Louisiana Senate Bill SB251

Louisiana 2015 Regular Session

• Introduced: 4/3/15
• Refer: 4/3/15
• Refer: 4/13/15

Caption

Requires that unclaimed Louisiana Citizens Property Insurance Corporation assessments be returned to homeowners by the Department of Insurance. (1/1/16)

Impact

The bill introduces mandatory quarterly reporting by the Department of Insurance to the relevant legislative committees, ensuring oversight of the refund program's status. It outlines a clear process for handling tax credits associated with assessments, establishing a deadline for homeowners to apply for refunds related to previous years. Notably, tax credits for these insurance assessments from taxable years prior to 2015 will expire, reinforcing a change in how such credits are managed moving forward.

Summary

Senate Bill 251, proposed by Senator Heitmeier, aims to establish a mechanism for the refund of certain assessments by the Louisiana Citizens Property Insurance Corporation to homeowners. The bill specifies that beginning January 1, 2016, homeowners may be eligible for refunds of these assessments provided that they maintain sufficient documentation of their annual property insurance policy renewal. This proposed law reflects an effort to streamline the process of returning funds to homeowners who have been assessed but have not claimed their credits in previous taxable years.

Sentiment

Overall, the sentiment surrounding SB 251 appears to be cautiously optimistic among homeowners advocating for greater financial relief. Supporters argue that the measure simplifies the reimbursement process for homeowners and provides necessary oversight by requiring reports on the status of refunds. However, some may view the legislation skeptically, especially those who question the effectiveness of state oversight and the adequacy of documentation requirements that homeowners must fulfill to receive refunds.

Contention

A potential point of contention is the requirement for homeowners to provide sufficient documentation to qualify for refunds, which could inadvertently create barriers for some homeowners. Furthermore, with the sunset of tax credits for earlier years, discussions may arise about the fairness of limiting the timeframe within which homeowners can claim their refunds. This legislation highlights the ongoing issues surrounding property insurance assessments in Louisiana and the broader implications for consumer rights and protections within the state's insurance regulatory framework.