Louisiana 2024 Regular Session

Louisiana House Bill HB337

Introduced
2/29/24  
Introduced
2/29/24  
Refer
2/29/24  
Refer
2/29/24  
Refer
3/11/24  
Refer
3/11/24  
Report Pass
3/21/24  
Report Pass
3/21/24  
Engrossed
4/2/24  
Engrossed
4/2/24  
Refer
4/3/24  
Refer
4/3/24  
Report Pass
4/24/24  
Report Pass
4/24/24  
Enrolled
5/13/24  
Chaptered
5/23/24  

Caption

Provides relative to direct action against an insurer

Impact

The proposed alterations to the law are significant, as they could potentially increase the liability of insurers by allowing direct claims under expanded circumstances. The bill will repeal Article 411(D) of the Code of Evidence, which may previously restricted jury disclosures regarding insurance coverage during trials. By navigating around this limitation, the bill enhances the ability for plaintiffs to achieve settlements directly from insurers, shifting some traditional legal expectations in Louisiana regarding liability policies.

Summary

House Bill 337 aims to amend existing laws surrounding direct actions against insurers in Louisiana. Primarily, it sets out conditions under which a plaintiff can bring a direct action against an insurer rather than first needing to pursue claims against the insured party. This includes situations such as bankruptcy or insolvency of the insured, inability to serve process, or specific familial relationships where damages are involved. The bill is designed to streamline the process for injured parties, making it easier for them to seek recompense from insurers when the insured cannot be held accountable.

Sentiment

Sentiments surrounding HB 337 appear to be split, especially among legal practitioners and insurance advocates. Proponents argue that it supports victims' rights by ensuring that they have accessible routes for redress when the primary defendant is unable to respond to a claim. Conversely, critics express concern that this measure could potentially expose insurers to increased litigation, arguing that it might result in unreasonable claims against them and shift burdens onto insurers that they are unprepared for.

Contention

Notable points of contention in the discussions around HB 337 include the implications for insurers’ operational frameworks and the necessity of insurance in the legal landscape. Critics have raised alarms about the potential for this bill to lead to an overwhelming number of direct claims against insurers, which may ultimately increase insurance premiums or inhibit coverage availability for consumers. The bill's amendments, especially regarding how insurers might manage their defenses and the required notifications surrounding reservation of rights, make it a point of debate among stakeholders in both the insurance industry and legal communities.

Companion Bills

No companion bills found.

Previously Filed As

LA HB601

Provides relative to bad faith claims against insurers

LA HB178

Provides for venue for actions involving certain insurers

LA HB220

Provides relative to actions to determine ownership or possession

LA HB569

Provides relative to homeowners' insurance

LA HB511

Provides relative to the Louisiana Insurance Guaranty Association (EN SEE FISC NOTE GF RV See Note)

LA HB586

Provides for civil liability for actions related to fentanyl

LA HB125

Provides relative to agriculture land protection against foreign adversaries (EN INCREASE GF EX See Note)

LA HB579

Provides relative to pet insurance

LA SB147

Creates the Louisiana Churches and Nonprofit Religious Organizations Self-Insured Fund. (gov sig) (EN INCREASE SG EX See Note)

LA HB607

Provides relative to bad faith

Similar Bills

No similar bills found.