In both Homeowners and Auto insurance (especially in Commercial Auto) insurance companies are losing money.
This graph shows the average “Combined Ratio” for insurance companies writing commercial auto.
- It’s a little complicated, but what it boils down to is this: in 2022, for each dollar they collected from policyholders, commercial auto carriers paid out $1.14.
- And that was their best year out of the previous 5!

This graph shows the total dollars in vs dollars out for Homeowners insurance companies in Louisiana for the period from Hurricanes Katrina/Rita in 2005 until Hurricanes Laura/Delta/Zeta in 2020 and Hurricane Ida in 2021
- Although they were profitable in the individual years between those separate sets of history-making storms, they never recovered all the money they paid out in Katrina.
- They were still over 2 Billion dollars “in the red” when our state was hammered by the historic storm seasons of 2020 and 2021

Long story short – in Louisiana insurance companies are paying out more in Louisiana claims than they are collecting from policyholders. They are NOT making a profit in our state.

Louisiana citizens are 12 times more likely to sue their Homeowners insurance company than policyholders in other states.
After Hurricanes Laura, Delta, Zeta, and Ida, between 7 – 9% of people filing claims sued their insurance company, approximately an 800% increase from historical averages.
The average hurricane claim in Louisiana cost insurance companies 50% more than similar claims in other coastal states.

The cost to repair damaged vehicles in Louisiana is in line with the national average.
However, Louisianians file claims for injuries, after a wreck, almost twice as often as the national average.
The average amount paid per injury claim is 59% higher in Louisiana than the national average.
Louisianians are more than twice as likely to sue for injury damages after an accident than the national average.