Doug Miller wrote:
In article , "HeyBub"
wrote:

The point is that an insurance company cannot spread their risk over
a larger base if they have to operate in only one state.

Because of this limitation, hurricane insurance is cheaper in
Missouri than in Florida and flood insurance is cheaper in New
Mexico than Ohio.

That couldn't possibly have anything to do with relative risk...

No, but if you spread the risk around, Florida can get cheaper hurricane
insurance and Ohio folk can save on flood.