A “market conduct examination” of home insurers in Louisiana in the wake of 2020’s hurricane season has led to hefty fines for five companies, Insurance Commissioner Jim Donelon announced Thursday.
The fines were for an array of offenses including making homeowners have to take their insurers to court to get the payouts they were due as well as failing to make timely payments on claims and swapping out adjusters in order to delay paying settlements.
The offenses were committed in the aftermaths of Hurricanes Laura, Delta and Zeta. The companies were ordered to pay a total of $764,750 in fines for 44 instances of what was deemed improper activities or business practices.
The companies and the fines they must pay are as follows:
United Property & Casualty – 10 violations - $250,000
GeoVera – 9 violations - $183,000
FedNat – 10 violations - $173,000
Maison – 5 violations - $115,000
Allied Trust – 10 violations - $43,250
“I strongly encourage our state’s insurance industry to take note of the unacceptable behavior we found and know we will continue to pursue appropriate fines and regulatory action against any insurer that is not meeting their obligations,” Donelon said in a statement in which he also referred to the companies’ actions as inexcusable.
The five companies have 30 days to appeal.
Related
