Categories: Louisiana News

Louisiana car insurance rates fall as accidents decrease

BATON ROUGE, La. (Louisiana First) — Louisiana car insurance policyholders could get relief after more than 20 car insurance companies filed rate reductions.

Gov. Jeff Landry and Insurance Commissioner Tim Temple report rate decreases since the beginning of 2025. According to Temple, insurers cited reductions in the frequency of car accidents as the main reason for decreases.

“As cost drivers in the market go down, losses go down with them, and businesses are incentivized to compete for customers through lower pricing,” Temple said. “While it will take time for this year’s legal reforms to take effect and begin making a difference, it is a positive sign that insurers saw fewer accidents in 2024 and early 2025.”

Landry and Temple each pushed a package of bills to address the state’s insurance crisis for lawmakers to debate in the regular legislative session. The governor criticized insurance companies and trial lawyers, saying they aided the rise in car and homeowners insurance rates while insurers profited.

In an Aug. 19 video message, Landry thanked the legislature after several car insurance bills passed, saying the “tide is turning” as rates go down.

“This proves that our plan is working. While some claimed I was protecting trial lawyers and others complained I was too soft on insurance companies, I never wavered. We kept our focus on the data because the only side I’m on is your side,” Landry said.

Temple said it could take one to two years of “consistent reform” to bring down rates for Louisiana.

“Our focus on improving our regulatory and legal environments while ensuring rates are actuarially justified will promote competition and ultimately stabilize auto insurance premiums for Louisiana drivers,” Temple said.

The table below shows 14 rate decreases of more than 1%:

Company Written Premium % Change
Imperial Fire and Casualty (AllState) $56,073,443 -7.9%
Imperial Fire and Casualty (AllState) $99,838,669 -8.1%
Geico [commercial auto] $913,093 -7.3%
State Farm $1,803,928,170 -3.915%
GoAuto $172,370,379 -8.06%
Hugo $96,103 -13.6%
LM General (Liberty Mutual) $25,511,750 -5.1%
Peerless Indemnity (Liberty Mutual) $22,321,483 -5%
Liberty (Liberty Mutual) $3,700,848 -5%
Encompass (AllState) $5,181,903 -1.3%
GoAuto $157,798,164 -9.92%
Progressive Security $681,691,232 -3.2%
Imperial Fire and Casualty (AllState) $96,846,628 -5%
GM National $3,679 -6.9%
Source: Louisiana Department of Insurance

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