This is just another example of the process Insurance companies employ that should be controlled by the government. As usual though, our government will not step in and press these companies to do the right thing and continue to support the people who have given them their money. The Insurance companies are allowed to cut and run once again.
However I have live on the coast all my life, in different states, and if you build near the water, You are taking a risk that YOU have chosen to take. Do not expect others to pay your higher bills for you or pay for the damage that living near the coast can cause.