Louisiana FAIR Plan Depopulation Program

The Insurance Commissioner of Louisiana, James J. Donelon, published a Directive aimed toward all property & casualty insurers and producers operating in Louisiana that they have an obligation to advise policyholders eligible for the Louisiana Citizens Property Insurance Corporation (Citizens) policy take-out program of their eligibility prior to rejection of the offer. 

Citizens is a FAIR plan and helps property owners who are unable to get insurance from the voluntary market. The commissioner opines that getting policyholders out of Citizens is vital to the state’s economic recovery. Citizens developed a process to depopulate policies, and started that process, in 2008. Private insurance companies are encouraged to assume policies that are approved for depopulation.