weeping

I felt extremely sympathetic to the plight of our nation's insurers when I read how they've struggled in the wake of 9/11 and Katrina. I mean, how terrible is this?

The loss ratio for property-casualty insurance companies, or the percentage of premiums paid out to policyholders as benefits, was 54.6 percent last year, according to the study, up from 53.3 percent in 2006 but far below the 75 percent level of the late 1980s.

The study — based on insurance industry data and companies' financial reports — estimates that the insurance industry's net income after taxes in 2007 will be $65 billion, down from the record $67.6 billion set in 2006 but above 2005's $48.8 billion.

I can understand how emotional someone can get over those numbers.

"The absence of any major storm or earthquake has allowed insurers to post two modestly profitable years. But it wasn't long ago, 2004 and 2005, when our industry suffered record natural-catastrophe losses," Marc Racicot, president of the American Insurance Association, said in a statement.

Certainly our incompetent government is partly to blame for this travesty.

Insurace companies have received about $4 billion in subsidies, the report says, since the federal Terrorism Risk Insurance Act took effect in November 2002 after insurers' costs from the Sept. 11 attacks hit $32 billion. The backstop under the act, in which the government agrees to reimburse insurers up to $100 billion in the event of another attack by foreign terrorists, was extended for another seven years under legislation enacted by Congress last month and signed into law by President Bush.

I mean, on top of all of this you have completely frivolous claims - how is one to cope? I'm surprised the insurers even stay in business.