Property insurers based and operating in the state of Louisiana continue to see losses creep higher from 2021’s hurricane Ida, with the total loss now reaching $13.9 billion, according to the state’s Insurance Commissioner.
That’s up from $13.1 billion back in August when Insurance Commissioner Jim Donelon last reported on the industry impact of Ida.
By September 30th, insurers had paid or reserved to pay $13.9 billion on all types of Hurricane Ida-related claims in Louisiana, Donelon said this week.
In total, 478,417 claims of all types had been filed in Louisiana after hurricane Ida as of September 30th.
Of those claims, 319,855, or 67%, were closed with payment, totalling $10.9 billion in payments already made for damage caused by the hurricane.
The latest hurricane Ida loss data is from a data call to insurers based or operating in Louisiana.
The average claims quantum of the claims paid, at roughly $34,000, is also a useful figure for those estimating the coming claims burden from hurricane Ian in Florida.
As a reminder, as hurricane Ida’s losses have continued to creep higher, another layer of Louisiana Citizens’ catastrophe bond backed reinsurance protection was triggered and the bill for reinsurance capital in general has been rising.
As a result, Louisiana Citizens Property Insurance Corporation, the non-profit residential and commercial property insurer for those who cannot access private market insurance in the state, had a steep 63% residential property insurance rate increase approved by the regulator.
But, analysts have said that Louisiana’s homeowners’ property insurance marketplace is not another “Florida crisis in the making”.
Although that hasn’t stopped the state’s Insurance Commissioner from worrying about access to reinsurance for the market next year.