Insurance commissioner outlines Fortified Homes rollout, fraud-investigation expansion and continued market monitoring

Department of Insurance leadership appeared before the House Appropriations Committee on March 31 to present the FY26 executive budget and to discuss property and auto insurance market trends, the Fortified Homes program and expanded anti‑fraud activity.

Why it matters: Property and auto insurance affordability and availability are major constituent concerns. The department described Fortified Homes as a priority mitigation program intended to lower risk and reduce claims severity, and it is pursuing stronger anti‑fraud capacity while overseeing market conduct and rates for property and auto insurers.

Budget overview and staffing: House Fiscal presented the department’s $56.8 million FY26 recommended budget, composed primarily of fees, assessments and statutory dedications. The department reported 232 TO positions and 14 vacancies as of Dec. 30, 2024. The Market Compliance program accounts for about 71% of the department’s budget and houses 159 authorized positions.

Fortified Homes program status: Commissioner Tim Temple (speaker identified in transcript as "Commissioner") said total funding allocated to the Fortified Homes program spans two budget years and that the program had paid roughly $21.9 million to date, with about $23.0 million remaining in authority. He told the committee that the department had moved to a lottery-based applicant pool to give more residents an opportunity to participate rather than first-come, first-served enrollment. The commissioner said some states look to Louisiana’s program as a model; the department has worked to improve program operations and increase the number of certified inspectors and roofers.

Fraud and market oversight: The department told the committee it increased the insurance fraud unit budget by approximately $1.9 million and currently has 13 employees in the fraud unit; three of those are POST‑certified fraud examiners employed by the department. Deputy Undersecretary Lance Herring said the combined fraud task force produces multi‑agency reports and the department will provide the committee with specific investigation and referral numbers on request. The commissioner said the department is exploring technologies, including AI, to support anti‑fraud efforts.

Property and auto market dynamics: Members asked whether the department’s activities were expected to push down premiums. Officials described several factors that affect rates, including claims costs, building-material inflation and actuarial assessments. The department noted that some companies had filed for rate decreases in property insurance and that additional market entrants have filed to write homeowners coverage; the commissioner stressed the department’s role is to validate rate filings under actuarial standards and to foster a competitive marketplace.

Committee follow‑up: Members requested details on the Fortified Homes fund balance, the number of inspectors and roofers in the program pipeline, and the fraud unit’s caseload and referrals. The department agreed to provide the requested breakdowns. Members also discussed flood‑insurance mapping and directed constituents with questionable flood placements to contact the department for case review.

Bottom line: The Department of Insurance is seeking to sustain Fortified Homes operations while expanding anti‑fraud staff and maintaining market oversight through actuarial review and enforcement. The committee requested additional data on program throughput and fraud investigations to evaluate any future requests.