HLS 12RS-2242 ORIGINAL
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are additions.
Regular Session, 2012
HOUSE BILL NO. 1080
BY REPRESENTATIVE ROBIDEAUX
INSURERS/TAXES: Beginning Jan. 1, 2013, reduces the annual insurance premium tax on
certain insurance policies, contracts, and obligations over a five-year period
AN ACT1
To amend and reenact R.S. 22:831(A)(1) and 842, relative to insurance taxes; to provide2
relative to the annual tax on certain insurance policies, contracts, and obligations; to3
reduce the annual tax on certain insurance policies, contracts, and obligations over4
a certain period of time; and to provide for related matters.5
Be it enacted by the Legislature of Louisiana:6
Section 1. R.S. 22:831(A)(1) and 842 are hereby amended and reenacted to read as7
follows:8
§831. Fire, marine, transportation, casualty, surety, or other insurance9
A.(1)(a) Upon the business of issuing policies, contracts, or other forms of10
obligations covering the risk of fire, marine, transportation, surety, fidelity,11
indemnity, guaranty, workers' compensation, employers' liability, property damages,12
livestock, vehicle, automatic sprinkler, burglary, or insurance of any other kind13
whatsoever in this state not otherwise provided for in this Part, the minimum annual14
tax shall be one hundred eighty-five dollars when the gross annual gross direct15
written premiums shall be six thousand dollars or less; and when the gross annual16
gross direct written premiums shall be more than six thousand dollars, the amount17
of tax payable shall be increased to three hundred dollars for each additional ten18
thousand dollars, or fraction thereof, of gross annual gross direct written premiums.19 HLS 12RS-2242 ORIGINAL
HB NO. 1080
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(b) Notwithstanding the provisions of Subparagraph (a) of this Paragraph,1
when the annual gross direct written premiums are more than six thousand dollars,2
the amount of annual tax payable shall be as follows:3
(i) For the period beginning on January 1, 2013, and ending on December4
31, 2013, the amount of annual tax payable shall be two hundred sixty dollars for5
each additional ten thousand dollars, or fraction thereof, of annual gross direct6
written premiums;7
(ii) For the period beginning on January 1, 2014, and ending on December8
31, 2014, the amount of annual tax payable shall be two hundred twenty dollars for9
each additional ten thousand dollars, or fraction thereof, of annual gross direct10
written premiums;11
(iii) For the period beginning on January 1, 2015, and ending on December12
31, 2015, the amount of annual tax payable shall be one hundred eighty dollars for13
each additional ten thousand dollars, or fraction thereof, of annual gross direct14
written premiums;15
(iv) For the period beginning on January 1, 2016, and ending on December16
31, 2016, the amount of annual tax payable shall be one hundred forty dollars for17
each additional ten thousand dollars, or fraction thereof, of annual gross direct18
written premiums;19
(v) Beginning January 1, 2017, and thereafter, the amount of annual tax20
payable shall be one hundred dollars for each additional ten thousand dollars, or21
fraction thereof, of annual gross direct written premiums.22
(2) The business of issuing each of the kinds of insurance or contracts23
mentioned in this Section may be combined under one tax, and the amount of the tax24
shall be based on the combined gross annual premiums of all such businesses.25
* * *26
§842. Life, accident, health, or service insurance27
A.(1) Upon the business of issuing life, accident, health, or service insurance28
policies, or other forms of contracts or obligations covering such risks, or issuing29 HLS 12RS-2242 ORIGINAL
HB NO. 1080
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are additions.
