House Bill No. 561, introduced by Representative Firmant, amends and reenacts specific provisions of the Louisiana Revised Statutes concerning surplus lines insurance. The bill mandates that each surplus lines insurance policy must include a notice indicating that it is not subject to certain provisions of the Louisiana Insurance Code, specifically regarding rate and form approval by the Department of Insurance. Additionally, the required notice must now be printed in a minimum font size of fourteen-point, increased from the previous ten-point requirement. The bill also clarifies that surplus lines insurers are exempt from certain jurisdiction and venue provisions, while still adhering to the stipulations of R.S. 9:2778.

The legislative intent behind this bill is to reaffirm that surplus lines insurers can include arbitration clauses in their policies without being restricted by the Louisiana Insurance Code, except as specified in R.S. 9:2778. The provisions related to the notice requirements will take effect on August 1, 2025, and will apply to policies issued or renewed on or after January 1, 2026. The changes aim to enhance clarity and ensure that surplus lines insurers have the flexibility to negotiate terms within their contracts.

Statutes affected:
HB561 Original: 22:433(A), 22:868(D)
HB561 Engrossed: 22:433(A), 22:868(D)
HB561 Reengrossed: 22:433(A), 22:868(D)