While most of Louisiana is preparing for the looming freeze that’s been forecasted, some Louisianians are still stuck in an insurance quagmire from previous hurricane seasons.
On Thursday’s edition of WWL-First News with Tommy Tucker, Louisiana Insurance Commissioner Jim Donelon said there is no easy fix to the number of claims still in dispute and no magic bullet for the amount of insurance providers that have financially dissolved or decided to leave Louisiana in the wake of back-to-back active hurricane season.
Donelon laid out the situation by the numbers.
“800,000 claims, $24 billion in payments with 700,000 probably satisfied, not happy - certainly it’s a catastrophe. It’s devastating, but another 100,000 in various stages of litigation and continued negotiations,” Donelon told Tucker.
The massive losses and payouts from the 2020 and 2021 storm seasons have led to what many have described as a collapse in the insurance market in Louisiana. Multiple insurance providers have decided to no longer write policies in the state because of the high cost of re-insurance.
The situation has left tens of thousands of home insurance policy holders with few options to get their property insured.
Donelon told Tucker the scenario that is playing out in Louisiana is also unfolding in other parts of the country, specifically in Florida.
Listen to the whole conversation, including how Louisiana’s fragile insurance landscape compares to other states and what Donelon believes homeowners can do to better protect their houses in future disasters, by clicking the link above.
Related
