't pay any more or they would go out of business.

Hmmm. Why do we buy insurance again????