Mississippi wind pool insurance rates are set to increase at theend of the year, the first time the state's insurer of last resorthas raised prices on renewals and new business since HurricaneKatrina.
|A Mississippi Insurance Department filing shows that rates willincrease by 3.2 percent for homeowners and by 5 percent forcommercial policies by Dec. 1, impacting the approximately 44,000policies written by the wind pool.
|According to the local Sun-Herald newspaper, InsuranceCommissioner Mike Chaney says he is aware that this will furtheraffect coastal residents burdened by proposed hikes in floodinsurance costs, and urges that fortifying structures againsthurricane damage can lead to premium reductions of up to 50 percentin the wind pool, and by 30 percent in the private market.
|Mississippi Windstorm Underwriting Association (MWUA) managerJoe Shumaker was quoted in the article saying that, prior toKatrina, the wind pool consisted of about 17,000 policies andclimbed to about 46,000 as private insurers began to declinecoastal wind coverage. This number dropped by about 4 percent in2012.
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