Lawmakers in Baton Rouge have approved $42 million for eight companies seeking to enroll in the state’s newly funded stimulus program. These companies include: – Allied Trust Ins. Co.- Cajun Underwriters Reciprocal Exchange- Constitution Insurance Company- Elevate Reciprocal Exchange- Gulf States Ins. Co. – Safepoint Ins. Co. – Safeport Ins. Co.- Surechoice Underwriters Reciprocal Exchange The next step for underwriters will be to enter into a cooperative agreement with the state. It is expected that this will pass soon and in about a month the companies will write policies in the state. “I would just say the fact that they’re writing because just a month ago, even right now, almost nobody writes policies here unless you have a brand new house. You look at the citizens at a very high level,” said Ross Sheils of Expert Insurance Agency. Insurance Commissioner Jim Donnellan says he expects those companies to write about 90,000 policies in the state in hopes of getting people to drop Louisiana Citizens Insurance. Louisiana Citizens is the state’s insurer of last resort and has rates higher than the market average by law. A 63 percent increase in rates for citizens was recently approved. Thousands of people have received policies from Citizens as insurers have left the state in recent months. “This will benefit hundreds of thousands of policyholders across the state, saving thousands of homeowners from losing, literally, losing their homes. I couldn’t be happier with the speed and support we received in implementing that quick fix,” Donnellon said. Donelon says he also expects another company to use the incentive program by summer, which will bring the number of policies available to 120,000. Both Donelon and Shales agree that you should talk to your insurance agent now about switching to these new policies if you are a citizen of Louisiana.
Lawmakers in Baton Rouge have approved $42 million for eight companies seeking to enroll in the state’s newly funded stimulus program.
These companies include:
– Allied Trust Ins. Co.
– Reciprocal Exchange of Cajun Underwriters
– Constitution Insurance Company
– Increase reciprocity
– Gulf States Ins. Co.
– Safepoint Ins. Co.
– Safeport Ins. Co.
– Reciprocal exchange of Surechoice insurers
The insurers’ next step will be to conclude a cooperation agreement with the state. It is expected that this will pass soon and in about a month the companies will write policies in the state.
“I would just say the fact that they’re writing because just a month ago, even right now, almost nobody writes policies here unless you have a brand new house. You look at Citizens very highly,” said Ross Sheils of Expert Insurance Agency.
Insurance Commissioner Jim Donnellan says he expects those companies to write about 90,000 policies in the state in hopes of getting people off the insurance for Louisiana citizens.
Louisiana Citizens is the state’s insurer of last resort and has rates higher than the market average by law. A 63 percent rate hike for citizens was recently approved.
Thousands of people have received policies from Citizens as insurers have left the state in recent months.
“This will benefit hundreds of thousands of policyholders across the state, saving thousands of homeowners from losing, literally, their homes.” I couldn’t be more pleased with the speed and support we received in implementing this quick fix,” Donnellon said.
Donnellon says he also expects another company to use the incentive program by summer, bringing the number of policies available to 120,000.
Both Donelon and Shales agree that you should talk to your insurance agent now about switching to these new policies if you’re a Louisiana resident.