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 317 Reengrossed 2022 Regular Session Willard
Abstract: Provides for hurricane, named storm, and wind and hail deductibles.
Present law provides that for all homeowners' insurance policies or other policies insuring a one- or
two-family owner occupied premises for fire and allied lines, issued or renewed by authorized
insurers on or after Jan. 1, 2010, any separate deductible that applies in place of any other deductible
to loss or damage resulting from a named storm or hurricane shall be applied on an annual basis to
all named-storm or hurricane losses that are subject to the separate deductible during a calendar year.
Present law permits an insurer to apply a deductible to succeeding named storms or hurricanes that
is equal to the remaining amount of the separate deductible, or the amount of the deductible that
applies to all perils other than a named storm or hurricane, whichever
is greater if an insured incurs named storm or hurricane losses from more than one named
storm or hurricane during a calendar year that are subject to the separate deductibles referred
to in present law.
Proposed law retains present law.
Proposed law requires the commissioner to prescribe a separate form regarding named storm,
hurricane, and wind and hail deductibles proposed in a homeowner's insurance policy
that lists the specific amount for each deductible expressed as a percentage of the insured value of
the property, or as a specific dollar amount, or as both.
Proposed law provides that for new policies with an effective date after Jan. 1, 2023, an insurer shall
provide the form and request that it be signed by the named insured or his legal representative.
Proposed law provides that the completion of a new form shall not be required if a renewal,
reinstatement, substitute, or amended policy is issued to the same named insured by the same insurer
or any of its affiliates.
Proposed law provides that an insurer shall provide a new form and request that it be signed by the
named insured or his legal representative, if the insurer changes the percentage or specific dollar
amount of a deductible.
Proposed law provides that if the policy uses a percentage deductible, the new form will not be
required if the dollar amount of the deductible changes, because of an increase in policy limits;
however a new form is required if the percentage changes. Proposed law provides that the form is for informational purposes only.
Proposed law provides that if a policy is purchased using electronic means or the insured elects to
receive documents electronically, the insurer shall transmit the form to the insured electronically and
provide a method whereby the insured may sign the form electronically.
Proposed law provides that nothing in proposed law shall be interpreted to create a cause of action
not otherwise provided by law.
Effective Jan. 1, 2023.
(Adds R.S. 22:1337(D))
Summary of Amendments Adopted by House
The Committee Amendments Proposed by House Committee on Insurance to the original bill:
1. Specify that the deductible form shall be provided to and signed by insureds for policies
with an effective date after Jan. 1, 2023.
2. Remove the provision of proposed law that provided that the deductible form shall
become a part of the policy.
3. Provide that the deductible form shall be valid for the life of the policy.
4. Provide certain circumstances in which a new deductible form is required and certain
circumstances in which a new deductible form is not required.
5. Provide that a new deductible form provided to an insured is for informational purposes
only and shall not affect the terms of the policy.
6. Provide for certain circumstances in which the insurer is required to provide the
deductible form to the insured electronically and provide a method whereby the insured
can sign the form electronically.
7. Provide that proposed law shall not be interpreted to create a cause of action not
otherwise provided by law.
8. Remove the provision in proposed law that required the deductible form to be signed by
the insured prior to any agreement changing the amount of any deductible.
The House Floor Amendments to the engrossed bill:
1. Provide that for new policies with an effective date after Jan. 1, 2023, an insurer shall
provide the form and request that it be signed by the named insured or his representative. 2. Provide that an insurer shall provide a new form and request that it be signed by the
named insured or his legal representative, if the insurer changes the percentage or
specific dollar amount of any named storm, hurricane, or wind and hail deductible listed
in the policy.