House Bill No. 552 proposes to suspend the premium surcharge of at least ten percent that is typically assessed by the Louisiana Citizens Property Insurance Corporation on policies issued in the state. The bill amends R.S. 22:2303(D)(1) to state that the ten percent surcharge will not apply to policies issued in Louisiana, effectively providing relief to policyholders. This suspension is set to expire on December 31, 2024, at 11:59 p.m. The bill retains the existing provisions that allow the Corporation to charge rates based on actuarially justified rates or the highest rates charged by assessable insurers in the respective parishes.

The bill's effectiveness is contingent upon the enactment of a specific appropriation of funds by the Louisiana Legislature for its implementation. Additionally, it clarifies that the original provisions of R.S. 22:2303(D)(1)(a) will remain in effect as if the amendment had not occurred, ensuring that the existing rate structures are preserved for future reference. The intent of the legislation is to provide immediate financial relief to policyholders while maintaining the overall regulatory framework for property insurance rates in Louisiana.

Statutes affected:
HB552 Original: 22:2303(D)(1)
HB552 Engrossed: 22:2303(D)(1)
HB552 Reengrossed: 22:2303(D)(1)