The bill amends and reenacts sections of Louisiana's insurance law regarding the use of credit information in underwriting and rating personal insurance policies. Key provisions include a requirement for insurers to disclose to consumers that credit information may be obtained during the application process, as well as a new obligation to inform consumers on how to obtain a copy of the credit information used. Additionally, if an insurer takes an adverse action based on credit information, they must notify the consumer in accordance with the federal Fair Credit Reporting Act and provide clear explanations for the adverse action, including specific factors influencing the decision.

Furthermore, the bill mandates that insurers using scoring systems for underwriting must file their scoring models with the Department of Insurance, which will review these models to ensure compliance with the law. The bill also clarifies that any filings related to credit information are considered trade secrets under the Uniform Trade Secrets Act. The effective date for these changes is set for July 1, 2026.

Statutes affected:
SB61 Original:
SB61 Engrossed:
SB61 Enrolled:
SB61 Act :