Mississippi Coast Insurance Rates Nearing Pre-Katrina Levels

Collaboration between Mississippi Insurance Commissioner Mike Chaney, the state Legislature, Gov. Haley Barbour and the Mississippi
Windstorm Underwriting Association has managed to return
Gulf Coast insurance premiums to nearly pre-Katrina levels.

According to the Mississippi Windstorm Underwriting Association, also known as the Wind Pool, prior to Hurricane Katrina in August of 2005, $100,000 of coverage on a masonry dwelling would cost the average homeowner $679. After Katrina, in October, 2006, that same $100,000 of coverage cost $1,290.

Effective in June, premiums for coverage on that same home will drop to
$1,189 and homeowners who qualify for a fortified home credit with a 5 percent storm deductible will see their rates drop further to $776 – just $97 more than pre-Katrina levels.

“This is what we promised we would do,” Chaney said. “The Legislature, in their wisdom, approved House Bill 1500 in the 2007 session to allow us to assist the Wind Pool in purchasing re-insurance and that action has resulted in significant savings to homeowners and those seeking to rebuild on the Gulf Coast.”

Source: Mississippi Insurance Department

Topics Mississippi