House Bill No. 224, introduced by Representative Galle, amends the annual premium tax on vehicle insurance policies in Louisiana. The bill retains the current minimum annual tax of $185 for policies with gross annual premiums of $6,000 or less. However, it reduces the tax for policies with gross annual premiums exceeding $6,000 from $300 to $200 for each additional $10,000 or fraction thereof, starting July 1, 2026. This change aims to alleviate the financial burden on vehicle insurance policyholders.

The provisions of this bill will apply specifically to policies, contracts, or obligations covering vehicle risks that are issued or executed on or after the effective date of July 1, 2026. The bill maintains the existing tax structure for all other types of insurance policies not related to vehicle risks. Overall, the legislation seeks to provide a more favorable tax rate for vehicle insurance, thereby potentially lowering costs for consumers in Louisiana.

Statutes affected:
HB224 Original: 22:831(A)(1)
HB224 Engrossed: 22:831(A)(1)