Senate Resolution No. by Senator Connick 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 rising costs of insurance premiums. The resolution highlights findings from a Florida report that indicated significant financial dealings between insurers and their affiliates, raising questions about the impact of these transactions 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 their affiliated companies. The legislative auditor is tasked with assessing whether these financial practices have influenced reported losses, surplus levels, or rate filings. The auditor may also engage independent consultants for assistance and is required to submit a written report of findings and recommendations to the Senate by September 1, 2026. This resolution aims to enhance transparency and accountability in the insurance market to protect Louisiana consumers.