And we hear about these disaster insurance claims on a regular basis so sometimes is it hard to understand how the insurance companies can pay out all this money. The good news is that insurance companies are so large now, and most cover all areas of the U.S., that the claims are somewhat spread out among all of us. So, yes, we are all paying premiums to pay each others claims. This may seem unfair to some but when it is your turn you may think differently. But, that does not mean that everyone pays equally. In areas that are prone to disaster and have a history of more claims, they do pay proportionately more for their insurance and the areas of Mississippi that were recently hit will more than likely see their rates rise too.