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SB 96 by Sen. Kirk Talbot attacks the home and small business owners paying the most for insurance in Louisiana.

SB 96 makes it impossible for storm victims to rebuild their lives if Citizens Insurance Corporation denies or delays their claim.

Policyholders pay expensive premiums for years, expecting their insurance companies to uphold their end of the bargain when tragedy strikes. They want to be paid fairly and promptly so they can get their life back on track. No one wants to live in temporary housing or be forced to go to court to fight for what they need and deserve.

SB 96 removes any incentive for Louisiana Citizens Property Insurance Corporation to handle claims fairly and promptly. It encourages Citizens to delay and deny claims.

Currently, Citizens Insurance must pay reasonable fees and costs when the court sides with the policyholder in a dispute. SB 96 would reverse that, unfairly forcing policyholders to pay attorney fees out of their pocket even if they win their case. As a result, home and small business owners are never made whole.

SB 96 gives Citizens' Insurance a free pass.

Louisiana is reeling from three catastrophic storms. Families are still struggling to rebuild, and high insurance premiums are pricing many out of their homes. SB 96 negatively impacts those hurting the most, as Citizens' policies are required by law to be 10% above the market price.

Citizens' policyholders have suffered enough. They are in desperate need of relief. Unfortunately, SB 96 only adds to their suffering, which is why Real Reform Louisiana strongly opposes SB 96.

SB 96 is listed on the Senate digest as on 3rd reading and final passage, subject to call.

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Insurance Industry: "Credit Scores" Among Reasons for Louisiana's Rising Insurance Costs. A new report shows that auto insurance rates are skyrocketing, rising by 26% across the U.S. On average, Louisiana drivers pay $2,909 annually, roughly 6.53% of their income for auto insurance. Wayne Watley at Watley Insurance Group lists “credit scores” among the reasons for Louisiana’s rising auto insurance costs, including poor roads and uninsured motorists. Mr. Watley goes on to say, “It’s a challenge because we’re not one of the richest states, but we have some of the highest premiums.” He is correct—and the data backs him up. Insurance companies use credit scores to determine insurance rates for policyholders. Louisiana ranks 48th in median household income and 49th in average credit score . According to a recent study , safe drivers in Louisiana with poor credit pay 111% more than safe drivers with excellent credit ($1,505 / $713). Consequently, Louisiana has the second-highest auto insurance rates in the nation, which leads to more uninsured motorists, another primary cause of higher insurance rates. The use of credit scores in rate setting also creates perverse incentive structures that make Louisiana roads less safe. In Louisiana, safe drivers with poor credit pay an average of $905 more than drivers with a DWI and excellent credit ($3,548 / $2,643). Meanwhile, traffic fatalities increased by 21% from 2019 to 2022 in Louisiana, and the fatality rate per 100 million vehicle miles traveled increased by 18%, according to KPLC . Louisiana desperately needs real insurance reforms that lower costs, protect consumers, hold insurers accountable, and make our roads safer.