SLS 23RS-351 REENGROSSED
2023 Regular Session
SENATE BILL NO. 190
BY SENATOR SMITH
Prefiled pursuant to Article III, Section 2(A)(4)(b)(i) of the Constitution of Louisiana.
CONTRACTORS. Provides relative to certain payments for home improvement contracting
services. (8/1/23)
1 AN ACT
2 To amend and reenact R.S. 37:2159.1(7)(a), relative to home improvement contracting; to
3 prohibit contractors from engaging in certain acts related to an insured's property
4 insurance claim; to provide relative to the assignment of any rights, benefits,
5 proceeds, or causes of action of an insured; to provide for terms, requirements, and
6 conditions; and to provide for related matters.
7 Be it enacted by the Legislature of Louisiana:
8 Section 1. R.S. 37:2159.1(7)(a) is hereby amended and reenacted to read as follows:
9 ยง2159.1. Home improvement contracting; prohibited acts; property insurance
10 The following acts are prohibited by persons or companies performing home
11 improvement contracting services:
12 * * *
13 (7)(a) Accepting an assignment of any rights, benefits, proceeds, or causes
14 of action of an insured under a property insurance policy prior to completing the
15 work described in the home improvement contract and the property insurer
16 conducting its initial examination of the damage caused by the covered peril. The
17 assignment of any rights, benefits, proceeds, or causes of action shall be limited to
Page 1 of 2
Coding: Words which are struck through are deletions from existing law;
words in boldface type and underscored are additions. SB NO. 190
SLS 23RS-351 REENGROSSED
1 the scope of work and fees provided in the home improvement contract, which shall
2 comply with the provisions of R.S. 37:2159.1. Prior to any payment to a person
3 or company performing home improvement contracting services by the
4 property insurer pursuant to an assignment of any rights, benefits, proceeds, or
5 causes of action, the insured shall approve of the payment in writing.
6 * * *
The original instrument and the following digest, which constitutes no part
of the legislative instrument, were prepared by Xavier I. Alexander.
DIGEST
SB 190 Reengrossed 2023 Regular Session Smith
Present law provides that a home improvement contractor is prohibited from accepting any
assignment of any rights, benefits, proceeds, or causes of action of an insured under a
property insurance policy prior to completing the work. Present law further provides that the
assignment of any right, benefits, proceeds, or causes of action shall be limited to the scope
of work and fees provided in the contract.
Proposed law retains present law and further provides that the insured shall approve of the
payments in writing that are made by the property insurer to the home improvement
contractor pursuant to an assignment of any rights, benefits, proceeds, or causes of action.
Effective August 1, 2023.
(Amends R.S. 37:2159.1(7)(a))
Summary of Amendments Adopted by Senate
Committee Amendments Proposed by Senate Committee on Commerce, Consumer
Protection, and International Affairs to the original bill
1. Make technical changes.
Senate Floor Amendments to engrossed bill
1. Make technical changes.
Page 2 of 2
Coding: Words which are struck through are deletions from existing law;
words in boldface type and underscored are additions.