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As I warned you last week, the Consumer Federation of America released a report yesterday charging insurers with price-gouging, citing such alleged abuse as the reason why the industry has been reporting such fat profits of late. Industry groups were quick to respond, but it’s going to be hard for reason to prevail when people are so naturally suspicious of insurers in general, and homeowners are still fighting to get water-related Katrina claims paid. You can read the full story here, and weigh in below.

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