Put the CEO's and the board of directors in jail and you will get results. AND, don't wait for 3 years like what they are doing with Ken Lay. Do it now and these policies will be paid off. It is time for vigilianti force.

It is totally unreasonable for a lending institution to give hurricane victims a 90-day grace period on their loan payments, and then expect them to make up those payments all at once at the end of the grace period. Tacking the make-up payments to the end of the loan's duration is not too bad. However, a truely humanitarian lender would eat the make-up payments for the grace period, and allow the hurricane victims to take up their payments that are due after the grace period. I realize that this mean considerable losses for the lending institution, but, it will be worth it in the long run, in that it will build goodwill, which will in turn result in increased business for the lender.

I think that the Lenders should sue the Insurance Co's to get their money. The homeowners pay each month a large chunk thinking that they're insured...and secure...only to find out that they're not...

Did I miss something? I have always considered an insurance policy to be a contract...a binding contract between two parties. Mr. Giardino's carrier arbitrarily and, I would assume, unilateraly, decides to pay him for half his loss? That's incredible!

Good luck, Mr. Giardino...God Bless You!

This is good. This is the tip of the iceberg of what needs to be talked about. The picture you paint is a little more optimistic than I suspect is likely, but I applaud this well-researched lengthier blog entry.

The battle is not won however for people who are able to work out a reasonable payment arrangement that avoids a lump-sum payment for the deferred months. They are still paying a mortgage on a home that doesn't exist, and in order to rebuild, they'll have to take out a second loan of a similar amount, and all these thousands of people, probably a majority of the homeowners along the entire coast, will end up owing twice as much as their home's value.

2006 is forecast to be another busy hurricane season. All these people who are going to rebuild, but will owe up to twice the value of their homes, will not be able to recover from another hurricane surge. Even if another hurricane never comes, they still may not be able to recover, as things stand.

That is why federal hurricane disaster aid targeted to those who were not covered by insurance (because the federal government told them they were not required to have it), is so critical.

There were some posts on the recent blog entry that were very unsympathetic to people living in the disaster area, and if you think the government shouldn't pay disaster monies, consider this scenario.

How many miles of public roads do you travel on every day? How about bridges? Do you need to go across a bridge just to get to work? Ok, imagine those roads were ripped up due to a natural disaster. The bridge? It's gone; now you'll have to drive 50 miles out of your way. Imagine that your home, and most of the homes around you, were destroyed. You no longer have sewer service, cannot drink your tap water, no gas to run your hot water heater, if you have one. Imagine afterwards that you have no convenient local groceries, banks, drugstores, gas stations, restaurants, day care centers, dentists, doctors offices, much less movie theatres, bookstores, any place to socialize. Traffic is always tied up on the few remaining roads that are available. It takes twice as long to get anywhere. You have to drive very far away to pick up groceries, so when you get there, like everyone else, you stock up on a couple week's worth. Long checkout lines. This makes the trip for groceries take about five times as long as it normally would. Since you don't have a fridge or stove, the type of food you buy isn't what you're used to.

Oh, and you don't have street lights, and your police station and fire station are gone, as are the vehicles. There isn't any county or city buildings left, or if they're left, they're condemned because they were flooded. And there's virtually no tax base left, so those local and county governments are bankrupt, as are the school districts.

Everything around you that you can see is destroyed. Trees and bushes are brown from the salt water. Everything else seems to be grey. There is no color from buildings, because hardly any are left. All the local landmarks are gone, and in its place, still debris, everywhere. This is what you have to look at, every day, for miles and miles.

The daily routine that you're used to? Doesn't exist. Every day is a struggle for survival.

There is an endless confusing regime of paperwork, phone calls, meetings with government agencies and insurance adjusters, and months later things are still not resolved.

Or, even worse, you can't get work because your place of employment doesn't exist anymore. The only work that is available now is a low-paying job your teenager used to do, or something you have no skills for.

And your children. They started going back to school, but they don't have the materials and books they'd normally have, and once "home" they really have no place to play. You want their lives to be as normal as possible, but normal doesn't exist anymore.

This is how you've been living for almost four months now.

Not to mention, you spent a harrowing day experiencing a terrifying natural disaster, and perhaps you almost lost your life. Everything around you that is familiar has been ripped away, including all or most of your personal belongings, any special things you might have had. Across the street was a dead body. It was someone you knew. You've been through an emotional ordeal that is difficult to recover from.

Take some moments and imagine your own community in that situation. Not someplace far away, but where you live, your community, your home, living like that.

And it isn't just your community. It's all the communities around yours as well. In fact there isn't any place within driving distance that's normal, that's untouched by disaster. By now, you can't even remember what normal looks like.

You're perfectly happy with the federal government turning its back on you? With the rest of the nation saying they don't think their tax money should be spent to help you, that suddenly, for the first time in our nation's history, the government should not aid victims of a natural disater? That surely by now you should stop slumming and taking those handouts? Somehow your community should figure out how to move forward, with no income to do so?

Remember this line from "To Kill a Mockingbird?"

Just standing on the Radley porch was enough.

Go stand on the Radley porch.

It's the season of giving. Take the time to contact your congressional representatives and say that you hope they'll expedite Katrina aid. Take the time to do something yourself. Don't kick someone when they're down; offer a helping hand. The flow of help to the victims of Katrina should not stop until everyone is able to get back on their feet, and that's gonna take a lot longer than a couple of months.

Margie says it all. Good job.
Let me tell you a true story. I am not a victim of the hurricanes; I live in the NW. When the 9/11 attacks put the airlines in the toilet, I was laid off from my job after 13 years (airplane mfg.) I looked for a job for 3 months and found nothing. I went back to school on benefits the State and my employer provided and worked hard. Graduated with a 3.67 with a major my Unemployment counselor told me would be "hot" just about the time I graduated. It took me over a year to find work and on the day my 6 months probation ended I was laid off, again. That was 6 months ago and I'm still looking. When you are 55, it is harder. Last year my husband became ill and could not work for awhile. We did ok with savings and yard sales, but after about 7 months of little money coming in, we became 2 (that is TWO) mortgage payment behind. I was contacting the company and emailing them all the time to let them know what was happening, when we expected funds, and how things were going. Finally my husband finished his first job after being ill (he's a contractor) and we have enough money to make the back payment and the next 2, plus all the other bills as well. I called the mortgage company intending to do a check by phone to show them we did tell them the truth. I was told not to give them any money because if I did it would be returned. They were forclosing on the property - over 2 late payments with me telling them, "But do you understand I can pay those payments plus the current payment today?" It did not matter to them. They filed. So the only recourse we could do was file a Chapter 13 bankruptcy. By the time we got to court, we were 5 months behind and even the court did not believe they had filed over 2 payments. I wonder if it could be our area was recently rezoned and we are zoned for both residential and commerical? There are a lot of businesses going up around us and our place would be the perfect spot to add a store, and it would generate a lot of money.

The morale of this story is that few if any mortgage company will truely help. If we are going through this 2,000 miles away; I shutter to think what the victims of Katrina and Rita are going through. I was born and raised in the South, right on the coast line in Texas so I know what a hurricane and flooding can do. My heart goes out to them. Isn't it funny that after all the aid we sent to other countries, we have not heard of one offer of help to rebuild New Orleans from overseas? Where are our so-called allies? If memory serves, America has always been one of the first in and last out when diaster strikes.

To our Service Men and Women: Have a safe Holiday. I pray for your safe return to your loved ones.

Phoebe

Margie pretty much said it all but take into consideration this if you will. At the same time the insurance companies are refusing to pay and the government is refusing to help they are using our tax money to rebuild another country. I never thought I would ever be one of those on the 'quit spending our money elsewhere' bandwagon, but I look at my roof that still needs repair and the trees that still litter my yard and I'm ticked off. Myself and many others worked bery hard for the money they are spending elsewhere and now that I need help I was told, by FEMA, too bad. This is the same country that told my son and his friends this was the greatest country in the world come serve with us. My son is now a disabled vet with 50 percent of his family homeless and jobless, some of them quite elderly, and some of his friends came home in bodybags. At least they don't have to witness their governments betrayal.

