LEGISLATIVE FISCAL OFFICE
Fiscal Note
Fiscal Note On: SB 54 SLS 21RS 129
Bill Text Version: REENGROSSED
Opp. Chamb. Action:
Proposed Amd.:
Sub. Bill For.:
Date: May 7, 2021 4:22 PM Author: LUNEAU
Dept./Agy.: Insurance
Subject: Named Storm, Hurricane, Wind/Hail Deductible Form Analyst: Patrice Thomas
INSURANCE POLICIES RE NO IMPACT See Note Page 1 of 1
Provides relative to hurricane, named storm, and wind and hail deductibles. (gov sig)
Proposed law requires the Commissioner of Insurance to prescribe a separate form regarding named storm, hurricane, and
wind and hail deductibles for homeowner's insurance policies. Proposed law requires the separate form to list the specific
amount for each deductible expressed as a percentage of the insured value of the property, or as a specific dollar amount, or
as both. Under proposed law, before the effective date of the insurance policy, the separate form shall be provided by the
insurer as well as signed by the insurer and the named insured or his legal representative. Proposed law requires the
separate form to become a part of the homeowner's insurance policy, irrespective of whether physically attached. Proposed
law requires that a new separate form shall be provided and signed by the parties before an agreement changing the
amounts of any deductibles or the limits of the policy. Proposed law effective 1/01/2022.
EXPENDITURES 2021-22 2022-23 2023-24 2024-25 2025-26 5 -YEAR TOTAL
State Gen. Fd. $0 $0 $0 $0 $0 $0
Agy. Self-Gen. $0 $0 $0 $0 $0 $0
Ded./Other $0 $0 $0 $0 $0 $0
Federal Funds $0 $0 $0 $0 $0 $0
Local Funds $0 $0 $0 $0 $0 $0
Annual Total $0 $0 $0 $0 $0 $0
REVENUES 2021-22 2022-23 2023-24 2024-25 2025-26 5 -YEAR TOTAL
State Gen. Fd. $0 $0 $0 $0 $0 $0
Agy. Self-Gen. $0 $0 $0 $0 $0 $0
Ded./Other $0 $0 $0 $0 $0 $0
Federal Funds $0 $0 $0 $0 $0 $0
Local Funds $0 $0 $0 $0 $0 $0
Annual Total $0 $0 $0 $0 $0 $0
EXPENDITURE EXPLANATION
There is no anticipated direct material effect on governmental expenditures as a result of this measure. The proposed
legislation requires the Commissioner of Insurance, LA Department of Insurance (LDI) to prescribe a separate form
regarding named storm, hurricane, and wind and hail deductibles for homeowner's insurance policies. LDI reports that
existing resources and budget authority within the department will be utilized to develop the separate form.
REVENUE EXPLANATION
There is no anticipated direct material effect on governmental revenues as a result of this measure.
Senate Dual Referral Rules House
13.5.1 >= $100,000 Annual Fiscal Cost {S & H} 6.8(F)(1) >= $100,000 SGF Fiscal Cost {H & S}
Alan M. Boxberger
13.5.2 >= $500,000 Annual Tax or Fee 6.8(G) >= $500,000 Tax or Fee Increase
Change {S & H} or a Net Fee Decrease {S} Staff Director