This bill amends and reenacts specific provisions of Louisiana's insurance law, particularly R.S. 22:1892, to enhance the process of payment and adjustment of insurance claims. It mandates that insurers verify the licensing status of contractors before issuing payments for claims related to property repairs. Additionally, the bill introduces a "safe harbor" provision that protects insurers from penalties for delays in payment if such delays are directly linked to their inability to verify a contractor's license. Insurers must document their verification attempts and notify the insured of any delays within five business days.

Furthermore, the bill outlines conditions under which an insurer's actions do not constitute a breach of good faith, particularly in cases involving personal injury claims. It specifies that no cause of action can arise against an insurer if there is a good faith dispute regarding liability or medical causation, or if a third-party claimant has not made an offer within policy limits. The new provisions aim to clarify the responsibilities of insurers while providing protections for both insurers and insured parties in the claims process.

Statutes affected:
HB1162 Original: 22:1892(A)(1)
HB1162 Engrossed: 22:1892(A)(1)
HB1162 Reengrossed: 22:1892(A)(1)
HB1162 Enrolled: 22:1892(A)(1)
HB1162 Act 932: 22:1892(A)(1)