October 23, 2015 PRESS RELEASE For Immediate Release
Tea Party of Louisiana Endorses Matt Parker
for Louisiana Insurance Commissioner
TPoL cites Out of Control Situation at Dept of Insurance & Unreasonably High Insurance Rates
BATON ROUGE -We at the Tea Party of Louisiana believe that our Department of Insurance has failed to do its job. Consider the following:
- As a percentage of personal income, Louisiana has the highest insurance rates in the U.S. We average spending over 18% of our income on insurance; the highest “pain index” in the U.S., 32% more than Texas, 22% more than Mississippi. (source: PropertyCasualty360.com)
- Our average automobile premiums is 3rd highest in the nation, and have been in the top 3 highest for the last 10 yrs. (Source: PropertyCasualty360.com)
- High auto insurance rates have been blamed on “uninsured drivers”, but Louisiana’s “Uninsured Motorist” rate is ~ 12%; the national rate is also ~ 12% (III.org – Insurance Information Institute , Insurance Research Council)
- Our average homeowner pays ~ $1,800/yr to insure his home, 2nd highest in the country. Our homeowner’s premiums are ~ 68% more than the national average, 33% more than Mississippi, 40% more than Alabama’s, 79% more than Georgia. (Source: © 2015 National Association of Insurance Commissioners, NAIC).
- Insurance rates in Louisiana have risen twice as fast as the rest of the country. (source: The Advocate)
- The present Insurance Commissioner approves 96% of all rate increase requests. (Department of Insurance Annual Reports)
- Robert Hunter, retired Texas Insurance Commissioner and Insurance Director, Consumer Federation of America, has characterized Louisiana’s Department of Insurance as “the worst in the nation”, for regulating the insurance companies.
- Louisiana received a “D” grade from R Street's “Insurance Regulation Report Card”
- According to the Department of Insurance, 3600 complaints were received in 2014, but none of them resulted in actions against insurance companies. (NAIC Report on Insurance Department Resources)
When 3600 complaints result in NO actions against any insurance companies, we are forced to conclude that the Louisiana Department of Insurance has become dysfunctional; it’s virtually impossible all of these complaints could have been meritless. We understand that this situation is so bad that the Attorney General’s office has stepped in and is suing a major insurer for “unfair trade practices”, something that the Department of Insurance should have prevented, if it were doing its job.
Because this situation is out of control and because of the terrible financial burden unreasonably high insurance rates place on everyone in Louisiana, the Tea Party of Louisiana calls for a change in the office of Insurance Commissioner, and is proud to endorse Matt Parker for Louisiana Insurance Commissioner in this coming Saturday’s October 24, 2015 election.
Bob Reid, spokesman
Board of Directors Member
TEA Party of Louisiana, LLC