By: Stephen Ellis, Vice President, Taxpayers for Common Sense
Although ProtectingAmerica.org’s co-chairs claim in their Aug. 19 Other Views column, Still not prepared 20 years after Hurricane Andrew, that more should be done to prepare for massive storms, their plan does absolutely nothing to solve the problems they have documented.
Under their federal backstop plan, American taxpayers would continue to pay for the immediate response to a disaster as well as billions of dollars in additional rebuilding costs currently covered by the private sector. This approach incentivizes continued development in those areas that are most prone to natural disasters.
Using the anniversary of Andrew to argue for subsidized insurance is confusing because the claims related to that storm were completely paid by the private sector.
In fact, Andrew underscores the success of the private insurance system.
Leaving all Americans on the hook for disasters would only create another costly subsidy for U.S. taxpayers.
Nonsensical plan (The Miami Herald)
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