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Coding: Words which are struck through are deletions from existing law;
words in boldface type and underscored are additions.
Regular Session, 2010
SENATE BILL NO. 673
BY SENATOR HEBERT
INSURANCE COMMISSIONER. Provide for the filing of annual audited financial
statements by certain public trust funds. (8/15/10).
AN ACT1
To amend and reenact R.S. 22:46(9)(b), (c), and (d), relative to the commissioner of2
insurance; to provide for the filing of annual audited statements by certain3
professional, trade, and occupational or public liability trust funds; and to provide4
for related matters.5
Be it enacted by the Legislature of Louisiana:6
Section 1. R.S. 22:46(9)(b), (c), and (d) are hereby amended and reenacted to read7
as follows: 8
ยง46. General definitions9
In this Code, unless the context otherwise requires, the following definitions10
shall be applicable:11
* * *12
(9) (a) * * *13
(b) The establishment and operation of one or more professional or public14
liability trust funds by a statewide hospital association in this state for the purpose15
of providing a means by which any type of professional malpractice or public16
liability claims or judgments arising from such claims against hospitals which are17 SB NO. 673
SLS 10RS-730 ENGROSSED
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Coding: Words which are struck through are deletions from existing law;
words in boldface type and underscored are additions.
members of the association and claims against members of societies of the1
association shall be paid or settled shall not be deemed to be insurance and such trust2
or trusts shall not be deemed to be licensed, admitted or authorized insurers but shall3
be subject to Subpart E of Part III of Chapter 2, R.S. 22:651 et seq., Part IV of4
Chapter 7, R.S. 22:1961 et seq., and Chapters 8 and 12 of this Title, R.S. 22:1981 et5
seq. and R.S. 22:2191 et seq. An annual audited statement for each such trust shall6
be filed with the commissioner of insurance by June thirtieth of each year for the7
immediately preceding year ending December thirty-first or within six months8
of the close of the fiscal year, if records are not maintained on a calendar year9
basis. The commissioner of insurance shall also have the authority to examine the10
books, records and affairs of the trust funds.11
(c) The establishment and operation of professional and public liability trust12
funds by a nonprofit beneficiary organization as set forth in Subpart N of Part I of13
Chapter 2 of this Title, R.S. 22:401 et seq., shall not be deemed to be insurance and14
the trusts shall not be deemed to be a licensed, admitted, or authorized insurer but15
shall be subject to Subpart E of Part III of Chapter 2, Part IV of Chapter 7, and16
Chapters 8 and 12 of this Title. An annual audited statement shall be filed with the17
commissioner of insurance by June thirtieth of each year for the immediately18
preceding year ending December thirty-first or within six months of the close19
of the fiscal year, if records are not maintained on a calendar year basis. The20
commissioner of insurance shall also have the authority to examine the books,21
records, and affairs of the trust fund.22
(d) The establishment and operation of one or more professional, trade, and23
occupational or public liability trust funds by professional associations in this state24
for the purpose of providing a means by which professional malpractice and public25
liability claims or judgments arising from such claims against members of the26
associations shall be paid or settled shall not be deemed to be insurance, and the trust27
shall not be deemed to be a licensed, admitted, or authorized insurer but shall be28
subject to Subpart E of Part III of Chapter 2, Part IV of Chapter 7, and Chapters 829 SB NO. 673
SLS 10RS-730 ENGROSSED
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Coding: Words which are struck through are deletions from existing law;
words in boldface type and underscored are additions.
and 12 of this Title. An annual audited statement shall be filed with the1
commissioner of insurance by June thirtieth of each year for the immediately2
preceding year ending December thirty-first or within six months of the close3
of the fiscal year, if records are not maintained on a calendar year basis. The4
commissioner of insurance shall also have the authority to examine the books,5
records, and affairs of the trust fund.6
* * *7
The original instrument and the following digest, which constitutes no part
of the legislative instrument, were prepared by Linda Nugent.
DIGEST
Hebert (SB 673)
Present law provides that the definition of "insurance" does not include professional or
public liability trust funds established and operated by a statewide hospital association or a
nonprofit beneficiary organization, nor does it include professional, trade, and occupational
or public liability trust funds established and generated by professional associations for the
purpose of providing a means by which certain claims are paid. Requires that an annual
audited statement for each such trust be filed with the commissioner of insurance.
Proposed law retains present law and specifies that the annual audited statement be filed with
the commissioner of insurance by June 30 of each year for the immediately preceding year
ending December 31 or within six months of the close of the fiscal year, if records are not
maintained on a calendar year basis.
Effective August 15, 2010.
(Amends R.S. 22:46(9)(b), (c), and (d))