Requires insurers to notify the Department of Insurance upon ceasing, pausing, or resuming the writing of policies in a particular region. (1/1/26)
Summary
SB 137 requires insurers authorized to write automobile or property insurance in Louisiana to notify the Commissioner of Insurance within 10 days after they tell agents or other representatives that they will cease, pause, or resume writing new policies in a particular geographic region. The notice must identify the effective date, the lines of insurance affected, the geographic area involved, and a brief explanation for the action.
The bill also creates a confidentiality rule for information submitted under this new reporting requirement, making it exempt from public disclosure under the Public Records Law except where otherwise required by law or by court order. It defines the covered market actions to mean material changes in coverage availability, while excluding temporary interruptions tied to a possible impending natural disaster. The commissioner is authorized to adopt rules to implement and enforce the new section, and the act becomes effective January 1, 2026.
Impact
The bill adds new R.S. 22:1276 to the Louisiana Insurance Code and amends the Public Records Law exception list in R.S. 44:4.1(B)(11) to include the new section. In practical terms, it imposes a reporting obligation on property and auto insurers when they materially change their willingness to write new business in a region, while also shielding those filings from public disclosure. The measure affects insurers, the Department of Insurance, and consumers in regions where carriers reduce or restore market participation.
Sentiment
The available voting history shows strong bipartisan support and no recorded opposition: the Senate passed the bill 38-0, the House passed it 97-0, and the Senate concurred 39-0. With no committee transcript provided, the overall sentiment appears broadly favorable and noncontroversial, likely reflecting interest in improving regulatory visibility into insurance market availability without publicly exposing proprietary business information.
Contention
No formal contention is reflected in the provided record, as all recorded votes were unanimous and no committee debate is available. The main policy balance embedded in the bill is between consumer/regulatory transparency and insurer confidentiality: supporters likely favor advance notice to the Department of Insurance about market withdrawals or resumptions, while the confidentiality provision appears designed to address insurer concerns about proprietary information and competitive sensitivity. The bill also carves out temporary pauses related to impending natural disasters, suggesting an effort to avoid burdening insurers during emergency conditions.