Business of Disaster

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Business of Disaster
After watching the viewing the video discussing the issues of the insurance companies, I am surprised to know that the government works closely with the insurance companies and have less concern for the homeowners. Furthermore, the insurance companies rarely experience losses since they delay the claims from the homeowners and also look for ways to avoid paying them (“Business of Disaster”).
Government Accounting Office (GOA) seem to do nothing on knowing the money that the members of the public pay to the insurance companies. The Government Accounting Office which may have the skills and knowledge to determine the amount of money that the companies should pay for various policies seem to leave that role to the homeowners and local governments. However, the latter is unable to control the prices of the policies. The relevant oversight for the insurance companies is absent since the companies make a lot of money during catastrophes. The profits are obtained from the charges issued to the homeowners for them to start a claim.
Insurance companies focus on compensating very few people. Therefore, the reject compensation for natural disasters (“Business of Disaster”). The lack of compensation for the disasters caused by nature leaves the affected people to be left in the hands of the government and politicians for assistance. Despite the promises by the leaders that they would pass rules to require the insurance companies to compensate such instances, less has been done.

It is evident that the insurance companies do not have the interest of the policyholders at hand. They mainly focus on increasing their profits through the collection of money from the homeowners who are nor engaged in the decision making of the companies.
I believe a lot of changes are needed in the insurance sectors. The policy charges that they offer should be closely checked to ensure that they do not exploit the homeowners. Also, I feel that is not ethical for the insurance companies individual while filing claims yet they have already paid for their policies. Therefore, GAO should improve their services and check these issues.
Work Cited
“Business of Disaster”. FRONTLINE, 2018, https://www.pbs.org/wgbh/frontline/film/business-of-disaster/. Accessed 19 Sept 2018.