Homeowners insurance in Louisiana

The home insurance market in Louisiana

Louisianans paid $3.47 billion in homeowners premiums in 2025, according to NAIC market share data. These are the 10 largest insurance groups by 2025 direct premiums written:

State Farm and Allstate write 37% of the market. The rest of the top 10 shows how the market rebuilt after the 2020-2021 hurricanes: SafePoint took over the policies of three failed Louisiana insurers in 2021 and 2022, and SageSure-managed carriers and Allied Trust are coastal specialists. In December 2025 the Louisiana Department of Insurance (LDI) approved a 7.5% average cut for SageSure's SURE and Elevate exchanges, citing lower reinsurance costs, and a 9.7% average increase for State Farm. A July 2026 Triple-I brief counted 17 new homeowners insurers entering the state since 2024.

What drives home insurance costs in Louisiana

Hurricanes, and the cost of insuring against them. Laura came ashore at Cameron on August 27, 2020 with 150 mph winds, the strongest hurricane to strike southwest Louisiana on record (National Weather Service), followed that season by Delta and Zeta and in August 2021 by Ida. According to the Louisiana Insurance Guaranty Association (LIGA), those storms produced a record 11 insurer insolvencies; LIGA borrowed $600 million in 2022 to pay claims and still assesses insurers 1% of premium a year.

The NAIC put Louisiana's average HO-3 premium at $3,027 for 2023, the highest of any state and about 74% above the countrywide $1,737. Reinsurance prices, litigation costs and rebuilding costs feed that number. A U.S. Senate Budget Committee report ranked Louisiana second for nonrenewals in 2023, at 1.80% of policies.

Deductibles and coverage rules to know

Louisiana law lets insurers use separate named-storm, hurricane and wind/hail deductibles, as a percentage of insured value or a dollar amount (La. R.S. 22:1337). A named-storm deductible applies once the National Hurricane Center names a storm; a hurricane deductible only at hurricane strength. For homeowners policies, the named-storm or hurricane deductible applies once per calendar year; for a second storm, the insurer applies the greater of the remaining storm deductible or your all-other-perils deductible. New policies since January 1, 2023 come with a separate deductible form you sign. Say your dwelling is insured for $300,000 with a 5% named-storm deductible: a tropical storm leaves you paying the first $15,000. Run your numbers with the hurricane and percentage deductible calculator and see hurricane and named-storm deductibles explained.

Other rules worth knowing:

• Deductible increases. Act 9 of 2024 removed the old bar on raising deductibles for homeowners policies in force more than three years, effective January 1, 2025. A policy may still not apply more than one deductible to a single incident (R.S. 22:1265(G)).
• The three-year rule. A homeowners policy in force and renewed for more than three years can be nonrenewed only for listed reasons, such as nonpayment, fraud, a material change in risk or two or more claims (not counting acts of God) within three years. The protection does not apply to policies issued after August 1, 2024, and insurers may nonrenew up to 5% of older policies a year under a filed plan (R.S. 22:1265).
• Nonrenewal notice. From July 1, 2026, an insurer must give 60 days' written notice of nonrenewal, stating the cause; it was 30 days (R.S. 22:1335, Act 182 of 2025).

Flood and other gaps

Homeowners policies exclude flood and storm surge. FEMA counted 394,123 NFIP policies in Louisiana as of September 30, 2026, down 23,984 in a year. Jefferson Parish had 84,872 and Orleans Parish 65,843. NFIP coverage generally starts after a 30-day wait, so buy before a storm forms (NFIP flood insurance explained, flood insurance coverage gap calculator).

If you can't find coverage

Louisiana Citizens Property Insurance Corporation has run the state's FAIR Plan and Coastal Plan since 2004. It is a nonprofit insurer of last resort for applicants who in good faith cannot buy coverage in the voluntary market, and by law its rates are set at least 10% above the higher of an actuarially justified rate or the highest rate charged by major private insurers in each parish (R.S. 22:2303). In practice it costs more on purpose.

• 2026 rates: personal lines rates rose 3.1% statewide on January 1, 2026: +3.4% in the FAIR Plan, -2.5% in the Coastal Plan.
• Assessment ended: the 1.36% post-Katrina emergency assessment on Louisiana property policies stopped on April 1, 2025.
• Depopulation: private insurers take policies out in rounds, the next on December 1, 2026 and April 1, 2027. Citizens' process lets you opt out and stay (depopulation and takeout offers from state insurers of last resort).

Citizens is at 1 Galleria Boulevard, Suite 720, Metairie, LA 70001 (888-568-6455). Surplus lines carriers write many coastal homes too (surplus lines home insurance when standard carriers say no). If your insurer fails, LIGA pays covered claims within statutory limits (property and casualty guaranty funds explained).

Claims rules and deadlines

Louisiana's claims statute (R.S. 22:1892) requires an insurer to start adjusting a property claim within 14 days of notice, or 30 days after a declared catastrophe, and to make a written settlement offer within 30 days after satisfactory proof of loss. Payment is due within 30 days of proof of loss; for a catastrophic residential loss, 60 days (R.S. 22:1892.2). If the insurer asks for a proof-of-loss form, it must send one within 10 business days and say within 10 business days of receipt whether yours is complete. An insurer whose failure to pay is arbitrary, capricious or without probable cause owes a penalty of 50% of the amount due plus attorney fees, but after a catastrophe you must first send a 60-day "cure period" notice.

After a declared named-storm emergency, the LDI Hurricane Mediation Program lets you mediate a residential claim with up to $150,000 in dispute; the insurer pays, and the session is nonbinding (state mediation programs for homeowners claims). Residential policies also carry a statutory appraisal clause.

A policy cannot give you less than 24 months from the loss to sue on a first-party property claim (R.S. 22:868), and penalty claims also prescribe in two years. Talk to an attorney well before then.

Discounts and mitigation programs

Since August 1, 2023, insurers must give an actuarially justified discount to homes built or retrofitted to IBHS FORTIFIED standards (Act 1 of 2023, R.S. 22:1483). LDI's July 2026 report lists filed FORTIFIED Roof discounts by company, such as 25% to 30% at Allied Trust, Auros, Elevate and Allstate's group, mostly applied to the wind and hail portion of the premium.

The Louisiana Fortify Homes Program grants up to $10,000 to retrofit a homesteaded home to the FORTIFIED Roof standard; the Legislative Auditor reported $45 million allocated for fiscal 2024 and 2025, and Act 533 of 2024 removed its expiration date. Check LDI for the current round (The FORTIFIED Home standard and insurance discounts).

Where to get help

The Louisiana Department of Insurance, led by Commissioner Tim Temple, is at 1702 N. Third Street, Baton Rouge, LA 70802 (mail: P.O. Box 94214, Baton Rouge, LA 70804). Call 800-259-5300 or 225-342-5900 for complaints and claim help. See how to file a complaint with your state insurance department and Louisiana Citizens Property Insurance explained, and use the nonrenewal action plan if you are dropped. Neighbors Texas and Mississippi run their own coastal plans.