Louisiana Gov. Wants to Appoint Insurance Head

September 12, 2002

Governor Bob Foster of Louisiana is pushing for a change in state law that would allow the state insurance commissioner to be an appointed official rather than an elected one.

According to the New Orleans Times-Picayune Foster made the proposal out of his conviction that an appointed commissioner would be less vulnerable to the political pressures of the industry.

The last three elected commissioners have been convicted of crimes. Suspended Commissioner Jim Brown is asking the 5th Circuit Court of Appeals in New Orleans to reconsider its recent ruling upholding Brown’s conviction on charges of lying to an FBI agent when he was interviewed about the state’s settlement with a failed insurance company. The Court sentenced Brown to six months in prison for lying to the FBI, but has remained free during the appeal.

Former Commissioner Doug Green, who served before Brown, is serving a 25-year prison sentence as the result of a 1991 money laundering conviction. Green’s predecessor, Sherman Bernard, was sentenced to 41 months in prison after being convicted of taking payoffs while in office.

After proposing the change on his weekly radio call-in show “Live Mike,” Foster asked for public input, requesting listeners to respond to a pop-up poll question appearing on the Governor’s Web site.

A two-thirds vote of the legislature is required in order to abolish the elected office.

Louisiana lawmakers eliminated the office of commissioner of elections and registration in 2001 after incumbent Jerry Fowler was sentenced to prison for receiving payoffs from companies doing business with his office.

Acting Insurance Commissioner Tom Wooley opposes Foster’s idea to make the position an appointed one. Wooley asserted that such action would put too much power in the hands of the governor.

He added that if lawmakers approve a bill allowing for an appointed commissioner, it should require that a panel of three judges make the appointment, as is done in Virginia.

Topics Louisiana

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