I have purchased a big hurricane policy and paid on it all my life,Noe Allstate is not paying me anything. In fact we have been hanging with no info for three months.Our agent won't talk to us. Now they offer us only about $5.000. This is a joke.

In a majority of situations, lending institutions, such as Washington Mutual, merely act as a servicer for the loan; which means that they collect the mortgage payment and send the payment to the owner of the loan, and retain a fee for servicing. The owner of the loan may be institutions like Fannie Mae, Freddie Mac, an insurance company, or a pension fund. Fannie Mae and Freddie Mac are goverment sponsored enterprises that provide huge amounts of capital that are used to purchase loans in the secondary market. I wonder what Fannie and Freddie's position is regarding these payment deferrments?

Thanks Margie, you've told the story of what we see and feel. There are really no words to capture the desolation of mind and spirit, but you have captured the daily grunge of exisitng in Katrinaland

Walk away.
Move away.
Leave.
Cut and run.
Get a bankrupcty attorney fast.
Start anew.
Invest your time in your future.
Avoid the slab mortgage.
Take a breath of fresh air.
Let the foreclosure people do the paperwork.
Have a nice future.
Life is for the living.
Do not haul the garbage away.
Be like a spider and build a new nest.
Don't forget to go to church.

THANK YOU, MARGIE, for your post! You hit the nail on the head. Everyone in America needs to stop and THINK about what they are saying and thinking about this horrible situation. We need to get off our duffs and DO SOMETHING, ANYTHING, to help. I just got my Christmas bonus and am sending it directly to Camp Coast Care in Long Beach, MS, to support the efforts of Lutheran Episcopal Disaster Relief along the Gulf Coast. I am sure that, with a very small amount of effort, everyone can find somewhere to send contributions directly to some organization that is helping. I would hope that some who are very generous and physically and financially able would lend their hands to help - in other words, volunteer for a few days, or weeks, or as my daughter's friend is doing, volunteer "for the long haul". There are many faith based and private organizations that have been helping from day one and are continuing to help. I prefer to donate to those organizations because I know the money will skip "administration fees" and go directly to buy food or medical supplies or shovels or bleach or dry wall etc. etc. etc. Come on, America, we all need to pitch in here and help instead of complaining!! Thank you, Margie, thank you, thank you!

Those affected by Katrina are, indeed, in need of and entitled to assistence - both from the Federal Gov't and whatever "Insurance" they had been paying for. This does NOT - In My opinion - mean that things in the devastated areas of the Gulf Coast should be returned to "normal", or Pre-Katrina conditions.
To quote: Those who ignore history are doomed to repeat it.
Hurricanes have ravaged the South and Southeast coasts of the U.S. before this, they will do so again. Anyone who willingly chooses to live or remain living in these areas does so with the threat of such a disaster always present. Sooner or later it WILL happen again. Should those of us who choose NOT to live in these areas somehow be responsible for helping those who Do stay?
Yes, but Only to a certain extent. Those who now stay are, or should be in My opinion, "On their own".
If you want to stay there, fine. We'll get you back on your feet. Next time - next season, or whenever it happens - it's all yours...

My advice - move out. Now.

Just an observation and nothing more...

I find it intesting that the loan companies involved can miss 3 to 6 month's mortgage payments from the vast numbers of people affected and not only remain in business, but thrive. Talk about "Fat Cats"... They must be sitting on a mountain of money.

Thank you Margie. You can't know how bad it is down here until you've stood in it. Your words are encouraging that there are some people out there that understand. I wish we could get every senator and congressperson to come here and view this. We might get their attention if they did.

You must remeber that insurance is there to help for the unexpected. A blanket statement to sue the insurance company is a statement of emotion and haste. Each individual claim is a contract agreement following its course. If you bought a car and something went wrong, would you expect the dealer to pay for it if it was not in the agreement, no.Would you? How many insurance horror stories are a result of owners not understanding their contract. Wisdom and knowledge is gained through learning. Suing the insurance company is not the answer, they are making huge payments and do not forget that some will be finacially stricten by these hurricane.

With one senator already suing his insurance company, it's a wonder a few law firms aren't jumping in on a potentially billion dollar lawsuit againt the insurance companies. Is it enough that congress ok'd a break to the businesses of the affected areas? Its a good start. If the insurance companies are afraid to pay out on the policies owed because they may lose money this year or not make as much or may even go out of business, well sorry. Thats why they are called insurance companies. Thats why we buy insurance. Not to make some fat CEO fatter, but for protection. When it comes time to pay up, they say "Thats too much money, we may go broke." Well people are broke, homeless and in extreme situations. Too many people affected and not enough being done at the levels where only big things CAN happen. Just a few companies making too much money off of the majority of people of this country without giving back to the people who put them in their lofty positions... Just plain sad.

Margie, you have painted a perfect picture of what it is like to live on the MS Gulf Coast at this time. I write this, of course as I look out of my fema trailer window and down the street at all of the other fema trailers that line our street. I am one of the lucky ones. While our neighborhood did flood and no one at this time is able to live in their houses, I know just a few blocks away things are much worse. People have nothing to build back on except a slab. With so many homes gone, and FEMA saying they allow people to stay in the FEMA trailers for 18 months from the date of the storm. I wonder how, even if people did have the money, would all of these homes be replaced in that short amount of time? This picture, I am afraid, is not something that will be going away in 18 months.

I'm Sorry; but I don't believe it is the rest of the country's responsibility to "save" New Orleans. When you build below sea level, it is not a matter of if, it is a matter of when. Did you watch the report on TV where the experts said that in 100 years New Orleans will be an island and 20 feet under sea level? What then?
As far as I am concerned insurance companies are legalized mobsters who have no intention of paying if it as at all possible to get out of it as they proved in New Orleans by saying to damage was caused by the flood, not the hurricane. They knew full well what they were doing when the sold "hurricane" polices in New Orleans. They did not surprise me at all when they announced they would not be paying for flood damage. I sincerely hope those who are sueing the insurance companies win. For their own sakes and for the sake of the rest of the country.
I personally would walk away from anything not salvagable and not have any remorse about leaving the mortgage company holding the bag. It's the price of doing business. While interest rates are reasonable, I remember when they were over 10%. My own mortgage interest rate is very low, yet I will be paying more than double the cost of my home for privilege of owning a home.
My heart goes out to all the Katrina victims, and I'm all for the country footing the bill to help them rebuld their lives, as long as it is not in New Orleans.

Margie - That was such a beautiful blog! It brought tears to my eyes! The Katrina disaster was devestating enough, but to have our government and our nation do nothing (or very little) to help those in need?! I applaud those who have helped so much in the Katrina aid. They are the true heros of our nation.

I fully understand the insurers not paying if in fact the cause of damage wasn't covered under a policy. That's only fair. The premium would have been higher if more contingencies, e.g., the levee system failing, had been covered. Insurers aren't in the charity business. It's unfair for the state to sue them, unless the insurers aren't living up the the true terms of their policies. I'm no fan of insurers, but I think the insured should get what they have a contractual right to and not more. If our society wants to give them more, it should be paid by the taxpayers, federal or local, not by the insurers.

The article mentioned banks going out of business if a large percentage of the mortgage loans aren't repaid. I'm sure the banks will be hurt if the city doesn't come back to life and some bands could go broke, because of that and not defaulted home mortgage loans. Mortgage lenders almost always immediately sell mortgage loans to Freddy Mac or Fannie Mae. Therefore, the risk is spread all over the entire country and internationally to the extent overseas investors buy shares of these combined loans, and New Orleans banks won't take a huge hit on this.

