La. regulator places Access Home, State National Fire under receivership

Louisiana Insurance Commissioner Jim Donelon put Access Home Insurance Co. and State National Fire Insurance Co. into receivership to ensure that policyholders with pending hurricane claims will get paid.

The Louisiana Department of Insurance has been keeping a close eye on the solvency of insurers operating in the state after Hurricane Laura in 2020. The regulator noted that several insurers are "in danger of exhausting their reinsurance coverage and running out of money," following hurricanes Laura, Delta, Zeta and Ida, as well as supply chain disruptions during the COVID-19 pandemic.

The receivership is a necessary step toward the Louisiana Insurance Guaranty Association taking over the insurers' claim payments.

Access Home Insurance and State National Fire are responsible for 1% of the state's homeowners insurance market. The two companies are in rehabilitation, with court-appointed receivers in charge of their operations.