The Louisiana state legislature has recently passed multiple laws effecting the insurance industry with the goal of making insurance premiums more affordable for residents. The key highlights are as follows:
- Under Act 239 (House Bill 85), parishes and municipalities that issue building permits are now required to inspect roofing work as part of the permitting process.
- Under Act 144 (House Bill 121), a public adjuster shall not act as a contractor or subcontractor nor provide any construction, roofing, or repair services to the insured in connection with an insurance claim the adjuster has processed.
- Under Act 29, (Senate Bill 40), all adjusters and producers must complete at least three hours of educational and training sessions dedicated to the subject of ethics, at least three hours dedicated to the subject of flood insurance, and at least two hours dedicated to the subject of legislative updates in insurance law.
- Under Act 62 (House Bill 122), The Louisiana Roof Registry, a voluntary registry for which property owners and local and municipal governments who require building permits may submit information concerning those permits, designed to help streamline roof claim verifications and post-disaster inspections, is hereby created.
- Under Act 288 (House Bill 519), the use of handheld wireless devices while driving is prohibited. Drivers can only use phones in hands-free mode or while stationary, and exceptions are carved out for emergency calls or law enforcement duties.
- Under Act 500 (House Bill 437), an insurer that issues a property insurance policy with replacement cost coverage may refuse to pay a claim for withheld recoverable depreciation or a replacement cost holdback under the policy until the insurer receives reasonable proof of payment by the policyholder of any deductible applicable to the claim. If an insurer fails to provide an insured who is entitled to a rental vehicle under his policy with rental vehicle coverage within three business days of the insured’s written request for such, the insurer is subject to, in addition to the amount of reasonable expenses incurred by the first-party insured, a penalty not to exceed fifty percent of such reasonable expenses or $2,000, whichever is greater.
Please note that these laws became effective on August 1, 2025.
For any questions related to the above referenced legislative change in Louisiana, please contact Westmont Associates!