I agree that the best solution for the mortgage deferment is to tag the payments on the back end. That way the homeowner gets a break and the lending institution does not loose anything on it's investment.

As for the homeowners(or lenders whose contract is with a homeowner not a insurance co.) suing their insurance company to get payment. The homeowners are only due what their policy says it will pay. If a homeowner is not responsible enough to know what their insurance will cover and not cover, it is not the goverments job to make up the difference. If my house is underinsured and is destroyed I would not expect anyone to pay me.

As for rebuilding, the government (local, state, federal) is responsible for the infrastructure but not for rebuilding personal property and the government is offering shelter but the vast majority of people are not taking it. We have approx. 220 evacuees from the Miss. gulf coast living at a State Park Campground located in our city. They have been provided the necessities by FEMA and as far as I know, are free to stay for the forseeable future. Everyone of them that I have talked to are happy with the help they have gotten. Above the govt. help, they have been adopted by the community and all of their needs are being met as they come about. They have been given free health care by local doctors, free bank accounts by local banks and almost everything else by other merchants and individuals.

A great big THANK YOU to Margie for saying it exactly like it is. Everything she has described is what we in New Orleans, Waveland, Bay St. Louis and so many other communities in south Louisiana, Mississippi and Alabama experience each day. We deal with it not only from the time we wake up until the time we go to bed, but also in our dreams and nightmares when we are asleep. I wish everyone could spend a few moments on the Radley porch.
- Bill S. New Orleans

Thanks, Margie. As one who has been displaced by Katrina, I couldn't have expressed it better myself. My home ,God willing will be repaired. Due to the state takeover of the school system, 7500 employees (teachers,clerical workers, custodians, bus drivers),I have been forced to seek employment in Georgia. Even though my home is liveable, I'm not able to make a living there. I'm paying my mortgage, utilities, etc. there as well rent and utilities here in Georgia.Some folks have been generous and have shown empathy, but you would not believe the cruel comments we've endured as well. The one question that's always asked is "Do you plan on staying here?" or "When do you plan on returning?" If I could just go back to that Friday before the hurricane, leaving my first graders with these words, "See you Monday, have a good weekend!" not knowing I'd probably never see them again as well as my colleagues, Texas and Georgia would not see the likes of me except maybe on a vacation. One day, maybe there lives will be turned completely topsy-turvy. I wonder how they'll handle it. Believe me it's hard, and it can happen.Imagine the holidays, without your family a five minute drive away, my four children are scattered across the US as well as my mother, father, brother and sister. Just put yourself in our shoes. God is testing everyone with katrina.

Margie, What a great description of the situation. Thank you. Another thing to think about is this: I hope and pray that global warming is not increasing the number and severity of the storms, but if it is... The gulf coast is paying for global, particularly US, consumption of greenhouse gasses. They are possibly experiencing the concequences of OUR actions. Shouldn't we all step up to the plate and not only help, but urge that our country do something to address global warming?

Our friends and family on the coast are facing immense obstacles. They and the economy need federal planning and intervention to prevent an even larger catastrophe.

After Wilma hit here in South Florida there were, for a time, no BANKS - or much of anything else. For me, a once-in-a-lifetime confluence of a stock sale, an almost-empty checking account, a weekend, the first of the month, and a hurricane left me on the short end. My mortgage lender, via an 800 number, offered me the 3 months of grace; absent it, even though I had ample funds, would have meant a late payment. Sure, there were banks open several hours' drive away, but, there were no gas stations, no gas to buy, no expectation that we could refill our empty tanks: no way to get there-and back. With live electric wires lying here and there, and no traffic lights, or street lights it was dangerous to drive; the authorities asked us not to. We tried the local banks (all shut), called local phone numbers (all rang unanswered), heated everything on the grill(until the propane ran out), went to the grocery store (no refrigeration: no milk, cheese, meat, etc.) by bicycle, took cold showers, cut up trees, dragged vegitation to the curb, and waited for electric company crews. Fortunately, my old-fashioned phone worked, and my roof didn't blow off, nor my car flood, or members of my family die. For us, it was only 3 weeks before services came available (electricity, and with it air conditioning, banks, food stores, gas stations, hot water, rube-goldberg traffic lights: turning left is still an adventure!) and life got back to a semblance of normal. I shudder to think of the challenges mounting up in the gulf coast. Please, be gracious . . . capitalism may be the best system we have, but basic kindness, decency, empathy, & compassion fit in too. So I say, Thank you, banker.

While I can appreciate an earlier blogger's heartfelt appeal not to turn our backs on the Katrina victims, she has her facts wrong about our nation's history. The government has not always provided aid to victims of a natural disaster.

On February 16, 1887, president Grover Cleveland vetoed a bill that would have approriated money to aid drought-stricken farmers in Texas. These were his words:

"I find no warrant for such an appropriation in the Constitution, and I do not believe that the power and the duty of the General Government ought to be extended to the relief of individual suffering which is in no manner properly related to the public service or benefit. A prevailing tendency to disregard the limited mission of this power and duty should, I think, be steadfastly resisted, to the end that the lesson should be constantly enforced that though the people support the Government the Government should not support the people.

The friendliness and charity of our countrymen can always be relied upon to relieve their fellow-citizens in misfortune. This has been repeatedly and quite lately demonstrated. Federal aid in such cases encourages the expectation of paternal care on the part of the Government and weakens the sturdiness of our national character, while it prevents the indulgence among our people of that kindly sentiment and conduct which strengthens the bonds of a common brotherhood."

So I say yes to private charity, free enterprise, and individual as the best ways to deal with disasters. And no, I won't be petitioning my congressman to steal even more of my money, even if it's for a good cause.

Some people do not have any options of what they can do with there house and lives. They have none. Yet with everything gone still they must have food and a place to live. What the people need is 6 more months to recover. Give people some hope and they will rebuild their lives and their city that they are still proud of. The biggest problem is money people want their money regardless of what has happened. This is where it ends greed and control by just a few rule our world. But it sure seems funny that during the raging waters where you stood money ment nothing and your life and the lives of others is all that mattered. We need to find a way to give life to the land and people in it. A man will protect his dieing horse from his enemies with his life. Can we find the seeds of living and give to those in need and they will plant a new life giving world around themselves and go forward as they will proudly say. We have done so much with so little we can do the impossible with nothing we just need time and a helping hand to complete our lives.

They're banks people, remember? These are the same friendly folks who threw parents and children out of homes in the 20's.

Under their slick marketing bliss, they are still usury-lending thieves.

I am realy getting tired of all of this blaming of the government its too little too late. Yes it may be but remember this if one chooses to live below sea leval expect to get wet, one must prepare read what you are signing (I had no idea I was not covered) is no excuse for preparation.Everyone needs help now and than and these people need help now but there is way too many of them thinking of themseves instead of the big picture it is not just a house that needs rebuilt but a community and the system that protects it and makes it work. What I have seen and read the spirit of these people is very strong and most seem willing to go on great but these people must band together pull what resources there are and repair.I am sorry I seem cold and non caring I am not I just don't like the government in my business any more than they have to well I am going to stop there.

