HLS 21RS-439 ENGROSSED
2021 Regular Session
HOUSE BILL NO. 467
BY REPRESENTATIVE JORDAN
Prefiled pursuant to Article III, Section 2(A)(4)(b)(i) of the Constitution of Louisiana.
INSURANCE/AUTOMOB ILE: Prohibits the use of certain rating factors in automobile
insurance underwriting
1 AN ACT
2To amend and reenact R.S. 22:1454(A) and to repeal Subpart P of Part IV of Chapter 4 of
3 Title 22 of the Louisiana Revised Statutes of 1950, comprised of R.S. 22:1501
4 through 1514, relative to insurance rating standards and methods; to prohibit rate
5 classification based on an insured's credit information, education level, home
6 ownership, employment, or profession; to remove regulations regarding the use of
7 credit information; and to provide for related matters.
8Be it enacted by the Legislature of Louisiana:
9 Section 1. R.S. 22:1454(A) is hereby amended and reenacted to read as follows:
10 ยง1454. Rating standards and methods
11 A. Rates shall not be inadequate or unfairly discriminatory in a competitive
12 market. Rates shall not be excessive, inadequate, or unfairly discriminatory in a
13 noncompetitive market. Risks may be classified using any criteria except that no
14 risk shall be classified on the basis of race, color, creed, education level,
15 employment, trade, business, occupation, profession, home ownership, credit
16 information, or any information derived from an insured's credit report, or national
17 origin. The prohibited factors identified in this Subsection shall not be used in any
18 way in determining policy premiums.
19 * * *
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CODING: Words in struck through type are deletions from existing law; words underscored
are additions. HLS 21RS-439 ENGROSSED
HB NO. 467
1 Section 2. Subpart P of Part IV of Chapter 4 of Title 22 of the Louisiana Revised
2Statutes of 1950, comprised of R.S. 22:1501 through 1514, is hereby repealed in its entirety.
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)]
HB 467 Engrossed 2021 Regular Session Jordan
Abstract: Prohibits the use of certain rating factors in automobile insurance underwriting.
Present law prohibits inadequate or unfairly discriminatory rates in a competitive market.
Present law prohibits rates from being excessive, inadequate, or unfairly discriminatory in
a noncompetitive market.
Present law authorizes risk classification based on any criteria except race, color, creed, or
national origin.
Proposed law retains present law and further prohibits risk classification based on a person's
credit information, education level, home ownership, employment, trade, business,
occupation, or profession.
Present law regulates the use of credit information for personal insurance.
Proposed law repeals present law.
Proposed law provides that the prohibited factors in risk classification shall not be used in
determining policy premiums.
(Amends R.S. 22:1454(A); Repeals R.S. 22:1501-1514)
Summary of Amendments Adopted by House
The Committee Amendments Proposed by House Committee on Insurance to the
original bill:
1. Make technical changes.
2. Add home ownership and any information derived from an insured's credit report
to the list of prohibited factors in risk classification.
3. Provide that the prohibited factors in risk classification shall not be used in
determining policy premiums.
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CODING: Words in struck through type are deletions from existing law; words underscored
are additions.