Donelon Backs Insurance Reform Legislation, Critics Say Policyholders Will Suffer

Louisiana Insurance Commissioner Jim Donelon on Tuesday (April 4) unveiled a package of proposed new laws he wants the legislature to approve during the upcoming legislative session.

‘We are currently in the midst of an insurance crisis,’ Donelon said. He believes passing new laws will help attract more insurers to Louisiana’s property insurance market.

‘We need insurance companies to come back to Louisiana and this is the best way to get it done,’ Donelon said. ‘While we are not copying what Florida did legislatively, we are taking the lead in an effort to introduce several legal and claims process reforms that should strengthen our market for the long term.’

One of the bills gives insurers more power, in terms of dealing with policyholders who make claims.