It’s been a year since Louisiana’s legislature passed comprehensive laws aimed at addressing the rising costs of property insurance. The question on many homeowners’ minds is: are we seeing the effects of these reforms yet? Ben Albright, president of the Independent Insurance Agents and Brokers of Louisiana, suggests that it may take a little longer for property insurance premiums to decrease. “Many of these reforms only became effective at the start of this year, and some are still pending,” Albright notes. While premiums haven’t started to decline, Albright observes that the rate of increase is slowing down. “I’m not ready to say that your next homeowner’s renewal will be a decrease, but we are seeing the increases start to slow,” he explains. “Many renewals are coming in flat – the same as last year – or with only marginal increases.” The new laws have attracted more insurance companies to enter the Louisiana market, which Albright believes will be a key factor in driving premiums down. “We’ve seen new companies enter the market, and this competition will drive down prices,” Albright states. “As existing companies face the risk of losing policies to these newcomers, they’ll be compelled to cut their rates.”
