Wednesday, February 21, 2007

An Example of Progressive Government Tactics

Progressive is a modifier and when the left says progressive they mean using government power to gain their self defined outcomes. They mean using government power to achieve the desired goals regardless of principals, law or logic.

Mississippi Considering Directive 10-289: First, Mississippi regulated flood insurance rates down to a level that it was impossible to make money, so State Farm's property coverage on the coast did not cover flood/storm damage. Then, after Katrina, Dickie Scruggs and company sued State Farm, and others, forcing them to cover storm damage from Katrina that their policies explicitly did not cover and were not priced to cover. So, facing a state government that, by fiat, forces their fees lower and their coverage higher, State Farm is trying to exit the property insurance business in Mississippi, and the state legislature is considering legislation to prevent them from leaving.

When government can arbitrarily supersede market pricing, that’s progressive government. When government can arbitrarily ignore contract language, that’s progressive government. When government can demand payment under the threat of potential legislation, that’s extortion - an exercise wholly compatible with progressive government.

H/T Q and O