The fact of the matter is that Insurance companies are purposefully dragging their feet on paying claims they should by contract. We have a friend who is a adjuster sent down here from Wisconsin who is a member of 1 of the biggest Insurance company who was told from doing 2 claims per day to do just 1.Its just a wait game for them to see what washes out and who will default and who get funds from the Federal Government.
Secondly, comments made about not rebuilding New Orleans because it below sea level are very narrow minded. Take a look at your map and see where the mighty Mississippi River runs to. It starts in Louisiana at the Gulf. Shipping is needed through here and as a truck driver I can tell you, America wherever you are, receives or ships somewhere out of this port. Its huge and will be getting bigger.If the notion of not rebuilding was based soley on below sea level, then I would say it would be ludicrius to rebuild areas of California when it people know of the dangers of earthquakes and the what the future hold for that state.
Thirdly, the media has blown this thing so far out of perportion to keep it in the headlines. When the 4 or 5 hurricanes hit and tore up Florida a ouple years back..you didn't get all the onesided crap you have now. It all started with the unfortunate being left stuck in the dome and convention center. I'm from New Orleans. Alot folks got out but they been living their too long and didn't take the warning to get out. The local government ( a business owner with no record of experience voted to mayor) and state ( a governor whom finding out was not in control)failed to act and also the feds ( too busy whats for lunch). Its a finger pointing game again. THe city would of been fine but the levees failed. I'm from Westbank Jeff Parish and lived on River Road. All the levees facing the river for YEARS have been concreted. Why haven't the ones on the 17th street canal I don't know. But polictians and media quick to point out they didn't get what they wanted from Bush and quick to blame him. I think but not for certain they 60 million but what they did with it was on other projects not what they threat was. Again its all around blame and they got caught and the poor people of New Orleans whether rich or poor or getting the shaft.

Mortgage companies make you have the home insured,,and they are first in line to be paid,,,so why are they pressing these homeowners and not the insurance companies. The premiums were paid,,,,,,,,,I would WALK and tell them to stick where the sun dont shine. Banks, credit card companies and insurance companies all want our money with sweet cozy commercials,,,but in truth most of them are legalized loan sharks and crooks. I SAY SCREW them whenever you have to.

I live in Florida and my home/livelyhood was damaged by not one, but two hurricanes. The government owes me a new house, a new big screen TV, a new car, a new job, and the ability to stop the next hurricane that I'm entitled to just because it's the government. The government owes the people life, liberty and the pursuit of hapiness - not a guaranteed handout for not having proper insurance. The government should ensure that the legal system (Bankruptcy court, suing the bank/insurance company for improper tactics, etc.) will sort out what is really "ours". If you live in a hurricane/flood area - get proper insurance. If you can't afford to get it, then move. If you move to an earthquake zone - make sure you have adequate earthquake insurance. It's a terrible tragedy, but the blame game and the government owes me "just because" has to stop.

WHY IS NOBODY SEEING THIS LOGICALLY-THE OCEANS WILL RISE(THEY ALREADY ARE)-UNLESS THERE IS SOME KIND OF MAGIC THAT WE ALL DON'T KNOW ABOUT(NEW ORLEANS WILL SINK 20 FEET OR MORE BELOW SEA LEVEL IN THE FUTURE). QUESTIONS ANYONE?????????????????????????????????????DUH!!!!!!!!!

After reading this article and the comments made by many people around the states it appears most of us agree action needs to be taken. Instead of sitting her and writing your thoughts or giving suggestions on what needs to be done, why not divert that same energy and time to actually doing something about the issues?

Personally, I've contributed both time and money to the cause of rebuilding; furthermore, have additional plans to provide time and money to individuals needing additional support to rebuild their lives.

We live in a country that has overcome some huge obstacles in its history. Does anyone think about how America survived BEFORE insurance companies and politicians ruled the headlines? Americans simply put their hands and hearts together and worked to get through the difficult times. It happened during each war our country has been involved in. America banded together to recover from the Great Depression, and even when President Kennedy was shot (and he was just one person!). Why is this situation any different?

The commentary of respondents to this article is something I truly appreciate. It allows me to understand many differing opinions so that I can better understand my own.

I am not appreciative of the time many of us decide to spend bashing the media, government officials, insurance companies or any other stakeholder relating to the hurricanes a few months ago.

Plainly spoken, it takes lots of hard and devoted work to restore lives. Whether we all agree New Orleans should be rebuilt or not isn't the issue. The real issue is whether or not enough Americans will stop debating over someone else's fate and take action to help these people restore their lives.

I could not imagine what people in the region are going through in their lives. The Federal, State and Local governments should forgive all loans in turn we do NOT rebuild the city. The area should be turned into a watershed and park lands. Just like homes on barrier islands - once they are destroyed by storms that's it no more re-building.

The good folks in New Orleans who suffered from Katrina who are a part of the United States as citizens who have paid taxes that have been spent in a collective across the United States in the past and in the future who chose to live in the area they chose are now being told that they "live in the wrong place and are on their own". Hmmmm, United States.....If I choose to agree on the points beforementioned, then I must request that the good folks in California who live on the St Andreas Fault and the good folks in Oklahoma who knowing live in "tornado alley" and don't forget the good folks in New York City who live in an area of high rize buildings subject to terrorist attacks must also begin to realize the stupidity of their decision and must suffer the consequence of being so stupid to live where they do. I look forward to the increased population migration to neighboring "safe" places so as to avoid any responsibility of those who were fortunate enough to live in the "right places in the United States". Long live that "I'm OK Jack" mentality.

There but by the grace of God, go I. My heart-felt sympathies to those suffering.

First, my deepest sympathies go to those hurricane victims who today feel abandoned and without hope. It is a tragic feeling to be in the situation described by an earlier writer, Margie. However, my fellow citizens (and I use this term to remind us that eventually we are all linked together), we must react in a manner that is consistent with our ideals and a prudent course for the future. We Americans, as the privileged few to be living in the greatest country in the world, cannot expect the other countries of the world to rush to our aid (as one writer suggested). One of the responsibilities of a "super power" is to be able to manage ones own affairs. Our government did not bail out the Japanese a few years ago when their large city of Kobe was nearly totally destroyed by a major earthquake ... nor did they expect it. Similarly, when The Netherlands was disastrously flooded, it was not the money of the developed world that came to the rescue, it was Dutch gilders. While we have a heart to help the underprivileged (i.e Sunami) we do not provide assistance with any reciprosity expected. So, let's stop being mad at the world!
Next, let's look at the role and obligations of the National government. Other than some exceptions in the last 20 years (bad exceptions which will cause us unmeasured grief) we Americans have not relied on the government to bail us out of personal misfortune. The timely quote of President Cleveland provided by Kevin (I urge thoughtful readers to re-read it) summarizes the historical American response to disasters ... governments take care of the infrastructure and public sector, and people take care of people through charitable giving and kindness. So, other than proven incompetence which should be addressed at the ballot box, let's stop being mad at the government.
On to bankers, insurance companies, and the like. We are extremely privileged to be one of only a few countries in the world to have ready access to insurance and fincial loans. It is this access to capital, at extremely low interest rates, that allows us to enjoy the highest rate of home ownership in our history and the history of the world. It is a functioning insurance industry that allows us to withstand covered catastrophes without financial ruin. But, necessarily, both loans and insurance policies have written contracts and conditions. These contracts are not "evil", they are the very essence of the reason other people are willing to invest their hard-earned money in banks and insurance companies. The loans we decide not to payback is in fact the retirement funds of some widow up in New Hampshire (worst case, I know, but point made). We collectively provide capital to each other based on the expectation that we will get back our principal and make a return on our investment. That is how it works and we need to read our contracts. I have no sympathy for CEOs who break the law, but, we cannot call worthy businessmen "Fat Cats" just for expecting agreements to be kept and hoping to make a profit. So, let's stop bashing the Insurance industry and the banks (not defending any proven crooks, if there are any!).
As a survivor of Hurricane Andrew, house severley damaged, 5 weeks without power, livelihood threatened, plans disrupted, and attacked by despair ... let me assure the people of the Gulf Coast that there will be a brighter tomorrow. Keep the faith, be thankful for the assistance others provide you, and recognize that the government has no obligation to "make everything come out all right"
You live in a country that makes it easier than any other country in the world to start over, make a comeback, try something new, and become a great success in a new way. Be thankful for the assistance you receive on your journey (and my prediction is that you will receive much) and 10 years from now you will look back with pride at how much you have overcome and how much you have grown from the experience. You will continue to have my best wishes and financial support (that I have given and will continue to provide). God bless you.

