The bill amends and reenacts several provisions of Louisiana's property and casualty insurance laws, specifically R.S. 22:1892, to enhance the claims process for property damage. Key changes include the stipulation that insurers issuing property insurance policies with replacement cost coverage may withhold payment for recoverable depreciation until they receive proof of deductible payment from the policyholder. Additionally, the bill introduces a new section, R.S. 22:1892.3, which allows insurers to require proof of loss statements as a prerequisite for claim payments, detailing the process and requirements for such statements.

Furthermore, the bill modifies the obligations of insurers regarding payments for alternative transportation when a third-party claimant is deprived of their vehicle due to the insurer's inaction. It establishes penalties for insurers who fail to make timely payments and clarifies the conditions under which first-party insureds are entitled to rental vehicle coverage. The bill also specifies the sources for determining retail costs in motor vehicle insurance claims and mandates that insurers provide proof of loss statement forms to claimants within ten business days of receiving a claim. Overall, these amendments aim to improve the efficiency and fairness of the claims process in Louisiana's insurance landscape.

Statutes affected:
HB437 Original: 22:1892(A)(7)
HB437 Engrossed: 22:1892(A)(7)
HB437 Enrolled: 22:1892(A)(7)
HB437 Act 500: 22:1892(A)(7)