Declarations

Declarations

Rates going down

“Consumers are clearly benefiting from what has turned into a very competitive insurance market. … When it seems like the price of everything else is going up, to hear insurance rates are going down is welcome news.”

— Mark Hanna, a spokesman for the Insurance Council of Texas, commenting on figures released by the Texas Department of Insurance that show rates have fallen in the state for homeowners and automobile insurance.

Up for sale

“Insurance is screwed up in this state. This company is screwed up.”

— Louisiana State Sen. James David Cain, R-Dry Creek, chair of the Senate Insurance Committee, commenting on the plight of Louisiana Citizens Property Insurance Corp. The Senate passed a Cain-sponsored bill that would effectively put Citizens up for sale by bidding out its insurance policies. Senators voted 31-4 to approve the measure and send it to the House. Voting in opposition were Sens. Boasso, D-Arabi, Butch Gautreaux, D-Morgan City, Nick Gautreaux, D-Meaux, and Gerald Theunissen, R-Jennings.

If you don’t like the smell

“If I vote for this, I’m going to have to hold my nose pretty tight.”

— Louisiana Sate Rep. Troy Hebert, D-Jeanerette, commenting on a measure backed by Gov. Kathleen Blanco, which she believes will ease the state’s property insurance crisis by providing $100 million in financial incentives to insurance companies. Despite lawmakers concerns that voters might see it as a handout to insurers, the bill by House Insurance Committee chair Karen Carter was approved by that panel. Blanco and Insurance Commissioner Jim Donelon, who also supports the plan, believe it will attract insurers, make the market more competitive and ultimately lower property insurance rates in the state.

Taking another hit

“Today’s Wall Street Journal said it all. In 2003, we took a major hit after former Senate Pro Tempore Stratton Taylor sent out letters telling attorneys that because Texas had passed such tough lawsuit reform legislation, they could bring their lawsuits to Oklahoma. … Because of that, the nation’s largest business newspaper was watching what we did with lawsuit reform this year, and they are calling the governor out. If you think this veto doesn’t hurt our pro-growth efforts, think again.”

— Oklahoma State Sen. Cliff Branan, principal author of Senate Bill 507, a lawsuit reform measure passed by the state legislature but vetoed by Gov. Brad Henry. Branan was commenting on a May 10 Wall Street Journal article asserting that Oklahoma will lose business to Texas because of Oklahoma’s inability to enact lawsuit reform legislation.