Incredible how insurance companies can collect all of their fees and then refuse to honor their own contractual obligations. But with an army of lobbyists lining the pockets of those on Capital Hill, it is extremely naive to think that they would pay up. Ranting on about morals and how we are all americans and should come together is the drumbeat of the naives. America today is about one thing and one thing ONLY: the dollar. Don't listen to this idiotic banter about america the great, we the people, let's have a big heart, yada yada yada.

Walk away from your slab, sue the insurance company from multiple angles to get your money, then you will have a nice chunk of change to put down on a new home despite your foreclosure and to hell with the banker and the insurance company, the banker knows damn well it's the insurance company execs forcing you to do this, let those execs deal with the ins. execs. Take a page from the businesses trying to screw you: Take care of number 1 and screw the rest. If you need some motivation, just look up and find out how much their pay and bonuses are; it is directly tied to profitability which is directly linked to their ability to pull your pants down and bend you over.

Don't even get me started about taking care of our own here in the US. But, there's something many people don't know about cutting and running on a mortgage. You have to pay income tax on the amount of debt that's forgiven. So, when you think you're walking away from it you only walk into the hands of the IRS who never give up. Check with an attorney before you make your decision....

Let "our" government go represent the people of almost every other country on earth, because they certainly are not representing the taxpayers. It is abominable that people actually pay premiums expecting to be compensated after a tragedy and their insurance company tells them to go pound salt. AND OUR REPRESNETATIVES DO NOTHING ABOUT IT! It makes me sick to my stomach. They worry too much about an electioln in Iraq when we have people living on the streets that should have collected an insurance check to rebuild their lives.

This all amazes me. I live on the water on Long Island, another area due for a devastating hurricane. The first point of note is that my homeowners insurance has been going down! I keep expecting it to go up due to risk, but it goes down. Maybe the insurance companies figure they can then cry bankruptcy. Who knows. Congress does need to hold them to their obligations. I pay home owners and flood insurance and my mortgage compay accepts them. I think part of the problem may be that the home owners and flood policies only insure the structure. In the case of my home, the structure is worth 1/4 of the total value (land is rest). My mortgage is more than double my policy limit, but they will not write it for more since the land will throretically remain. BTW since New Orleans is getting 31 billion to rebuild the levies, do we finally get the 4 billion to fix erosion on Fire Island. Same problem, different place on the time line.

A few seeds for thought... California has for years and years had mud slides, remember last summer? Kansas is infamous for tornadoes, Alaska and states in the extreme north have their issues with extreme cold weather, blizzards and the like. Rivers everywhere flood even the mighty Mississippi!!
That being said, Florida and the Gulf Coast residents pay a premium for insurance much more than most anywhere I’d imagine (assuming one can buy it at any price right now). Where will the folks in the
rest of the country get their oil, seafood, Orange Juice and a whole list of other commodities should the good folks of the Gulf Coast say we’re scared
and run off to Kansas for example. It's not if people should live in the Gulf Coast, the rest of the country depends on most of us who live in the gulf states. So before you warn us all to move may I suggest you go a month or two without electric power since we (Gulf States) provide most of the natural gas that powers a good percentage of the nation’s electricity. Refrain from eating Seafood, Forget about your kids getting their daily orange juice. Like California, Kansas, Idaho, Maine, Tennessee, Alaska and even Las Vegas we all regardless of where we live contribute to the country as a whole. We are
very much inter-dependent at almost every level. So I understand the feelings involved but like everywhere else where ever they may live at some point in time disaster has struck, us folks on the Gulf Coast have had a tough few years, sure some will cut and run and with good reason in many cases, but lets not discourage the folks who brave the danger and understand that life is full of risks and perils. Each occupation and state must face them with courage and steadfastness not only for the benefit of themselves but for the well being of the entire country. I feel for the folks who are fighting the insurance companies, I'm sure big adjustments are in the works, oh, since I live in Florida I'm already feeling those adjustments $$$. The folks who didn't buy flood insurance when they knew they lived in a bowl with water above them confounds me. Do I feel sorry for them? Absolutely. Do I question the wisdom of living in a coastal area where there is a big threat of flooding (especially in New Orleans) and not carrying both Flood and Wind protection? ABSOLUTELY. Is the coverage expensive? Not as expensive as the price being paid now but surely not cheap. Are there some shady insurance companies who either can't because of bad management or what ever are screwing good folks over? I'm certain of it. Solution... sorry I'm not that smart. But I do believe better laws and regulation of the insurance/banking industry could help but the government writing checks enabling politicians to say this many billions of dollars was appropriated with their name on it for political reasons is NOT the answer. The private sector can do most of the work if the rules and regulations are set appropriately. Surely there are some really smart people out there who know how to make the systems better without killing the industry or stiffling it with excessive government bearuracy. (FEMA was a good example of how not to operate).

Yes I also think Marge hit it right on the nail head. But no-one knos the horrible feeling of being without a home no food stores and alot of people without a transportation to go anywhere for help and also the fear of the Dr's leaving the area also. Our house left the property and was bull dozed down so now we have nothing, we are very thankful for a Fema trailer but there is nothing like having your own home. We are both in bad health and we had no insurance on our home, fema has helped us some and I give them credit for what they have done but my scare is what are we going to do in 18 months when they take these trailers away from us and we don't have another place to live.All any of us can do is pray and keep faith that is what is going to get us through this.And I would like to also thank all of the people that came here to help us my heart goes out to all of them, God Bless!

I live in Southeastern Virginia where there is a constant threat of hurricanes. Looks like I better have a Plan B and not totally depend on my insurance carrier if a hurricane comes this way.

Thanks to Margie for speaking so truthfully. I myself used to live near the Gulf coast and I am SO glad I don't anymore. However, what everyone needs to keep in mind is that catastrophic situations can occur anywhere, at any time. Hurricanes aren't the only terrible things that can happen. Tornadoes, earthquakes, and floods are always lurking in the future. And fires destroy lives and property every day. The moral of the story?? NO ONE IS SAFE. If you're still alive, count your blessings, lest you become the next victim of a disaster.

David from Charlotte,

I understand your point of view, but at what point do you throw in the towel and give up. Beach erosion happens over time. Icebergs melt due to global warming. We have the tech. and power to do something about it. Would you give up on the Outer Banks or Mytle Beach? Maybe Charleston? I bet not. Besides, we're talking about MS which sits above sea level, not New Orleans. Although I would say the same for N.O. Katrina wiped out a ton of marsh land already. What happens after you give up on N.O. and lose it. What's the next piece of land to be sacificed?

First, to Barbara of Salt Lake, Marco lives in Mississippi, not New Orleans, as the map indicates. Second, to Marco, wherever you are, you have friends in Hattiesburg. Call Marcia (Thompson) Hartwig at 601-264-2959 or Ed and Susan Jackson, number at information. Can we help?

No again the problem is the Insurance companies dragging around saying that they won't pay until its solved..The levees failed in New Orleans and caused the amount of damaged was it or Hurricane damaged that caused it?? FORCED water I.E.Flood ??Whose libel for that and who do the insurance companies and lawyers Sue??One is Federal Insurance and the other is not. Either way is chosen..it ain't gonna be for awhile till its figured out. The only people making right now is the huge money the insurance companies are making off interest on what their NOT giving out. States and Feds should be sueing the crap outta the insurance compaies to start coughing up the monies.

While my heart goes out to all the people so horribly impacted by these hurricanes and other natural disaster, they serve as a continuing reminder of why I don't live near an ocean, or a lake, or a river, or on a highly active fault line, or in a valley, or in "tornado alley", or in the severe weather areas of the north and northeast, etc.

I am also reminded why I don't live in a $400,000 home I can't afford to pay for or insure, or have any credit card debt. My little town may not have the beautiful ocean, lakeside, or mountain vistas, but I don't have to worry if this coming hurricane, tornado, or winter season will be the one that levels my home.

