The insurance premiums have already been paid with premiums collected and the stock market has been fantastic over the last 4 years so the insurance companies have done extremely well investing those premiums. They will continue to write policies as long as the Reinsurance markets continue to help mitigatte exposure to catastrophic loss.
The place to look for this is who is reinsuring the insurance companies. I would suggest that a Bershire Hathaway can easily eat this loss and go on writing policies. Insurance represents a very small amount in a housing transactions. Right now a Homewowners policy might run $1000 a year. Even if it doubled I would say it would be insignificant in terms of a buy decsion.
