The original instrument and the following digest, which constitutes no part of the
legislative instrument, were prepared by Julie J. Baxter.
DIGEST
SB 206 Engrossed 2015 Regular Session Nevers
Present law provides that no policy or contract of liability insurance shall be issued or delivered in
this state, unless it contains provisions to the effect that the insolvency or bankruptcy of the insured
shall not release the insurer from the payment of damages for injuries sustained or loss occasioned
during the existence of the policy, and any judgment which may be rendered against the insured for
which the insurer is liable which shall have become executory, shall be deemed prima facie evidence
of the insolvency of the insured, and an action may thereafter be maintained within the terms and
limits of the policy by the injured person, or his survivors, mentioned in Civil Code Art. 2315.1, or
heirs against the insurer.
Present law further provides that the injured person or his survivors or heirs mentioned in present
law, at their option, shall have a right of direct action against the insurer within the terms and limits
of the policy; and, such action may be brought against the insurer alone, or against both the insured
and insurer jointly and in solido, in the parish in which the accident or injury occurred or in the
parish in which an action could be brought against either the insured or the insurer under the general
rules of venue prescribed by Code of Civil Procedure Art. 42 only; however, such action may be
brought against the insurer alone only when at least one of the following applies:
(1)The insured has been adjudged bankrupt by a court of competent jurisdiction or when
proceedings to adjudge an insured bankrupt have been commenced before a court of
competent jurisdiction.
(2)The insured is insolvent.
(3)Service of citation or other process cannot be made on the insured.
(4)When the cause of action is for damages as a result of an offense or quasi-offense between
children and their parents or between married persons.
(5)When the insurer is an uninsured motorist carrier.
(6)The insured is deceased.
Proposed law retains present law and adds that an additional instance in which such action may be
brought against the insurer alone shall be when the insured is a small business employing 50 or fewer
full-time employees.
Effective August 1, 2015. (Amends R.S. 22:1269(B)(1))