I understand there are many who have almost no choice. They were born and raised in these areas and simply do not have much of a chance of ever leaving. It's got to be rough for them. But for those who willingly live in high-risk areas, I say "good luck with that". I don't begrudge your choice to live there, but if you do, you absolutely have to accept the risks of doing so, one of which is the potential to lose everything you have. You put your money on the table. Sometimes it comes up red and you win. Sometimes it comes up black and you lose. It's just the nature of the game.

Oh, and I wouldn't put much stock in the insurance companies or state/federal government doing much to get you out of trouble. They can't even seem to keep themselves out of trouble most of the time.

I feel so betrayed that our Gov. is currently spending some 90 billion
on nothing more than an experiment in a very oil rich nation of
people that want us to leave. But when it comes to our own not so
rich citizens our Prez. can't be bothered until his vacation is over.
Now I read some knucklehead in Idaho does'nt think we owe,or
should'nt help rebuild a AMERICAN city with a long and storied
history(not my tax money).Every elected official that voted for the
recently passed tranportation bill needs to reassess his or her
priorities(a 580 million bridge to nowhere etc.).Please America,
save our country and vote every Gov. Rep. that does'nt do the
morally correct thing to support our own citizens in time of need
out of office.Please start with the top and end in our local cities.

Wow! Reading all of these comments, especially Margie's make me reflect on how blessed my family is. A Katrina evacuee was staying at a friends home next door to me. Being in Real Estate, I noticed the Lousiana license plate on the car that was owned by her. I immediately walked over to see if there was anything we could do to help. She needed a place to call home for her and her pet. I immediately thought about my husbands organization, Homeward Bound, a non-profit organization, helping out near homeless families and domestic violance victims. I felt that she fit the bill. With very little convincing, they placed her and her pet in a home and I'm happy to say that she is doing very well. Why is it that strangers can help, but the people you trust the most to make everything ok, the people you pay on a monthly basis, insurance companies,mortgage companies, our goverment aid just can't see the real tragidy going on right in front of them. I applaud Countrywide Mtg. and the other companies that are understanding of this tragic event. I pray for all of the victims, and if WE need to pull together to make things better for them, then let do it. They can't wait for another disaster to happen. God bless you all and good luck.

I keep seeing "if you live below sea level, expect to get wet". Most of New Orleans in not below sea level. The areas of Mississippi and Alabama affected are not below sea level. I lost a business in D'Iberville, it is not below sea level. I feel lucky, because I still have a house to live in and was able to move my Mississippi employees to my location in Mobile. These people bad mouthing the victims of Katrina don't have a clue about what life here is really like. In my work, I travel all over south Mississippi. It is not just the coast that is damaged, it is all of south Mississippi. There is wind damage well inland. In the past two hurricane seasons there have been four hurricanes close enough to damage our area in south Alabama. You want us to just walk away from our life here? The next time there are blizzards up north, or earthquakes and wild fires in the west, or flooding in New England, remember us down here on the gulf coast. We will be thinking of youwhen YOUR disaster hits.

The only real solution to this issue is State and Federal Regulatory Intervention to help these people. The government should enact legislation mandating up to a 1 year extension of all loans. Interest accrued during that period would be added to the loan amount and the loan extended to allow the homeowner to pay it over the life of the loan. The federal government should also consider subsidizing the interest payments for those in dire financial straights as a part of all this massive hurricane related spending. It's time to send the funds directly to those who need it! The government should also enact an emergency National Flood Insurance Program, allowing those not insured for the flood damage to buy emergency coverage and get reimbursed for their losses up the existing limit of $250,000. There would be rules governing this, i.e., they musst use the funds to rebuild IN New Orleans, funds could not be used to just rebuild and sell or the insurance proceeds would be a lien on the property and have to be paid back. The purpose of this program would be to encourage rebuilding and community restoration. We would do that by essentially funding the reconstruction for the uninsured and either treating it as insurance proceeds or an additional low interest loan. The government needs to immediately determine what the guidelines will be for reconstruction. I would suggest that a two part program be put in place.

1. If New Orleans is to become a viable city again, there is no alternative but to build a huge flood control project in order to protect the city adequately from ANY hurricane which might hit the area in the future. New Orleans needs a "Dutch Style System", which will, once and for all, protect it from the ravages of the sea.

2. Building codes must be revised for all new construction in the city. All of "New" New Orleans should be built according to standards required for "coastal velocity zones" by the National Flood Program and other Coastal Communities. All structures should be elevated and/or placed on pilings. The homes should have breakaway walls underneath the allow for flood waters to pass under. Windows should have hurricane shutters and/or wind resistance glass. Hurricane clips should be used to secure the roofs and sidewalls. Florida style, steel reinforced masonry homes are another alternative. Another possiblity would be homes that "float", like the Dutch are building. These are regular homes, built on barges that sit on the ground. They are tied to pilings around the home. In the event of a major flood, the homes just float up onto the water and are held in place by the pilings. Little or no damage would occur with this type of contruction.

I'm another Long Islander, accustomed to seeing hurricances with some regularity. The threat of serious loss to property from Hurricane and Flood Damage is very real here. What I do not understand, and I would really appreciate an answer from someone is this. How did all the people in New Orleans get Mortgages without flood insurance. On Long Island, you simply cannot get a mortgage when your home is in a high risk flood zone unless you buy flood insurance. It is lender required. No lender here would expose themselves to large scale unininsured losses such as these. I simply do not understand how, in a city that is BELOW, sea level so many people could be allowed not to have flood insurance. Anyone with any even basic knowlege of insurance knows that Homeowners Policies do NOT cover Flood Damage. They never have covered flood damage, just like they don't cover Earthquakes. Nataura Catastrophes of this scale are simply too large an unpredicable to to be insurable. How do you transfer risk from one person to another in a city when the entire city is inundated. No carrier could charge a premium high enought to assume that kind of exposure. That's why we have the National Flood Insurance Program. It's high time the people in New Orlenas stopped blaming insurers for not giving away money to pay claims that there was no coverage for. It's time for people to step up, admit they didn't do what they should have done, that is, buy flood insurance, and structure a way for the entire area to be rebuilt, this time, with requirements that the proper insurance be in place.

I'm all for helping the people in New Orlens. I'm all for rebuilding the City better than it ever was. Let's just make sure we do it right this time.

Why is it that EVERY time someone acts irresponsibly or doesn't take prudent measures to protect themselves or their property or personal safety the government ( ie the rest of us ) has to pay for it? You choose to live in an area that is prone to hurricanes and CHOOSE not to have flood insurance. If the banks can't recover the investment then they go out of bussiness and the employees loose jobs. Many other people live in areas prone to natural disasters and choose to keep appropriate levels of insurance. Individuals like myself live in the midwest where we GET ONLY A FEW MINUTES warning for tornadoes. Hurricanes are known about for days if not a week. When you choose to live in an area subject to a certain set of risks the homeowner must be prepared. Do we need to put a sign up just like at the swimming pool MOVE IN AT YOUR OWN RISK. It is time for the rest of us who make good decisions to stop putting up with the persistant whining of all of the unfortunate people on the gulf coast. My parents lived in Slidell LA. My childhood home is gone BUT BUT BUT my parents chose to buy flood insurance for a whole whopping $300 per year ( yea the cost of that CELL PHONE THAT YOU DONT NEED ) and recouped all of the mortagage plus the contents of my original home. SO DONT WHINE IF YOU MAKE CRAPPY DECISIONS. The rest of us are not responsible for your failure.

I truly feel sorry for those who have lost so much. Sorry for your lack of planning. Why should a company, whose goal it is to make money, have to pay for people living in an area that is prone to hurricanes each year? If somebody was to build a house on top of a volcano, I would assume they would know the risks associated with it.

