Insurance fees are unaffordable!
Eighth District Representative Marlon Penn has expressed concern over the rising cost of insurance in the territory and grilled the government over how it planned to fix the issue.
Penn raised concerns specifically regarding natural disaster and climate change coverage, arguing that insurance companies are now removing this type of coverage from their policies.
In addressing those concerns, Deputy Premier and Labour Minister Lorna Smith acknowledged the critical impact that reduced coverage for natural disasters and climate change could have on residents and businesses.
She further expressed that no directive was issued to stop offering existing policies, and said the high cost of insurance remains a significant concern.
“It is imperative that we work closely with industry experts to find practical and sustainable solutions,” Smith told lawmakers in the House of Assembly.
The Labour Minister outlined several proactive steps she said the government was taking to help strengthen regulatory oversight, and to explore government-backed risk-sharing programmes. Importantly, the Deputy Premier said the government must enforce building codes and noted that steps were also being taken to ensure that consumers are fully informed about their coverage.
Smith described the issue as complex when questioned by Penn about consumer protection against fee increases and potentially predatory behaviour by insurance companies. She referenced ongoing discussions with regulators and insurance agencies, emphasising the need for regional negotiations and public-private partnerships to address those challenges.
Penn also raised the issue of homeowners being underinsured — a term that gained wide prominence after the devastation caused by hurricanes Irma and Maria.
Smith highlighted the importance of education and encouraging property owners to shop around for better insurance rates in response to that concern. She acknowledged the global challenge of rising insurance costs, influenced by increased natural disasters and limited reinsurance capacity.
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What a f..king set, its complex because some of ayo got shares in Co** Ins. Those two hurricanes were the first time hurricanes ever shook us at least in the modern era.
They would have destroyed other countries far worse. Building codes dont have a thing to do with it and now the Insurance industry wants to chastise us with these big high rates.
Why doesn’t the Government do a national Insurance then and fix NHI when it’s obvious what the problem is. Oh, but there goes family Interest again allegedly what corruption.
Some folks retired, pension around $1,500.00 monthly, house insurance over 9,000.00 annually how is this viable.
Who were the first individuals paid out in full by the island insurance companies . Now let me think about that .
My yearly insurance cost went from $16,000 to $19,000. In Florida the rate would be about $10000 Don’t know if the hurricane risk in the BVI is comparable to Florida.
$10K in FL?!? For a multi-million dollar home on the coast maybe. The rest may pay about $3.5K per year depending on a number of variables. $10K on a typical FL home is extremely expensive, and unaffordable.
10k for 1m of insurance
I understand, everyone is facing increased premiums whether it’s auto coverage or home insurance. However, people cannot expect to build massive homes/apartments worth big money and the insurance should offer a ‘cheap’ premium for the coverage, it doesn’t work that way. If you have a home with a rebuild cost of over $1mil you cannot expect a 5k premium, it will be more like $15k. While some of the prices appear to be out of whack and need looking into, I think it’s time we start living within our means.
We live in apartment complex valued abowt $3mil. The insurance is around $45k
Again, focused on the WRONG issue, you worried about the rising cost of insurance, what about the cost of food and there is no regulations in place to control the cost of items in the BVI. There is no way, I can go to shop A, eggs are one price, go to shop B- a completely different price than shop C – and the margins are NOT even close – they all pay the same duties or exemptions but everyone creating their own price. Fix it lord.
This is the problem in the BVI, people are always quick to talk before they THINK! How is it the wrong issue? If RTW, Onemart and Bobbys all see a $50k increase in their insurance premium annually who do you think pays that mark up? Do you think the only expense for these businesses are wages and cost of goods? Things are hard yes, but you need to understand what affects prices before calling everyone greedy! The price of electricity, insurance, freight etc. isn’t only increased for the private consumers, it has increased for businesses as well. More costs, less consumers = increased pricing. If it goes the other way it would mean layoffs to make up the difference so choose your poison.
@Concern
Are you an idiot? Shop where you find the products you want at the best price. Don’t expect the government to do everything for you so you don’t have to be a smart shopper!
Only now they trying to address this vexing issue?
Insurance companies done murder the people long time.
From the year after the hurricanes they jack up the premiums way up like they wanted to make back what they paid out in 2017/2018 in a year’s time. When done we paid premiums back, belly and centre for decades.
If our representatives are forward-thinking they would allow the people to pool a portion of what we would pay to those ravenous jokers and create a national insurance for us to fall back on if and when disaster strikes.
Right now the best option for me is to forget about paying those ridiculous insurance fees and pray that no more disasters affect us. I am already getting a peanut pension and my insurance company is holding me by the scruff of my neck and there seems to be no hope in sight.
They say to “Shop around”. Could someone tell me to shop around where? All the insurance companies are following the same pattern.
The banks are terrible. They are insuring people’s house for very large amounts and adding it to their mortgages instead of seeing how they can insure the loans they are giving out. It seems to me like they have a plan which includes putting people’s property up for auction because if they continue to treat people in this way they will never finish paying their mortgages. You are paying $3,000 for mortgage monthly, less than half is going towards the principal and yet you are adding insurances of upwards of $15,000 per annum to people’s mortgages.
The banks are worse than the insurance companies. They both should be made, by Government, to rethink their strategies. Set of criminals.
The Government can’t implement a few reforms and stave off a takedown Smurf really expect them to solve global economic issues affecting the insurance market including global warming, climate change, and inflation?
Higher risk means higher premiums. Can’t fix stoopid
The World is a big big place. Some places are affordable,depending on your finances.and some are not. Make life choices to accomadate..and consider Social Security in these VI more than likely will be bankrupt when u retire.
Climate system collapse. It’s another symptom. In this case affecting the insurance industry, and our pockets.
The real problem is that these homes are grossly overvalued. There are some so-called valuators that are reeking havoc on US. Some of these houses built 10 /15 years ago for $200. 000 are now valued for over one million. I see a house in Major Bay entered the market at $350,000 many years ago, remains unsold and the asking price is now $830, 000 and it was not even given a fresh coat of paint. I am living in a house that was recently evaluated at an exorbitant price but not one evaluator came into the house to see the state of disrepair and the cheap fixtures that are there.