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HLS 26RS-746 REENGROSSED
2026 Regular Session
HOUSE BILL NO. 582
BY REPRESENTATIVE BAYHAM
MTR VEHICLE/OFFICE: Provides relative to reinstatement fees for lapses of vehicle
liability security
1 AN ACT
2 To amend and reenact R.S. 32:863(A)(3)(a), relative to reinstatement fees for the lapse of
3 vehicle liability security; to provide for a decrease in reinstatement fees for lapse of
4 vehicle liability security coverage; to increase the grace period prior to the
5 imposition of reinstatement fees; and to provide for related matters.
6 Be it enacted by the Legislature of Louisiana:
7 Section 1. R.S. 32:863(A)(3)(a) is hereby amended and reenacted to read as follows:
8 §863. Sanctions for false declaration; reinstatement fees; revocation of registration;
9 review
10 A.
11 * * *
12 (3)(a) Sanctions for a violation of Paragraph (1) of this Subsection shall be
13 imposed until proof of required liability security is provided to the secretary and all
14 reinstatement fees are paid. Sanctions for a violation of Paragraph (2) of this
15 Subsection shall be imposed for a period of not less than twelve months nor more
16 than eighteen months. However, in no event shall these sanctions be removed until
17 such time as proof of the required security is provided to the secretary along with all
18 appropriate fees required by law, including a reinstatement fee of one hundred
19 dollars per violation of Paragraph (1) of this Subsection if the vehicle was not
20 covered by the required security for a period of one to thirty days, two hundred fifty
21 dollars if the vehicle was not covered by required security for a period of thirty-one
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HLS 26RS-746 REENGROSSED
HB NO. 582
1 to ninety days, and five hundred dollars if the vehicle was not covered by required
2 security for a period in excess of ninety days. No reinstatement fee shall be imposed
3 by the secretary if the vehicle was not covered by required security for a period of
4 ten fifteen days or less and the insured surrenders the vehicle's license plate to the
5 secretary within ten fifteen days or if the violation is the insured's first violation
6 pursuant to Paragraph (1) of this Subsection and the lapse of insurance coverage was
7 for ten fifteen days or less, provided that immediate notice of the cancellation is
8 given within one to five days before issuing the violation. A reinstatement fee of
9 fifty dollars shall be imposed if the vehicle was not covered by the required security
10 for a period of sixteen to thirty days provided the violation is the insured's first
11 violation pursuant to Paragraph (1) of this Subsection and immediate notice of the
12 cancellation is given within one to five days before issuing the violation. In addition,
13 notice shall be transmitted to the insured through any digitized credentials
14 established pursuant to R.S. 39:17.2(D) within one to five days before issuing the
15 violation. The reinstatement fees for violations of Paragraph (2) of this Subsection
16 shall be as follows: two hundred fifty dollars for a first violation, five hundred
17 dollars for a second violation, and one thousand dollars for a third or subsequent
18 violation. The reinstatement fee shall not be owed for an alleged violation of
19 Paragraph (2) of this Subsection when proof of the required security is provided to
20 the secretary within sixty days of the date of the notice. If at the time of
21 reinstatement, a person has multiple violations and is within sixty days of the notice,
22 the total amount of fees to be paid shall not exceed eight hundred fifty dollars for
23 violations of Paragraph (1) of this Subsection and one thousand seventy-five dollars
24 for violations of Paragraph (2) of this Subsection. At no time shall the total amount
25 of fees, including administrative fees, exceed two hundred fifty dollars for persons
26 sixty-five years or older. After sixty days of the date of the notice, all fees shall be
27 considered final delinquent debt and therefore owed, and the eight-hundred-fifty-
28 dollar limit for persons under sixty-five years shall no longer apply.
29 * * *
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CODING: Words in struck through type are deletions from existing law; words underscored
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HLS 26RS-746 REENGROSSED
HB NO. 582
DIGEST
The digest printed below was prepared by House Legislative Services. It constitutes no part
of the legislative instrument. The keyword, one-liner, abstract, and digest do not constitute
part of the law or proof or indicia of legislative intent. [R.S. 1:13(B) and 24:177(E)]
HB 582 Reengrossed 2026 Regular Session Bayham
Abstract: Decreases reinstatement fees for lapse of vehicle liability security coverage and
increases the grace period prior to the imposition of reinstatement fees.
Present law requires a reinstatement fee for a lapse in vehicle liability security as follows:
$100 per violation for lapses in coverage between one to 30 days; a reinstatement fee of
$250 for lapses in coverage between 31 to 90 days; and $500 for lapses in coverage in excess
of 90 days.
Present law provides a grace period where reinstatement fees will not apply if the vehicle
was uninsured for 10 days or less and the insured surrenders the license plate to the office
of motor vehicles within 10 days or if the violation is the insured's first violation, provided
immediate notice of cancellation was given within one to five days before issuing the
violation.
Proposed law extends the grace period in present law, prohibiting the imposition of
reinstatement fees for the lapse of insurance coverage, from 10 days or less to 15 days or
less, and applies the same period to the surrender requirement or if the violation is the
insured's first violation, provided immediate notice of cancellation was given within one to
five days before issuing the violation.
Proposed law requires a $50 reinstatement fee be imposed if the vehicle was not covered by
the required security for a period of 16 to 30 days provided the violation is the insured's first
violation and immediate notice of the cancellation is given within one to five days before
issuing the violation.
(Amends R.S. 32:863(A)(3)(a))
Summary of Amendments Adopted by House
The House Floor Amendments to the engrossed bill:
1. Restore present law regarding the reinstatement fee amounts for lapses of vehicle
liability security coverage for periods of one to thirty days, thirty-one to ninety
days, and in excess of ninety days.
2. Add a requirement that a $50 reinstatement fee be imposed if the vehicle was not
covered by the required security for a period of sixteen to thirty days provided
the violation is the insured's first violation and immediate notice of the
cancellation is given within one to five days before issuing the violation.
3. Make a technical change.
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CODING: Words in struck through type are deletions from existing law; words underscored
are additions.