Gov. Landry targets auto insurers over high premiums, calls for greater oversight

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LAFAYETTE PARISH — Governor Jeff Landry is calling for stronger oversight of the insurance industry as Louisiana drivers continue to face some of the highest car insurance rates in the nation.

Speaking before lawmakers recently, Landry said a “balanced approach” is needed—one that protects consumers while demanding more accountability from insurance companies.

“Insurance companies are touting record Wall Street profits,” Landry said. “You can see it in the data. In 2022, auto carriers in Louisiana collected $1.4 billion more in premiums than insurers in any other state.”

While the industry has pointed to Louisiana’s crash rate as a reason for high costs, Landry argued the state’s crash rate is consistent with national averages. However, he acknowledged Louisiana leads the country in injury claims—a major factor behind rising premiums.

Landry also compared rates in Louisiana to those in neighboring states, highlighting a stark disparity.

“Liability coverage in Louisiana is twice as expensive as in Arkansas, Alabama and Mississippi,” Landry said. “Our citizens are paying 25% more than drivers in Texas. That tells us something is clearly wrong.”

The governor is pushing for tighter regulations and more transparency in how rates are set. He urged lawmakers to take action to curb what he describes as excessive profits and to make coverage more affordable for Louisiana families.

Landry is also calling for laws to address distracted driving, including legislation targeting drivers who text behind the wheel. He's also backing a measure that would give the state insurance commissioner greater authority over the industry.

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