Reply to: LA Fires

[vetran]

bring on the Knopfler

[SueEllen]

This is going to trigger a banking crisis. A lot of properties won't be covered and many others will see their insurance company simply default, thus leaving people with a mortgage on a non-existent property which they will default on. Banks were already staggering.

Labour and banking crisis... mmmm...

We are going to need Gordon to save the world!

[sadkingbilly]

This is going to trigger a banking crisis. A lot of properties won't be covered and many others will see their insurance company simply default, thus leaving people with a mortgage on a non-existent property which they will default on. Banks were already staggering.

https://www.youtube.com/watch?v=X_-q9xeOgG4

[Paddy]

This is going to trigger a banking crisis. A lot of properties won't be covered and many others will see their insurance company simply default, thus leaving people with a mortgage on a non-existent property which they will default on. Banks were already staggering.

The way most of the LA properties were built using 2"x 4" studding, wooden cladding and Styrofoam insulation would be not be mortgageable in the UK and EU.

[TwoWolves]

This is going to trigger a banking crisis. A lot of properties won't be covered and many others will see their insurance company simply default, thus leaving people with a mortgage on a non-existent property which they will default on. Banks were already staggering.

[vetran]

The last house is rock, stucco and has a fireproof roof, so its building regs.

https://www.dailymail.co.uk/news/art...-la-fires.html

[vetran]

The reinsurance companies. Lloyds for example in the UK. Berkshire Hathaway in the US. Some insurance companies have reserves set aside so they can self-insure.

The reinsurers spread some of the risk around with other reinsurers.

indeed

LLoyds have members in syndicates who take the earnings and insure against the loss, if you remember after one of the big storms a load of Lloyds 'Names' lost their shirts (one of the rare times the golden goose has bitten back. I believe this risk aggregation is common in other organisations.

Also the risk is packaged up like sub prime mortgages by a number of re-insurers. Years ago I installed a phone system for one of them, spent a lot of time chatting to various advisors whatching it on go live day.

So expect another crash shortly.

[woody1]

I wonder if there are packaged insurance instruments like CDOs.

[SueEllen]

IF they are using cloud.

IF they take regular backups of their data.

Who insures the insurance company?

qh

Wonder if they tested their disaster by recovery plan....

Anyway according to Trump climate change is a hoax, wind turbines kill birds and he wants to buy Greenland.

[quackhandle]

SHouldn't be a problem with the cloud and WFH culture surely?

But if I was that insurance company I think I'd set light to my own building as an excuse

IF they are using cloud.

IF they take regular backups of their data.

Who insures the insurance company?

qh

[northernladuk]

I read that one guy said he didn't know what would happen with his insurance as the insurance company building had also succumbed to the wildfire.


qh

SHouldn't be a problem with the cloud and WFH culture surely?

But if I was that insurance company I think I'd set light to my own building as an excuse

[Paddy]

Small print: Uninsured if property left empty for more than 21 days. Uninsured if a tree is closer than 30 feet of the building.

[quackhandle]

Insurance companies might be in a bit of trouble.

I read that one guy said he didn't know what would happen with his insurance as the insurance company building had also succumbed to the wildfire.


qh

[northernladuk]

Insurance companies might be in a bit of trouble.

Wonder if they'll pull the 'act of god' line and say sorry no thanks.

[woody1]

Insurance companies might be in a bit of trouble.