Senate Resolution No. [insert number] authorizes the legislative auditor, in collaboration with the Department of Insurance, to conduct a comprehensive study on the financial transactions between foreign and domestic insurers operating in Louisiana. This initiative arises from concerns regarding the financial stability and market practices of property insurers, particularly in light of the state's vulnerability to natural disasters and the increasing burden of insurance premiums on residents. The resolution highlights findings from a Florida report that indicated significant financial dealings between insurers and their affiliates, raising questions about the potential impact on insurer solvency and consumer costs.

The study will focus on financial data and relationships disclosed in regulatory filings from January 1, 2021, to December 31, 2024, and will categorize various types of payments made between insurers and affiliated companies. It aims to assess whether these transactions have influenced reported losses, surplus levels, or rate filings. The legislative auditor is also permitted to engage independent consultants for assistance and is required to submit a written report of findings and recommendations for potential legislative or regulatory reforms by September 1, 2026.