A fourth insurer has gone belly-up in Hurricane Ida’s aftermath.CatastrophePropertyLegislation & RegulationInsurance Industry
Louisiana’s Department of Insurance took over Lighthouse Property Insurance Corporation in a court-ordered receivership last week, making it the fourth financially troubled insurer to require rescue in recent months.
The carrier, also known as Lighthouse Excalibur Insurance Company, has approximately 30,000 policies and 16,000 Ida-related claims. It covered 3.27% of the Louisiana’s homeowners insurance market.
The Louisiana Insurance Guaranty Fund, a state-sponsored safety net also known as LIGA, promises up to $500,000 in payments for unpaid claims and $10,000 for premium refunds for policyholder’s whose insurers go insolvent.
"Losing a fourth insurer to the unprecedented 2020 and 2021 hurricane seasons is unfortunate, but I’m proud of how effectively we have managed the insolvencies so far," Donelon said in a statement.