Indiana 2025 Regular Session

Indiana Senate Bill SB0024 Compare Versions

Only one version of the bill is available at this time.

Old	New	Differences
1	1
2	2	Introduced Version
3	3	SENATE BILL No. 24
4	4	_____
5	5	DIGEST OF INTRODUCED BILL
6	6	Citations Affected: IC 27-1-22-4.2.
7	7	Synopsis: Regulation of premium increases. Provides that certain
8	8	insurance providers may not request to raise the insurer's rate more
9	9	than 10% in any one year. Requires certain insurance providers to
10	10	justify any requested rate increase to the insurance commissioner.
11	11	Effective: July 1, 2025.
12	12	Tomes
13	13	January 8, 2025, read first time and referred to Committee on Insurance and Financial
14	14	Institutions.
15	15	2025 IN 24—LS 6200/DI 154 Introduced
16	16	First Regular Session of the 124th General Assembly (2025)
17	17	PRINTING CODE. Amendments: Whenever an existing statute (or a section of the Indiana
18	18	Constitution) is being amended, the text of the existing provision will appear in this style type,
19	19	additions will appear in this style type, and deletions will appear in this style type.
20	20	Additions: Whenever a new statutory provision is being enacted (or a new constitutional
21	21	provision adopted), the text of the new provision will appear in this style type. Also, the
22	22	word NEW will appear in that style type in the introductory clause of each SECTION that adds
23	23	a new provision to the Indiana Code or the Indiana Constitution.
24	24	Conflict reconciliation: Text in a statute in this style type or this style type reconciles conflicts
25	25	between statutes enacted by the 2024 Regular Session of the General Assembly.
26	26	SENATE BILL No. 24
27	27	A BILL FOR AN ACT to amend the Indiana Code concerning
28	28	insurance.
29	29	Be it enacted by the General Assembly of the State of Indiana:
30	30	1 SECTION 1. IC 27-1-22-4.2 IS ADDED TO THE INDIANA CODE
31	31	2 AS A NEW SECTION TO READ AS FOLLOWS [EFFECTIVE JULY
32	32	3 1, 2025]: Sec. 4.2. (a) Notwithstanding section 2 of this chapter, this
33	33	4 section applies only to the establishment or adjustment of rates for
34	34	5 the following:
35	35	6 (1) Homeowners and renters property and liability insurance
36	36	7 issued to individuals.
37	37	8 (2) Property and liability insurance on motor vehicles owned
38	38	9 and operated by individuals.
39	39	10 (b) An insurer shall not request to raise the insurer's rate more
40	40	11 than ten percent (10%) in any one (1) year.
41	41	12 (c) An insurer must justify a request for a rate increase by
42	42	13 submitting an explanation for the proposed rate increase to the
43	43	14 commissioner.
44	44	15 (d) If an insurer seeks a rate increase under subsection (c), the
45	45	16 commissioner shall review the insurer's request, and ensure that
46	46	17 the proposed rate increase is based on justifiable factors, including:
47	47	2025 IN 24—LS 6200/DI 154 2
48	48	1 (1) changes in risk assessment;
49	49	2 (2) market conditions;
50	50	3 (3) an insurer's claims history;
51	51	4 (4) an insurer's combined ratio; and
52	52	5 (5) inflation.
53	53	6 (e) If the commissioner finds that the proposed rate increase
54	54	7 sought by an insurer under subsection (c) is based on profit
55	55	8 maximization or is otherwise unacceptable under subsection (b) or
56	56	9 section 3 of this chapter, the commissioner must deny the insurer's
57	57	10 request for a rate increase.
58	58	2025 IN 24—LS 6200/DI 154