Insurance Commissioner orders insurers to cover evacuation expenses


Insurance Commissioner Jim Donelon orders insurance companies in 25 Ida impacted parishes to pay for evacuation expenses even if an evacuees’ local government did not order a mandatory evacuation. The move comes as a result of Directive 218, a follow-up to a request that was made earlier this week by Commissioner.

This comes after State Farm, the largest home insurer in the state, refused to cover those expenses following a meeting with the Commissioner Monday. Allstate was the largest insurer to voluntarily agree to cover those expenses even for parishes under voluntary orders.


Donelon noted there was less than 72 hours for parish governments to make a decision after Ida rapidly gained strength as it entered the Gulf. Leaders like New Orleans Mayor LaToya Cantrell at the time said they would have ordered a mandatory evacuation but there was no time to implement contraflow. President Joe Biden during his visit to the state also said he would push insurers to cover those expenses.