Now let’s say you wanted to live in the area, and you paid for insurance, they should, and would pay you to rebuild. But if you haven’t paid them, why should they help?

In recent weeks I have been overwhelmed with the sad state of affairs in not only the United States, but our world. There is a prevalent lack of respect for our fellow men that is fueled by competition and greed for the almighty dollar. Seeing the devastation from this year's hurricane season, the war in Iraq, violence, intolerance of other's belief system and this country's obsession with power makes me want to move to a deserted island where I can live off of coconuts and fish, spending my days playing on the beach. One problem with that dream is that I would either have to convince my family to go with me or spend the rest of my life alone. The other problem is that lifestyle would inevitably result in a tsunami or hurricane blowing away my thatched hut. Or if that doesn't happen, someone would run me off and build a hotel on my little peace of the world.

Some people are too frightened to face the fact that New Orleans is a major economy and is in the United States' national interest to rescue. Forget the sentiment. Prudent investment in restoring their infrastructure, schools, roads,etc. is good, necessary business. You can rebuild that faster than you could start from scratch. We have the money tied up in Washington pork. No one need worry additional money must be taken from their pocket. That investment will keep national GDP up at a time we can't afford to lose more businesses, business taxes, sales taxes, income taxes, or future workers. Don't flush a gold mine out of laziness or frustration.

I tend to agree the Insurance industry needs to pay out, what is due to the policy holders. These are the same policy holders who may use or not use these companies agian. If the legal contracts of their policy does not get paid. then our insurance industry is a JOKE.
these CEOs seem to forget how they're companies got too big to care. Our trust in a good company that does good business. So now they can not make the profits they have grown accustom to. Take the loss and pay out properly. Gain back some respect from your customers.

if the government doesn't want to honor their obligations of helping those in need here at home then let them live in the destoryed homes or tents of those that have lost everything either that are use the big profits from the gas gauge prices that the oil companies made off of the general public to put these unfornuate vitims of a natual disater in homes for goodness sake, we as americans are always willing to help out other countries and even wipe off debts owed to the u.s.[look at how they wiped billions off to the governments of the world from wwii] why;in god's name can't they forgive these debts. i personally have had to do without because of the high gas prices,no meds,very few grocies etc. because it took the 300.00 a wk for my husband to go to work for the state of texas; he didn't get a cost of living raise out of that and we didn't expect one;however i feel that the vitims of this natural dister deserve more than the small sacafrice that we made by doing without. when will people wake up? call, write, and& or harrass the devil out of george and get him off of his thumbs!! if he can lie to us, spy on us, then he could at least give his salary since he is weathly already, to these people that are being left behind. he has preached no child left behind for over 16 yrs well what about families being left behind?

Thank you Marge and all of you wo seem to understand the magnitude of the problems facing those on the Gulf Coasts of Al, MS and LA. For those of you who don't get, maybe you should review your geography and history books. A signofocant portion of the ravaged areas are not "below" sea level. Most of Bay St. Louis and Waveland avarege about 20 feet "above" sea level. Very little of these communities were affected when the category 5 Camille slammed into them in 1969. The 21 foot storm surge broke about 800 feet from the beach - it continued for miles during Katrina. I can't help but wonder what the average elevation of communities across the USA is. Every year there is flooding along rivers and streams, there are tornadoes, and earthquakes and scientists predisct the disappearance of Southern California in not so distant future.Should everyone living in vulnerable areas be required to move or refused insurance coverage? Should we huddle in areas that have never been affected by nature and live in cracker box condos like the Chinese? And I wonder what we would do for fuel if not for the hard working people of the Gulf Coast areas who work the oil wells and refineries that supply so much of the fuel in this country. Do we want to be totally reliant on the MIddles East? Should we abandon those operations or should we just expect those who work them to live in trailers or tents? I'm really having a hard time with those who just don't get it. 97,000 square miles of homes and towns were affected by Katrina alone. The impact of this storm was unprecedented. So past responses just don't relate. How could anyone have anticipated the enormity of this storm? We have to think outside of the box. The Port of New Orleans and the fishing industries of the Gulf Coast towns are critical elements of the nations commerce. New Olreans has been around for over 300 years. Why are the current residents and all those who lived in this great city for 300 years being dubbed foolish and undeserving of help because of one event? Why is the MS Gulf Coast suddenly an uninhabitable place? For anyone who has visited or lived there and has traveled to other countries and islands, I sincerely believe that most of them will tell you that the most beautiful beaches are along this coastline. This area puts FLorida to shame (no offense intended, I'm just prejudiced!). You will never meet people with such joix de Vivre (Joy of life) and willingness to work hard at whatever they do. Why can't we seem to get that across? Today, feezing rain is expected on the Coast and many families are still living in tents. Many of the FEMA trailers are poorly heated, the propane tanks that fuel the hot water heaters hold only 7 gallons. One has to carry the tank to a fillup point to restock - no trucks going around to service these tanks! Merry Christmas!

I am one of the lucky, very lucky survivors who have come back to the city here with our jobs and our home. You have literally got to be here to see it and believe it. Worse, to FEEL it as so many above have stated. I drove out of here via the gulf coast, and when I think of how huge an area has been taken out - all the places I saw on that trip evacuating that no longer exist, I cannot believe it
STILL. Places that I drove through every summer - we are talking about 4 states here! It took Homestead Florida 12 years to get back to normal.... TWELVE LONG YEARS. And this is much, much bigger than Homestead. And then I came back here to the helicopters which were flying over the city that used to be a skyline at night. Not believable. Surreal. Some areas look like post nuclear bomb.

I did listen to the radio week before last on a Saturday - about 4:30 p.m. There was a Mr. Carr on this program- I think it may have been our Godsend station and only window into the world during those bleak, black days -- 870 a.m. People were hiring him right on the air --- getting his phone number. He knew his insurance and regularly deals with the paperwork trail and fights all the crap the insurance companies try to pull. People were calling in with their nightmares, and he was telling them what to do and how to do it. It may be worth it to hire someone to go to battle for you - if anyone recalls this program and can further enlighten people as to this guys' title and/or company, please jump in. Like law, unfortunately, it can become a war of the paperwork - but you stand a much better chance of winning if you have someone who knows the trenches. It is unfortunate, but if I were standing to lose $300,000.00 on my mortgage, I'd fight. Who would think you could pay your premium and then have to hire someone to enforce it - but many insurance companies will be bleeding with this storm.

Thank you all for your prayers. Please keep them coming. And thanks to all the heroes from the power companies, and phone companies, churches and all else who have graced us with their weeks of hard work away from home. --- Thanks South Dakota, wherever you are - for turning the lights on here in Mandeville!

Caveat Emptor - when signing a mortgage or insurance policy, it is incumbent on the signer to become familiar with the terms. Believe it or not, sometimes mortgagers and insurers hope that you miss something!!!! As a previous blogger stated, we deserve the right to Life, Libery, and the pursuit of Happiness, not some all encompassing guarantee that nothing bad is ever going to happen. Take responsibility for your decisions. If the policy does not cover flood, and I lived in N.O., I'd be malfeasent for not reviewing that rather pertinent fact and either upgrading coverage or taking my chances. My house was almost totally destroyed by hurricane Charley; I also dealt with a recalcitrant insurer and an impatient mortgager; we didn't blame anyone or try to find someone to sue, rather we documented our issues and contacts and doggedly pursued our adjustor and claims rep until they settled the claim. We even gave Fema money back to Fema because it was covered by insurance (strange concept, that). My point is people need to take responsibility for their decisions and even for their ignorance. I'm not unsympathetic to the plight of those displaced (I was one), and we as Americans need to step up as only we can, and provide for our brethren, but when I hear of Red Cross and Fema debit cards buying Dooney and Bourke handbags and flat screen tv's in Buckhead, I am incensed. Don't blame Gov't or business for ones own ignorance, and stand up and take responsibility.

