hurricane rita

On Rita Anniversary, Story Of A Small Town Comeback

Sep 24, 2014
Ed Lallo / Louisiana Seafood News

Wednesday marks the nine-year anniversary of Hurricane Rita's landfall in Texas, and the flooding of the Louisiana coast. Western parishes like Cameron, Vermilion and Iberia were hit hard. Plus, Rita added a whole new layer to the unprecedented damage of Katrina and the floods of just a few weeks prior.

A state-run insurance company of last resort has agreed to settle two remaining class-action lawsuits tied to claims handled after hurricanes Katrina and Rita for $61 million.

The board for the Louisiana Citizens Property Insurance Corp. voted unanimously Thursday to settle the long-running lawsuits. Policyholders sued the company over the slow handling of claims after the hurricanes struck in 2005.

The board also authorized company CEO Richard Robertson to put a cap of $4,500 per claim.

Homeowners will pay $54 on average next year on their insurance policies to cover bond payments being made by state-backed Louisiana Citizens Property Insurance Corp., which had to borrow nearly $1 billion to pay claims from hurricanes Katrina and Rita.

The board voted Thursday to impose a 3.74 percent assessment on all commercial and personal policyholders in the state starting Jan. 1.

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LIANE HANSEN, host:

Renewed flooding and widespread power outages spread across New Orleans as Hurricane Rita blew through the Gulf Coast. But for a city already reeling from the effects of Hurricane Katrina, the damage from Rita was far less than feared. NPR's Cheryl Corley reports from New Orleans.

CHERYL CORLEY reporting: