HB 148: INSURANCE: Requires insurers to provide prior premium amounts with renewals of certain insurance policies and repeals the distinction between competitive and noncompetitive markets with respect to the regulation of insurance rates - Louisiana

HB148 Original → HB148 Act · 5 edits

MODERATE

This bill updates Louisiana's insurance laws to require insurers to provide specific premium information when renewing homeowners' and auto policies. It mandates that the previous year's premium be prominently displayed next to the new premium to help consumers compare costs. Additionally, it clarifies how the insurance commissioner determines if a rate is excessive and establishes a process for protecting confidential business information during public rate reviews.

Scope change

The bill expands the scope of rate disclosure requirements to include both homeowners' and private passenger motor vehicle insurance policies, whereas the original text focused primarily on motor vehicle insurance. It also broadens the commissioner's authority regarding public inspection of rate filings.

REQUIREMENT

Insurers must now disclose the premium amount from the last issued policy alongside the renewal premium, ensuring the prior premium is prominently displayed near the new total.

The requirement to show prior premiums explicitly excludes excess and surplus lines insurance.

DEFINITION

The definition of an 'excessive' rate was updated to clarify that rates in competitive markets are not considered excessive, while rates in noncompetitive markets are judged based on long-term profitability and expense provisions.

ENFORCEMENT

New procedures were added to allow the commissioner to determine if rate-filing information is confidential or a trade secret, including a process for insurers to request hearings if disclosure is denied.

SCOPE

The bill's title and scope were expanded to include homeowners' insurance, not just motor vehicle insurance, for the new premium disclosure requirements.

HB148 Enrolled → HB148 Original · 4 edits

MODERATE

The bill was simplified from a comprehensive overhaul of insurance laws into a focused amendment targeting only R.S. 22:881.1. The core policy requirement remains unchanged: insurers must disclose all discounts and provide the previous year's premium amount when renewing homeowners' or motor vehicle policies. The text was streamlined to remove unrelated provisions regarding excessive rates, competitive markets, and complex public inspection procedures, likely to streamline the legislative process.

Scope change

The bill's scope was significantly narrowed. It was reduced from amending and repealing multiple statutes (including sections on excessive rates, competitive markets, and rate disapproval) to amending only a single section regarding discount disclosure and premium renewals.

SCOPE

The bill was reduced from a multi-section legislative overhaul to a single-section amendment, removing all references to rate regulation, excessive rates, and market competition.

REQUIREMENT

The substantive requirement for insurers to disclose discounts and provide prior premium amounts at renewal remains intact, though the surrounding legal text was condensed.

ENFORCEMENT

Provisions detailing public inspection of rates, trade secret determinations, and hearing procedures for rate disputes were entirely removed from the bill.

DEFINITION

Definitions and standards for 'excessive' rates and 'unfairly discriminatory' practices were removed, as the bill no longer addresses rate-setting standards.

HB148 Reengrossed → HB148 Enrolled · 4 edits · May 28, 2025

MODERATE

This bill finalizes the text of HB 148, which simplifies insurance rate regulation by removing the legal distinction between 'competitive' and 'noncompetitive' markets. It also mandates that insurers show the previous year's premium price next to the new renewal price to increase transparency for consumers.

Scope change

The bill removes the regulatory distinction between competitive and noncompetitive insurance markets, applying uniform standards to all rate filings.

DEFINITION

Deleted the specific definition of 'excessive' rates that previously exempted rates in competitive markets from being considered excessive.

SCOPE

Repealed the legal separation between competitive and noncompetitive markets, meaning the same rules now apply to all insurers regardless of market type.

REQUIREMENT

Added a requirement for insurers to display the prior premium amount prominently next to the renewal premium on all homeowners and auto policies.

Established a formal process for the insurance commissioner to determine if rate filing information is confidential, a trade secret, or proprietary before making it public.

HB148 Engrossed → HB148 Reengrossed · 2 edits · May 21, 2025

MINOR

The bill was reengrossed to add a second sponsor and update the list of statutes being amended and repealed. The substantive policy content regarding insurance disclosures and rate regulations remains identical to the previous version, with no changes to requirements, definitions, or enforcement mechanisms.

Scope change

The bill's scope and applicability remain unchanged; the reengrossment only adds Representative Brown as a co-sponsor and corrects the list of affected laws.

TECHNICAL

Added Representative Brown as a co-sponsor alongside Representative Wiley.

Updated the list of specific Louisiana Revised Statutes to be amended and repealed to reflect the current legislative text.

INSURANCE: Requires insurers to provide prior premium amounts with renewals of certain insurance policies and repeals the distinction between competitive and noncompetitive markets with respect to the regulation of insurance rates

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