Louisiana grants extension to UPC policyholders

Louisiana grants extension to UPC policyholders

Louisiana Insurance Commissioner Jim Donelson has announced that Louisiana Citizens, the state’s insurer of last resort, will provide assistance for an additional 30 days after United Property & Casualty Insurance Company’s (UPC) insurance policies expire March 29 for policyholders and their Insurance agents have been terminated Get coverage in the private market or bind a citizen’s policy without losing coverage.

UPC policyholders who fail to find a new home ownership policy prior to the cancellation of their UPC policy will be covered by Citizens for claims that occur between their cancellation date and the end of the renewal period, provided an agent binds the Citizens policy to that date, the said officers.

The renewal does not affect people taking out a new policy with an insurer other than Citizens.

UPC policyholders should use this extra time to get coverage with a private insurer before turning to Citizens,” Donelon said. “I urge these policyholders to immediately contact multiple agents, including independent agents, and begin purchasing a new policy.”

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Last week, Donelon announced that participating insurers would receive a credit towards the Insure Louisiana Incentive Program grant requirements for underwriting UPC policies. Credit will also be given to companies that buy policies for former UPC policyholders during the 30-day post-cancellation period, the Louisiana Department of Insurance said.

Florida-based UPC, which has about 30,000 policies in Louisiana, was put into liquidation by the Florida Office of Insurance Regulation and the Florida Judiciary on Feb. 27 after its losses from Hurricane Ian rose to $1.5 billion had risen. The company had previously attempted to exit its retail banking businesses in Florida, Louisiana, New York and Texas.

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