By some of the reasoning I've read here, the good people of Dakota's should have not rebuilt after they were flooded in 1997. The good people of Oklahoma, Arkansas, Texas, Kansas, Tennessee, Ohio, Illinois certainly shouldn't, being in tornado alley and all; especially if you have already been impacted once, you should know better by now. Oh and the good people of Dallas and Houston should never bother to rebuild since they are prone to flooding, have in the past and will in the future. The good folks of California, why you know you live in an area prone to mudslides and earthquakes so you better move don't even think about rebuilding. And the good folks of Florida, North Carolina, South Carolina, Mississippi, Alabama and Georgia...you know that you are in the possible path of hurricanes so why in the world would you want to live there? And finally those living in fire prone areas don't think about moving back and rebuilding. These are just some of the silly thoughts or comments I have heard over the years. I live in the south (Louisiana), born and raised in Oklahoma, have lived all over the US and overseas. There is not a state in this country that has not been impacted with some type of natural disaster at one time and probably will be again. Should those people not rebuild? In that scenario there would be no place in the US left to live.
I can not imagine not wanting to help these wonderful folks down here. I live about 30 minutes from Lake Charles, LA, let us not forget there are people there living in some of the same conditions as the folks from New Orleans, Mississippi and Alabama. And let us not forget that it wasn't just New Orleans impacted by Katrina and Rita, there are numerous towns along the Gulf Coast that were impacted and/or annililated by one or the other of the hurricanes. As we drove to Lake Charles yesterday all that could be seen for miles is blue roofs, for those fortunate enough to still have roofs. What I also saw that broke my heart is it is the holiday and there are people living in tents down here for any of numerous reasons. I like to say that a hand up is not a hand out. I spent a month helping the victims of Katrina that were living in our town. Then came Rita, we weren't allowed to come home for a week and when we were finally allowed to come home, I was sad, happy and scared all at the same time. We were lucky we came back to a 100 year old home with very little damage compared to others around us. But even with the damage we received, still we have not seen an insurance adjustor, others have seen them, but are having a horrible time getting the companies to pony up.
We are retired and have a small in home business, all of our income stopped from our business in October. Fortunately for us things are beginning to pick up again, but for 2 months we had no income but my husbands Social Security and still had bills to pay. Insurance takes the bulk of his SS so our income from our business is essential for basic living.
I can't even imagine what it is like for the folks that still have a mortgage to pay, nowhere to live and no way to make a living. I'm torn between wanting them to be able to rebuild thier lives in thier hometown and knowing that this can and will happen again. Perhaps as in North Dakota, the city took the the stand that the homes that were sitting on the Red River would not be allowed to rebuild. I know one area in Oklahoma when it was flooding so bad years ago we sat watching on our tv as houses were being washed away by the flood waters of the Canadian River. Did they learn anything, nope!! They are now building bigger houses in the same area, the city learned nothing, all they are interested in is the tax dollars. As each generation comes they don't look at history and tend to make some of the same mistakes made by the last generation. Let's not blame people for wanting to go home, they were born and raised there for generations. Somehow, someway there has to be a solution to this short of being angry that people want to go HOME. Wouldn't we all want the same thing?

Regarding Margie from Twin Cities post, It is the responsibility of our government to repair this situation. It is also the responsibliity of people to not buy/build a house in an area that is likely subject to natural calamity, unless you are ready to take the hit. What is wrong with this whole mess is that many built up areas are sitting on what used to be natural barriers, and other natural barrier areas have been modified by the "all knowing" human. This has been promoted variously by government, or greed, or necessity on the part of low income families who have little choice. Yes, we ARE responsible for this mess, but I think that even if we could get the government to rebuild everything, it is crazy, because it will happen again one day. A bigger correction than just fixing these people's homes is needed.

When you sign a mortgage you should hire a lawyer,
they are supposed to discuss insurance and if you live in a flood zone, that is a very important topic.
In our area(a flood area) if you live in a flood zone you have to get flood insurance to even get a mortgage. Sounds to me that your mayor, govenor, state congress and senators should be put in jail for failing to protect the people they were supposedly serving; I would say 20 feet below sea level should be labled a mandatory flood zone requiring flood insurance to even get an mortgage application. I bet if you buy today there you will encounter this rule. A rule that should have already been in place. Also the state insurance commisioner should get 20 to life imprisionment. He is the one responsible for protecting the public from the insurance companies, clearly he or she did not.
On the other hand if you ignored the warnings from these reprensentatives {if they did do their jobs}
then you were gambling on the levee system working and chose not to get flood insurance to save money and it did not pay off. Again, thats why it should be mandatory.

I must say I am glad someone has finally had the courage to say that it is time we stop sending aid abroad. Why can't we stop and use the money for foreign aid right here in our own country. This country is supposed to be so wealthy and generous, well charity begins at home. Why can't we use the foreign aid right here and pay the past mortgage payments for the people of Katrina and Rita. It makes me laugh when Senators and Congressmen talk about how they understand what the hurricane survivors are going through. Their talk is cheap. They can pay there mortages and have money for food,clothes or what ever else they need for their families. They have no idea what it is like to be out of work and your home is gone and your family needs things. Washington, it is time to be quite and stop making speeches and put your money where your mouth is. Stop with the foreign aid. When the tsumani hit in the far east, there was the us with former presidents Bush and Clinton hitting the road asking americans for money. Well I ask you, where are the foreign allies with money for us? It is amazing how foreign nations critizine us and condem us yet they have no problem taking our monetary aid. I think it is time to stop. Americans are great in times of need. The company I work for match contributions it emplyees made to the red cross for the hurricane survivors. We also donated clothes, toys and anything else you can think of as well as money. Well to the the government in Washington D.C. rememember:CHARITY BEGINS AT HOME.

In my opinion, Insurance companies are nothing more than legal thieves. They can take your money and mislead you about your coverage and when something goes wrong, oops! you are not covered (though we let you think you were).

You would think that these companies would be required to keep X amount of dollars in say an escro account in the event of having to pay a claim, but no, they can put their money into the stock market and lose it!!!! Then make up the money by charging higher premiums, so their CEO's can still get multimillion paychecks and bonuses!!!

Corporate america has the power in this country not the people, yet the people are the ones that suffer through it all. The goverment needs to step up and help the AMERICAN PEOPLE rebuild, not pay to rebuild countries around the world while the AMERICAN PEOPLE lose everything!!!!!!!!!!!!!!!!!!!!!!!

Insurance, by definition, is viable based upon the theory of "the law of large numbers". What this means is spreading the risk over a large group.

What the victims of Katrina should do is use this theory against the insurance companies and as a large group create higher riskand walk away from their properties.

If the group who walk away is large enough, it would be destroying the risk pool based on the law of large numbers for bot the insurance companies and the banks, who would then be likely to say hey wait a minute-maybe we should re-examine this situation.

If only a few walk away-the insurance companies and therefore the banks will win. If many walk away the banks will lose and therefore the insurance companies will lose. They of course will not stand for this and will either come to the table with a better solution for the victims or perhaps lobby the federal government for their losses as was the case a few years ago with Long term Capital Management.

Either way the victims will now have the attention and the protection they deserve and had paid for through interest payments and premiums.

Victims, band together now! Its the only way!

Logical Coastal Rebuild

Past and future hurricanes cause predictable immense damage and an equally immense opportunity. Much of the rebuilding will be performed with taxpayer dollars. Let’s make sure we can be proud of our investment.

Home and infrastructure rebuilding, when based on our taxes, must be done only in areas inherently safe from storm surges. Low lying areas of cities can be filled or abandoned; levies fight Mother Nature. Near coastal areas should be preserved as wetlands, parkland, or used for such privately insured industry and commerce, e.g., fisheries, shipping, oceanfront tourism, as must have immediate access to the water. The government does have a responsibility to help people in immediate need, but we should never fund return to th