endowment policies on contracts, or other similar forms of contract obligations, the1
minimum annual tax shall be one hundred forty dollars when the gross annual gross2
direct written premiums are seven thousand dollars or less. When the gross annual3
gross direct written premiums are more than seven thousand dollars, the amount of4
tax payable shall be increased to two hundred twenty-five dollars for each additional5
ten thousand dollars, or fraction thereof, of gross annual gross direct written6
premiums.7
(2) Notwithstanding the provisions of Paragraph (1) of this Subsection, when8
the annual gross direct written premiums are more than seven thousand dollars, the9
amount of annual tax payable shall be as follows:10
(a) For the period beginning on January 1, 2013, and ending on December11
31, 2013, the amount of annual tax payable shall be two hundred dollars for each12
additional ten thousand dollars, or fraction thereof, of annual gross direct written13
premiums;14
(b) For the period beginning on January 1, 2014, and ending on December15
31, 2014, the amount of annual tax payable shall be one hundred seventy-five dollars16
for each additional ten thousand dollars, or fraction thereof, of annual gross direct17
written premiums;18
(c) For the period beginning on January 1, 2015, and ending on December19
31, 2015, the amount of annual tax payable shall be one hundred fifty dollars for20
each additional ten thousand dollars, or fraction thereof, of annual gross direct21
written premiums;22
(d) For the period beginning on January 1, 2016, and ending on December23
31, 2016, the amount of annual tax payable shall be one hundred twenty-five dollars24
for each additional ten thousand dollars, or fraction thereof, of annual gross direct25
written premiums.26
(e) Beginning January 1, 2017, and thereafter, the amount of annual tax27
payable shall be one hundred dollars for each additional ten thousand dollars, or28
fraction thereof, of annual gross direct written premiums.29 HLS 12RS-2242 ORIGINAL
HB NO. 1080
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B. The business of issuing each of the kinds of insurance or contracts1
mentioned in this Section may be combined under one tax, and the amount of the tax2
shall be based on the combined gross annual premiums of all such businesses.3
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)]
Robideaux HB No. 1080
Abstract: Beginning Jan. 1, 2013, reduces the annual insurance premium tax on certain
insurance policies, contracts, and obligations over a five-year period when annual
gross direct written premiums are in excess of a certain amount.
Present law provides for an annual tax upon the issuance of policies, contracts, or other
forms of obligations covering the risk of fire, marine, transportation, surety, fidelity,
indemnity, guaranty, workers' compensation, employers' liability, property damages,
livestock, vehicle, automatic sprinkler, burglary, or insurance of any other kind whatsoever
in this state.
Present law provides that the minimum rate of the annual tax shall be $185 when gross
annual premiums shall be $6,000 or less; and when gross annual premiums in excess of
$6,000, the amount of tax shall be $300 for each additional $10,000 of gross annual
premiums.
Proposed law retains present law but specifies that the annual tax is based on the annual
gross direct written premiums rather than the gross premiums, and reduces the rate of the tax
when annual gross direct written premiums are in excess of $6,000 from $300 for each
additional $10,000 of annual gross direct written premiums to as follows:
(1)Beginning Jan. 1, 2013, through Dec. 31, 2013, the tax shall be $260 for each
additional $10,000 of annual gross direct written premiums;
(2)Beginning Jan. 1, 2014, through Dec. 31, 2014, the tax shall be $220 for each
additional $10,000 of annual gross direct written premiums;
(3)Beginning Jan. 1, 2015, through Dec. 31, 2015, the tax shall be $180 for each
additional $10,000 of annual gross direct written premiums;
(4)Beginning Jan. 1, 2016, through Dec. 31, 2016, the tax shall be $140 for each
additional $10,000 of annual gross direct written premiums;
(5)Beginning Jan. 1, 2017, and thereafter, the tax shall be $100 for each additional
$10,000 of annual gross direct written premiums.
Present law provides for an annual tax upon the issuance of life, accident, health, or service
insurance policies, or other forms of contracts or obligations covering such risks, or issuing
endowment policies on contracts, or other similar forms of contract obligations.
Present law provides that the minimum annual tax shall be $140 when the gross annual
premiums are $7,000 or less; and when gross annual premiums are in excess of $7,000, the
tax shall be $225 for each additional $10,000 of gross annual premiums. HLS 12RS-2242 ORIGINAL
HB NO. 1080
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CODING: Words in struck through type are deletions from existing law; words underscored
are additions.
Proposed law retains present law but specifies that the annual tax is based on the annual
gross direct written premiums rather than the gross premiums, and reduces the rate of the tax
when annual gross direct written premiums are in excess of $7,000 from $225 for each
additional $10,000 of annual gross direct written premiums to as follows:
(1)Beginning Jan. 1, 2013, through Dec. 31, 2013, the tax shall be $200 for each
additional $10,000 of annual gross direct written premiums;
(2)Beginning Jan. 1, 2014, through Dec. 31, 2014, the tax shall be $175 for each
additional $10,000 of annual gross direct written premiums;
(3)Beginning Jan. 1, 2015, through Dec. 31, 2015, the tax shall be $150 for each
additional $10,000 of annual gross direct written premiums;
(4)Beginning Jan. 1, 2016, through Dec. 31, 2016, the tax shall be $125 for each
additional $10,000 of annual gross direct written premiums;
(5)Beginning Jan. 1, 2017, and thereafter, the tax shall be $100 for each additional
$10,000 of annual gross direct written premiums.
(Amends R.S. 22:831(A)(1) and 842)