YOU MAY BE ELIGIBLE TO receive a tax credit for any insurance premium notices that included LA Citizens Assessments
Citizens Insurance Tax Credit : How do I determine the amount of the credit?
Premium notices that include LA Citizens assessments due to Hurricanes Katrina and Rita are eligible for the credit. The LA Citizens assessments are listed separately from the normal premium amount on the declaration page of your homeowner’s or property’s insurance premium notice. The declaration page names the policyholder, describes the property or liability to be insured, the type of coverage, and policy limits. Some insurance companies may include a supplemental schedule with the declaration page that itemizes the LA Citizens assessments.
LA Citizens assessment charges may include any or all of the following (your insurer’s description may vary slightly from the references below):
Louisiana Citizens FAIR Plan Regular Assessment Recoupment Surcharge
Louisiana Citizens Coastal Plan Regular Assessment Recoupment Surcharge
Louisiana Citizens FAIR Plan Emergency Assessment
Louisiana Citizens Market Equalization Charge
To determine the amount of the credit that can be claimed, add the assessment charges for the four items above. If only one of the items appears on your insurance bill, that amount is the amount of the credit.
Before the credit can be claimed, the assessment amounts must have been paid to the insurance company directly by the homeowner or property owner or by the homeowner’s or property owner’s escrow company.
This is not a credit for the total amount due on your insurance bill. Do not add your insurance premium to the LA Citizens assessments. If you are a customer of the Louisiana Citizens Insurance Corporation, and you paid the Tax Exempt Surcharge, this surcharge may not be claimed.
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