Since the implementation of Commissioner Tim Temple’s property insurance reform package in 2024, Louisiana’s insurance market has seen notable improvements, with new insurers entering the market and existing ones reducing their rate increases.

The Louisiana Department of Insurance (LDI) has approved the licensing of 10 new homeowners insurers since early 2024, and insurers are submitting fewer rate hikes, with some even offering reductions to policyholders.

“Louisiana’s property insurance market didn’t get into a crisis overnight, and we aren’t going to get out of it overnight—but this data shows we are further along than I was expecting at this stage of the turnaround,” Commissioner Temple added.

“Florida began its push for insurance reform in 2022 and started seeing similar results after about 18 months.”

Commissioner Temple, who assumed office in January 2024, has made it a priority to enhance Louisiana’s reputation within the national and international insurance community.

By working with lawmakers, he helped pass comprehensive reforms designed to make the state more appealing to insurers and reinsurers. These changes have resulted in a significant slowdown in rate hikes across the market.

“I will push for more reform this year and continue fighting to stabilise property insurance rates for Louisiana families and businesses,” Commissioner Temple commented. “We are demonstrating that reform works on the property side. If we focus on auto insurance reform this session, I expect we’ll see similar results on the auto side as well.”

For homeowners insurance, the average rate increase for 2024 was just 6.6%, a sharp decline from the 14% increase in 2023 and 16.2% in 2022.

Similarly, the commercial multi-peril line saw a more moderate increase of 3%, down from 6.7% in 2023 and 3.9% in 2022. Fire and allied lines experienced an even smaller increase of 1.8%, a significant drop from the 5.8% increase in 2023 and 9.3% in 2022.

Fewer rate increase requests were submitted in 2024 compared to previous years, with 50 filings in homeowners insurance, down from 80 in 2023 and 75 in 2022. Commercial multi-peril filings also dropped from 42 in 2023 to 29 in 2024, while fire and allied lines saw a decrease from 51 in 2023 to 29 in 2024.

In a positive sign for consumers, the first two months of 2025 have already seen 7 rate reductions approved for residential insurers, ranging from 4% to 11%. This is a marked improvement over the entire year of 2024 (5 rate reductions), 2023 (6), and 2022 (1), signalling a shift toward greater stability and affordability in Louisiana’s property insurance market.