Louisiana Lawmakers Reject Insurance Proposals for Homeowners
With just two days remaining in the 2025 legislative session, Louisiana lawmakers have halted two insurance proposals that critics argued would have directly helped homeowners struggling to afford rising insurance rates. The rejected bills, Senate Bill 235 and House Bill 356, garnered significant public interest as residents await state action to control coverage costs. Louisiana has the eighth-highest average homeowner insurance premiums in the nation, according to Insure.com.
Senate Bill 235, sponsored by Sen. Royce Duplessis (D-New Orleans), proposed an annual tax credit of up to $2,000 for homeowner’s insurance payments for those with incomes not exceeding 200% of the federal poverty level. Although it passed the Senate, it narrowly failed in the House with a 49-52 vote, with Republicans leading the opposition.
House Bill 356, introduced by Rep. Jacob Braud (R-Belle Chasse), aimed to allow homeowners without mortgages to purchase “stated value” insurance policies, covering homes for a chosen amount rather than their full market value. The bill initially passed the House with a 79-20 vote but was significantly amended in the Senate, changing the requirement for insurers to offer such policies from “shall” to “may,” effectively gutting the bill’s core provision.
Rep. Mike Bayham (R-Chalmette) expressed disappointment over the failure of these bills, stating that addressing the high cost of insurance was the most critical issue lawmakers needed to tackle. “Everything else seems to be, ‘Let’s pass something and just hope the rates get better,'” Bayham said.
The fate of these bills highlights the complexities and disagreements surrounding insurance reform in Louisiana. Pro-industry lawmakers like Rep. Gabe Firment (R-Pollock) opposed the measures, citing concerns about cost-shifting and potential increases in blighted properties. In contrast, supporters argued that the bills offered necessary relief to homeowners struggling with unaffordable insurance rates.
As the legislative session concludes, Louisiana homeowners continue to face high insurance costs. The debate over how to address this issue is likely to continue into the next legislative session.
