There were 50 requested rate increases in 2024 in the homeowners line, a big decrease from 80 in 2023 and 75 in 2022. (Credit: KseniaJoyg/Adobe Stock)
The Louisiana Department of Insurance published a news release highlighting positive trends in the homeowners insurance market following legislative reform.
Since the passage of insurance reform legislation in 2024 aimed at making Louisiana more attractive for insurers and reinsurers, 10 new homeowners insurers have been licensed. For insurers already doing business in the state, there have been much smaller rate increases compared to previous years and even some rate decreases.
For the homeowners line, the average approved rate change for 2024 was +6.6%, a huge decrease from +14% in 2023, and +16.2% for 2022. For commercial multi-peril, the average approved rate change for 2024 was +3%, compared to +6.7% in 2023 and +3.9% in 2022. For fire and allied lines, the average approved rate change was +1.8%, compared to +5.8% in 2023 and +9.3% in 2022.
There were 50 requested rate increases in 2024 in the homeowners line, a big decrease from 80 in 2023 and 75 in 2022. In the commercial multi-peril line, there were 29 requested rate increases in 2024, down from 42 in 2023 and 34 in 2022. For fire and allied lines, there were 29 requested rate increases in 2024, down from 51 in 2023 and 41 in 2022. So far in 2025, the Department has approved 7 rate decreases ranging from a 4 to 11 percent decrease, which is more than what was approved in each of the previous 3 years.
Commissioner Temple plans to work on auto insurance reform in the next legislative session.
The news release can be found here.
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