South Louisiana lawmakers are pushing to give some homeowners a ten percent break on their property insurance, though the legislation faces firm opposition from state Insurance Commissioner Jim Donelon.
The bill could erase the ten percent markup paid by homeowners insured by the state's ``insurer of last resort'' -- Louisiana Citizens Property Insurance Corporation -- in ten southern parishes.
The parishes included are those intersected by -- or entirely south of -- Interstates ten and 12.
Senator Reggie Dupre says private insurers have stopped writing new policies south of the interstates so he's supporting making that area the line for not charging the ten percent.
The price break would only kick in when it's determined that the state-backed Citizens is writing more than 50 percent of new policies in a parish -- a sign that true competition in that parish's insurance market has dried up.
The bill will have to overcome a fight from Donelon, who unsuccessfully resisted a similar push last year. Now in state law is a provision that exempts homeowners in eleven southern parishes from the ten percent hike.
Those are: Calcasieu, Cameron, Iberia, Jefferson, Lafourche, Orleans, Plaquemines, St. Bernard, St. Tammany, Terrebonne and Vermilion.
The new legislation would also exempt Acadia, East Baton Rouge, Iberville, Jefferson Davis, Lafayette, Livingston, St. Martin, St. Mary, Tangipahoa and West Baton Rouge parishes.
E-Mail Story
Print Story
