Some Louisiana residents will lose their homeowners insurance at the end of the month. United Property & Casualty Insurance Company policyholders will see their policies canceled by March 29. The Louisiana Department of Insurance said that companies that applied or plan to apply for the incentive program will receive credit for UPC policies taken prior to their approval of their application. Erica Olsen who lives in Westwego told WDSU she found out just a few months ago she’d have to change from UPC. “We found out late November, early December that UPC was pulling out of Louisiana and our policy was going to be canceled,” Olsen said. “We ended up finding a new insurance policy that’s in fact a blessing but it’s a $2,000 price hike.” With the credit insurers will receive from the incentive program, Louisiana Insurance Commissioner Jim Donelon says this will lure more insurers to the state, and restore insurance competition. “This action is aimed at helping UPC policyholders save money by avoiding Citizens and achieving our overall goal of reducing Citizens’ book of business,” Insurance Commissioner Jim Donelon said in an issued statement. “Reducing Citizens’ policy count stabilizes rates for its current policyholders and reduces the likelihood that every policyholder in the state will be assessed in the event of a future Katrina or Ida-level catastrophe.”UPC was placed into liquidation by the Florida Office of Insurance Regulation and the Florida judicial system after its estimated losses from Hurricane Ian increased to $1.5 billion. Louisiana’s Incentive Program is offering matching grants to incentivize new and existing insurance companies to write residential and commercial policies in coastal areas, including writing policies out of Citizens, according to Donelon. “I just hope there’s insurance companies who are willing to be there when we need it most,” Olsen said. The company has about 36,000 policyholders in the state.
Some Louisiana residents will lose their homeowners insurance at the end of the month.
United Property & Casualty Insurance Company policyholders will see their policies canceled by March 29.
The Louisiana Department of Insurance said that companies that applied or plan to apply for the incentive program will receive credit for UPC policies taken prior to their approval of their application.
Erica Olsen who lives in Westwego told WDSU she found out just a few months ago she’d have to change from UPC.
“We found out late November, early December that UPC was pulling out of Louisiana and our policy was going to be canceled,” Olsen said. “We ended up finding a new insurance policy that’s in fact a blessing but it’s a $2,000 price hike.”
With the credit insurers will receive from the incentive program, Louisiana Insurance Commissioner Jim Donelon says this will lure more insurers to the state, and restore insurance competition.
“This action is aimed at helping UPC policyholders save money by avoiding Citizens and achieving our overall goal of reducing Citizens’ book of business,” Insurance Commissioner Jim Donelon said in an issued statement. “Reducing Citizens’ policy count stabilizes rates for its current policyholders and reduces the likelihood that every policyholder in the state will be assessed in the event of a future Katrina or Ida-level catastrophe.”
UPC was placed into liquidation by the Florida Office of Insurance Regulation and the Florida judicial system after its estimated losses from Hurricane Ian increased to $1.5 billion.
Louisiana’s Incentive Program is offering matching grants to incentivize new and existing insurance companies to write residential and commercial policies in coastal areas, including writing policies out of Citizens, according to Donelon.
“I just hope there’s insurance companies who are willing to be there when we need it most,” Olsen said.
The company has about 36,000 policyholders in the state.
