AN ACT RELATING TO INSURANCE -- LIABILITY INSURANCE (Requires that insurance policies for property damage, personal injuries, and indemnification other than payment of compensation for workers compensation, state policy limits and no amount of the policy may be used to pay costs to defend a claim.)

S3198

2026 -- S 3198
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LC005218
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STATE OF RHODE ISLAND
IN GENERAL ASSEMBLY
JANUARY SESSION, A.D. 2026
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A N A C T
RELATING TO INSURANCE -- LIABILITY INSURANCE

Introduced By:
Senators Dimitri, Patalano, LaMountain, Famiglietti, Appollonio, and
Thompson

Date Introduced:
April 03, 2026

Referred To:
Senate Judiciary
It is enacted by the General Assembly as follows:
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SECTION 1. Chapter 27-7 of the General Laws entitled "Liability Insurance" is hereby
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amended by adding thereto the following section:
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27-7-1.1. Wasting policies prohibited.

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Every policy written insuring against liability for property damage or personal injuries or
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both, and every policy written indemnifying any person by reason of that liability, other than the
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payment of compensation under chapters 29 through 38 of title 28, shall state a policy limit to be
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available in full for payment of such claims. No portion of the policy limit may be used for the
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payment of fees or costs to defend a claim.
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SECTION 2. This act shall take effect upon passage.
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LC005218
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EXPLANATION
BY THE LEGISLATIVE COUNCIL
OF
A N A C T
RELATING TO INSURANCE -- LIABILITY INSURANCE
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This act would require that insurance policies for property damage, personal injuries, and
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indemnification other than payment of compensation for workers compensation, state policy limits
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and no amount of the policy may be used to pay costs to defend a claim.
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This act would take effect upon passage.
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LC005218
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