House Bill No. 459, introduced by Representative Glorioso, aims to regulate the practices of contractors in relation to the solicitation of residential property insurance claims for roof repairs. The bill enacts R.S. 37:2159.2, which defines "prohibited advertisement" as any communication that encourages consumers to contact contractors or public adjusters for insurance claims related to roof damage. It also outlines what constitutes "soliciting" and prohibits contractors from engaging in certain practices, such as soliciting through prohibited advertisements, offering incentives for inspections or claims, and interpreting insurance policy provisions unless licensed as a public adjuster.
Violations of this new law could result in disciplinary proceedings and fines of up to $10,000 for contractors. The bill also holds contractors accountable for the actions of their employees or agents and establishes penalties for unlicensed individuals who violate these provisions. Additionally, contractors are required to include a notice in contracts with residential property owners, informing them of these prohibitions, and failure to do so allows the property owner to void the contract within thirty days.