The Louisiana Department of Insurance's emergency rules, implemented shortly after Hurricane Katrina made landfall, are set to expire at midnight, Dec. 31, 2005. Implemented by Commissioner of Insurance Robert Wooley and Governor Kathleen Blanco, the emergency rules require insurance companies to give policyholders automatic extensions to pay premiums without incurring late fees, penalties, cancellation, or non-renewal.
Policyholders who were residing in the following 14 parishes when Hurricane Katrina struck qualify for deferred payment under the emergency rules: Jefferson, Lafourche, Livingston, Orleans, Plaquemines, St. Bernard, St. Charles, St. James, St. John the Baptist, St. Mary, St. Tammany, Tangipahoa, Terrebonne, and Washington.
Policyholders who were residing in Calcasieu, Cameron, and Vermilion parishes when Hurricane Rita struck also have until the end of December to reconcile any payments deferred.
In addition to late fees and penalties, insurance companies also are forbidden to charge interest for payments not received. Those who fail to make all deferred and current payments by this deadline risk having their policies cancelled by their insurers.
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