Insurance Commissioner Jim Donelon provided an update today on his plan to revitalize the Louisiana homeowners insurance market following Governor John Bel Edwards' signature of the bill that funds the Insure Louisiana Incentive Program. The legislature overwhelmingly passed funding for the vital $45 million program during a special session last week.
“We will continue to be laser focused on stabilizing rates for homeowners and attacking this crisis head on,” said Commissioner Donelon. “I want to thank Governor Edwards, President Cortez, Speaker Schexnayder, and the members of the Louisiana Legislature who worked diligently to advance this priority legislation in an overwhelmingly bipartisan fashion.”
“The incentive program, which has a proven record of lowering rates and stabilizing our market after hurricanes Katrina and Rita, is only one part of our plan to protect our homeowners and our way of life from the ongoing crisis in the international insurance market. We will keep fighting for Louisiana homeowners, and this is a critical step,” Commissioner Donelon said.
Commissioner Donelon petitioned the Governor and legislative leadership to call the special session to accelerate relief for homeowners across the state. The session was solely focused on passing funding for the incentive program and ended last week with the passage of HB1 by both the State House and Senate. The Governor’s signature enacts funding for the incentive program and allows the Department of Insurance to begin bringing in more insurers to write policies for Louisianans.
The $45 million dedicated to the program will be used to attract new companies to the market, encourage existing companies to write new policies and depopulate Louisiana Citizens while stabilizing rates through competition. Ten companies have expressed interest in participating in the program so far.
About the Louisiana Department of Insurance: The Louisiana Department of Insurance works to improve competition in the state’s insurance market while assisting individuals and businesses with the information and resources they need to be informed consumers of insurance. As a regulator, the LDI enforces the laws that provide a fair and stable marketplace and makes certain that insurers comply with the laws in place to protect policyholders. You can contact the LDI by calling 1-800-259-5300 or visiting www.ldi.la.gov.