The Personal Finance Podcast

The Insurance Crisis Nobody Is Talking About (With Bob Litterman)

The Personal Finance Podcast

Show Notes

Your home insurance bill is not going up because of inflation. It is going up because of a risk that was mispriced for decades and is now coming due.

Episode Sponsor

Coalition for an Insurable Future

Website:

https://coalitionforaninsurablefuture.com/

Facebook:

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What You'll Learn in This Episode

Why home insurance is up 74% since 2008 and is not coming back down

How one weather event turns into a coverage gap, an un-mortgageable home, and a collapsing property value

Why insurance companies are not the villain here and who actually is

What happens when state-backed insurance plans run out of money

Why one in seven homeowners now has zero insurance coverage

What every homeowner should do right now to reduce their exposure

Why renters are not off the hook from this crisis either

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Who is Bob Litterman?

Bob Litterman is the Risk Chairman Emeritus and a founding partner of Kepos Capital LP. Prior to joining Kepos Capital in 2010, Bob enjoyed a 23-year career at Goldman, Sachs & Co., where he served in research, risk management, investments and thought leadership roles. He oversaw the Quantitative Investment Strategies Group in the Asset Management division. While at Goldman, Bob also spent six years as one of three external advisors to Singapore’s Government Investment Corporation (GIC). Bob was named a partner of Goldman Sachs in 1994 and became head of the firm-wide risk function; prior to that role, he was co-head of the Fixed Income Research and Model Development Group with Fischer Black.

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Question for you:

Have you looked at your home insurance bill recently and been shocked by how much it went up? Drop your state and percentage increase in the comments and let us see how widespread this actually is. Learn more about your ad choices. Visit megaphone.fm/adchoices

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