HLS 10RS-1507 ENGROSSED
Page 1 of 2
CODING: Words in struck through type are deletions from existing law; words underscored
are additions.
Regular Session, 2010
HOUSE BILL NO. 698
BY REPRESENTATIVE HARRISON
INSURANCE/AUTOMOBILE: Provides with respect to arbitration or any other type of
binding mediation by automobile insurers for certain purposes
AN ACT1
To enact R.S. 22:1892.1, relative to automobile insurance; to provide with respect to the use2
of arbitration or any other type of binding mediation by automobile insurers for3
certain purposes; and to provide for related matters.4
Be it enacted by the Legislature of Louisiana:5
Section 1. R.S. 22:1892.1 is hereby enacted to read as follows: 6
ยง1892.1. Arbitration or other type of binding mediation by automobile insurers7
No automobile insurer shall use arbitration or any other type of binding8
mediation to determine fault for purposes of settling a claim resulting from an9
automobile accident for the purpose of raising insurance premiums of an insured10
without notifying the insured as to the percentage of fault prior to arbitration.11
Section 2. The provisions of this Act shall only apply to automobile insurance12
policies and contracts issued or renewed on or after June 1, 2010.13
Section 3. This Act shall become effective on June 1, 2010; if vetoed by the14
governor and subsequently approved by the legislature, this Act shall become effective on15
June 1, 2010, or on the day following such approval by the legislature, whichever is later.16 HLS 10RS-1507 ENGROSSED
HB NO. 698
Page 2 of 2
CODING: Words in struck through type are deletions from existing law; words underscored
are additions.
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)]
Harrison HB No. 698
Abstract: Prohibits the use of arbitration or any other type of binding mediation by
automobile insurers for certain purposes without notification to the insured.
Proposed law prohibits the use of arbitration or any other type of binding mediation by
automobile insurers to determine fault for purposes of settling a claim resulting from an
automobile accident for the purpose of raising premiums of an insured without notifying the
insured as to the percentage of fault prior to arbitration.
Proposed law provides that it shall only apply to automobile insurance policies or contracts
issued or renewed on or after June 1, 2010.
Effective June 1, 2010.
(Adds R.S. 22:1892.1)
Summary of Amendments Adopted by House
Committee Amendments Proposed by House Committee on Insurance to the original
bill.
1. Deleted provision prohibiting the use of arbitration or any other type of binding
mediation by insurers to determine fault for purposes of settling a claim resulting
from an automobile accident or of raising insurance premiums of an insured.
Also deleted provision prohibiting any such insurer from including any such
arbitration clause in any automobile insurance contract or policy.
2. Added provision prohibiting the use of arbitration or any other type of binding
mediation by insurers to determine fault for purposes of settling a claim resulting
from an automobile accident for the purpose of raising premiums of an insured
without notifying the insured as to the percentage of fault prior to arbitration.