Insurance Industry Needs New Policy

* I find it very disturbing that [Robert T.] Heineman (Letters, June 21) fails to mention that he is a Farmers’ Insurance agent. However, his fatal flaw is the same as most of the insurance industry. He fails to mention over how many years the $3 billion in earthquake premiums were collected. Heineman is forthright in mentioning the industry has paid out $20 billion over 25 years.

I have read many reports from insurance companies and the insurance industry which state they are losing money. This loss is calculated from their income of the previous year and losses over the last three to five years. If only I could report my net income to the IRS in such a manner! When will the insurance industry be required to disclose their net income and assets like every other company?

It is time we, as consumers, begin to look more closely at the reporting of gains and losses and assets of this “poor” insurance industry. [State] Sen. John R. Lewis (R-Orange) may only be addressing a single issue in insurance. Obviously, Sen. Lewis needs to be informed of the problem with earthquake insurance availability. Perhaps Proposition 103 did not go far enough in protecting the public, consumers and their properties.

CAROL WORDES TUCH

San Juan Capistrano