NEW ORLEANS – Former Louisiana Governor John Bel Edwards addressed the state’s ongoing insurance crisis at a Tulane University forum on January 10, 2025, highlighting the failures of insurance companies to meet obligations to policyholders and a lack of understanding of the industry’s business model among lawmakers. The event,moderated by law professor Adam Feibelman,drew on Edwards’ experience leading the state thru multiple disasters during his gubernatorial term.
Edwards, who oversaw the response to six hurricanes while in office, described witnessing “complete devastation” and the “gut-wrenching” experience of residents unable to secure insurance claims after suffering losses. He recounted instances of senior citizens “literally cry[ing],” unable to remain in homes they had occupied for decades due to insurance company inaction.
The former governor characterized insurers as operating “more like investment firms,” holding premium payments for investment purposes before paying out claims. He asserted that the state’s struggling insurance market is “one of the biggest challenges facing our state,” despite a “no shortage of opinions about what we should do.”
Edwards’ remarks come as Louisiana continues to grapple with soaring insurance rates and a shrinking population, as reported by Axios.com. He suggested a core issue is “not fully understanding the industry’s business model” and a failure by lawmakers to address it effectively.
