HB413 • 2026

INSURANCE: Prohibits an insurer from utilizing a rating factor in an automobile insurance rate filing

Enacted

This bill passed the Legislature and reached final enactment based on the latest official action.

Sponsor: Kim Carver
Last action: 2026-05-15
Official status: Signed by the Governor - Act 159
Effective date: Not listed

Plain English Breakdown

The official source material does not provide details on the specific circumstances under which insurers can still use the rating factor in multi-line policies or what additional relevant factors are allowed beyond those based on actuarial standards.

Insurance Law Change for Car Insurance Rates

This law stops car insurance companies from using certain factors when setting rates, specifically those based on losses from catastrophes or natural disasters affecting other types of insurance policies.

What This Bill Does

Changes the rules about how car insurance rates are set by removing a specific factor that considers losses from catastrophes or natural disasters in other types of insurance.

Who It Names or Affects

Car insurance companies in Louisiana
People who buy car insurance in Louisiana

Terms To Know

rating factor: A piece of information used by an insurance company to decide how much to charge for a policy.
catastrophe or natural disaster: Major events like hurricanes, floods, or earthquakes that cause widespread damage and loss.

Limits and Unknowns

The law only applies to car insurance rates in Louisiana.
It does not specify what other relevant factors can be used besides the ones based on actuarial standards.

Bill History

2026-05-15 H
Effective date: 01/01/2027.
2026-05-15 H
Signed by the Governor. Becomes Act No. 159.
2026-05-12 H
Sent to the Governor for executive approval.
2026-05-12 S
Signed by the President of the Senate.
2026-05-11 H
Enrolled and signed by the Speaker of the House.
2026-05-07 H
Received from the Senate without amendments.
2026-05-07 S
Rules suspended. Read by title, passed by a vote of 34 yeas and 0 nays, and ordered returned to the House. Motion to reconsider tabled.
2026-04-28 S
Reported without Legislative Bureau amendments. Read by title and passed to third reading and final passage.
2026-04-27 S
Read by title and referred to the Legislative Bureau.
2026-04-22 S
Reported favorably.
2026-03-30 S
Read second time by title and referred to the Committee on Insurance.
2026-03-25 S
Received in the Senate. Read first time by title and placed on the Calendar for a second reading.
2026-03-25 H
Read third time by title, roll called on final passage, yeas 100, nays 0. Finally passed, title adopted, ordered to the Senate.
2026-03-23 H
Scheduled for floor debate on 03/25/2026.
2026-03-23 H
Read by title, ordered engrossed, passed to 3rd reading.
2026-03-18 H
Reported favorably (13-0).
2026-03-09 H
Read by title, under the rules, referred to the Committee on Insurance.
2026-02-27 H
First appeared in the Interim Calendar on 2/27/2026.
2026-02-25 H
Under the rules, provisionally referred to the Committee on Insurance.
2026-02-25 H
Prefiled.

Official Summary Text

INSURANCE: Prohibits an insurer from utilizing a rating factor in an automobile insurance rate filing

Current Bill Text

Read the full stored bill text

ENROLLED
ACT No. 1592026 Regular Session
HOUSE BILL NO. 413
BY REPRESENTATIVES CARVER AND CHASSION
1 AN ACT
2 To amend and reenact R.S. 22:1454(B)(5) and to enact R.S. 22:1454(B)(6), relative to
3 property and casualty insurance rate making; to prohibit certain rating factors; to
4 provide for exceptions; to provide for effectiveness; and to provide for related
5 matters.
6 Be it enacted by the Legislature of Louisiana:
7 Section 1. R.S. 22:1454(B)(5) is hereby amended and reenacted and
8 R.S. 22:1454(B)(6) is hereby enacted to read as follows:
9 §1454. Rating standards and methods
10 * * *
11 B. In determining whether rates are excessive, inadequate, or unfairly
12 discriminatory, consideration may be given to the following items:
13 * * *
14 (5) Claims on other lines. Insurers shall not include a rating factor in an
15 automobile insurance rate filing that is based solely on loss experience arising from
16 a catastrophe or natural disaster that only affected other lines of insurance. However,
17 this Paragraph does not preclude an insurer from including such a rating factor in a
18 multi-line policy.
Page 1 of 2
CODING: Words in struck through type are deletions from existing law; words underscored
are additions.
HB NO. 413 ENROLLED
1 (6) Other relevant factors. Any other factors available at the time of the rate
2 filing, including but not limited to rates computed in accordance with accepted
3 actuarial standards.
4 * * *
5 Section 2. This Act shall become effective on January 1, 2027.
SPEAKER OF THE HOUSE OF REPRESENTATIVES
PRESIDENT OF THE SENATE
GOVERNOR OF THE STATE OF LOUISIANA
APPROVED:
Page 2 of 2
CODING: Words in struck through type are deletions from existing law; words underscored
are additions.