Levies an insurance premium tax and dedicates the revenue to the Louisiana Fortify Homes Program
Summary
HB 662 creates a new insurance premium tax on certain commercial insurance policies tied to single-family rental properties owned by large for-profit businesses. Specifically, it imposes a $1,000 tax on each commercial general liability policy or dwelling fire insurance policy issued in Louisiana for a single-family rental property when the business owns or acquires 40 or more such properties in a calendar year. The first 39 properties owned or acquired by the business in that year are exempt from the tax.
The bill directs the commissioner of insurance to collect the tax and send the proceeds to the state treasurer. After the constitutional dedication to the Bond Security and Redemption Fund is satisfied, the revenue is deposited into the Louisiana Fortify Homes Program Fund. The measure applies to policies issued or renewed on or after July 1, 2025, and becomes effective on that date.
Impact
HB 662 would add a new section to Louisiana insurance law, R.S. 22:847, creating a targeted premium tax on certain commercial and dwelling fire policies covering single-family rental properties owned by large for-profit landlords. It affects insurers, large rental-property owners, and the commissioner of insurance, while creating a dedicated revenue stream for the Louisiana Fortify Homes Program Fund to support home fortification efforts.
Sentiment
No committee transcripts or recorded votes were provided, so there is no direct evidence of debate, support, or opposition in the available materials. Based on the bill text alone, the measure appears designed as a revenue-raising and program-funding mechanism rather than a broad regulatory change, with a narrow tax base focused on larger corporate rental owners.
Contention
The main potential point of contention is the bill’s targeted tax on large for-profit single-family rental operators, which may be viewed by supporters as a way to make major property owners contribute to resilience funding and by opponents as a cost increase that could be passed on through rents or insurance expenses. Another likely issue is the threshold structure—taxing only businesses that own or acquire 40 or more properties in a year and exempting the first 39—which creates a sharp cutoff that could be debated as either appropriately targeted or arbitrarily drawn.
Constitutional Amendment to increase the composition of the Louisiana Supreme Court. (Items #4, 5, and 13)(2/3 - CA13s1(A)) (EG +$1,145,641 GF EX See Note)
Redistricts the Louisiana Supreme Court to increase the composition of the court from seven to nine justices. (2/3 - CA5s4)(Item #3)(See Act) (EG INCREASE GF EX See Note)
Resolves that a committee be appointed to act with a similar house committee to notify the governor that the legislature has convened and organized and is prepared to receive his communications.