Kitzman: “I Was Instructed Not To Expand The Wind Pool”

By fitsnews • on February 13, 2007

Kitzman Testifies

OUTGOING DIRECTOR OF INSURANCE TESTIFIES BEFORE HOUSE SUBCOMMITTEE ON COASTAL INSURANCE CRISIS

FITSNews – February 13, 2007 – S.C. Insurance Director Eleanor Kitzman, who was thrown under the bus by S.C. Gov. Mark Sanford last week after he failed to follow her recommendations regarding a brewing coastal insurance crisis, testified before a House subcommittee today on what has now become a full-blown crisis that has cost over 20,000 coastal residents access to storm insurance.

Confirming a SC Hotline report published on February 6, Kitzman testified that Sanford’s office indeed prohibited her from implementing an order that would have helped mitigate the disaster months ago.

“It was my recommendation that the wind pool be expanded and an order to that effect was provided to the governor’s office,” Kitzman testified in response to questioning by S.C. Rep. Skipper Perry (R-Aiken).

“You weren’t able to sign it because you didn’t have a pen or you weren’t able to sign it because you were told not to?” Perry asked Kitzman jokingly.

“I was instructed not to expand the wind pool without further approval from the governor’s office,” Kitzman replied.

Quoting from the SC Hotline report, the wind pool line is “a boundary that determines which coastal areas are eligible for wind and hail insurance given South Carolina’s vulnerability to hurricane conditions.” Moving the boundary as Kitzman recommended would have kept approximately 20,000 coastal residents from losing their storm insurance according to representatives from insurance companies Allstate and Farm Bureau, who alone have non-renewed approximately 15,000 policies within the last five months.

In response to questioning from State Rep. Tracy Edge (R-Horry) Kitzman was also asked whether or not the governor’s office may have failed to take action regarding the wind pool boundary owing to his 2006 reelection bid.

“Did the governor’s reelection bid have anything to do with his lack of decision-making?” Edge asked Kitzman.

“I did get a call from someone on the governor’s staff advising me that the governor had made a statement like that in an editorial board meeting and to be ready in case I received any calls,” Kitzman testified.

Not only did Kitzman prepare an expansive report dealing with the coastal insurance problem (including the wind pool recommendation), she also prepared draft legislation that would have managed moving the wind pool line in a manner consistent with economic, not political considerations.

“I think the state is at a great loss with you stepping down,” State Rep. Wallace Scarborough (R-Charleston) told Kitzman.

“You were handicapped,” Subcommittee Chairman Bob Leach (R-Greenville) told Kitzman, before adding jokingly. “We’re not going to name names.”

Comments

By middle class dorchester co. on February 13th, 2007 at 5:41 pm

The cruelest part of all of this is that Sanford maintains now that he does not want the average middle class person subsidizing the rich people on the coast…when in actuality, those rich people still have their coverage, and it is the second tier folks…a bit away from the coast that no longer have insurance. The middle class is the group that was thrown under the Sanford election train…

I just can’t seem to understand what that man is thinking…

By Junior on February 13th, 2007 at 9:07 pm

And to think Sanford is requesting the power of the Governor to appoint major positions in this state, as opposed to them being elected. His record with the dealings with the people he appoints, hires, and works with in the legislature proves and raises questions as to whether he deserves that power. Throwing the Director of Insurance under the bus for his political gain is politics, but then to fire her?! That just simply exposes the deceit, ego, and lack of forsight he has. Usually when decision makers make eratic and unjust decisions it’s because of a lack of progress and internal frustrations unrelated to the actual problem. This is one of the few appointments he is able to make and this is how he uses the power? I think it is time Mark Sanford spends his energy on building relationships as opposed to trying to overpower them. Unfortunately it is the people of SC that loose out in his reindeer games. I certainly hope we have better options in 2010!

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