Citizens Insurance Refunds Sent to 234,000 Louisiana Residents

Insurance Commissioner Jim Donelon says nearly 234,000 people covered by the state’s insurer of last resort are getting $40 refund checks – and many are calling to find out if it’s for real.

The money is for application fees charged by Louisiana Citizens Property Insurance Corporation to policyholders without their knowledge.

Donelon says the policy’s declaration page did not mention the fee, which is being refunded under a court order.

He says checks have been issued to 233,868 policy holders. They’re being sent with a letter from Rust Consulting, Inc. which is handling the payments.

Donelon says many people getting those letters and checks are calling the insurance department and Citizens to verify that the refund is legitimate. He says it is.