State Farm is the second largest insurer to Florida homeowners; its policyholders may now need to get insurance from a state insurance fund. The already-strapped state government will now contend with the ever-increasing liabilities it is accruing in its insurance fund.
If a company can't make money, eventually it will flee the market. There is no clearer measure of the failure of government intervention when businesses cease operating due to restrictions and limitations imposed on their activities.
And to show you that economic idiocy isn't limited to Democrats, although they sure do have quite a bit of it, Republican Florida Governor Charlie Crist said, "Well, they probably charge the highest rates in the state anyway. I think Floridians will be much better off without them." And he wants to kick State Farm's auto business out of the state in response.
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