Insure Louisiana Incentive Program opens for business

Louisiana Insurance Commissioner Jim Donelon has announced that the 30-day application period for insurance companies to apply for Insure Louisiana Incentive Program funding is now open.

The program is designed to offer grants to insurers to write new policies in Louisiana. Insurance companies that are interested in participating can learn more and apply at ldi.la.gov/insurela.

“I encourage Louisiana homeowners, especially those who have a policy with Louisiana Citizens or who have been unable to find affordable insurance, to contact an insurance agent and ask for quotes in the coming months,” said Donelon. “It’s important for consumers to consider contacting multiple agents, including independent agents, to make sure they receive as many quotes as possible.”

In a statement the LDOI added: “The original Insure Louisiana Incentive Program was vital to the successful recovery of our property insurance market after hurricanes Katrina and Rita in 2005. The program was recreated during the 2022 Legislative Session, and the legislature overwhelmingly passed $45 million in funding for the program during a special session last week.”

According to the Louisiana Department of Insurance (LDOI) the Incentive Program will offer matching grants to incentivise new and existing insurance companies to write residential and commercial policies in coastal areas, including writing policies out of Citizens. The LDOI said that ten insurance companies have expressed interest in the program to date.

The participating insurance companies must meet solvency standards that are in line with standards required by the federally backed mortgage companies. The insurers will be also subject to enhanced solvency monitoring including, but not limited to, newly increased capital and surplus requirements, monthly reporting and in-depth reinsurance program reviews.