Real Reform’s 2022 Bipartisan Insurance Reform Agenda
By Eric Holl, Executive Director
Louisiana is in an insurance crisis. The legislature ignored the cries of victims of Hurricanes Laura and Delta and refused to pass significant insurance reform in the 2021 legislative session. Just a few months later another Category 5 storm, Hurricane Ida, struck our state. Now the people of Southeast Louisiana are languishing in the same insurance purgatory that Southwest Louisiana families have been stuck in for 18 months.
To make matters worse, the 2020 tort reform legislation that the insurance commissioner and corporate lobbyists promised would lower auto insurance rates by 25% has proven to be an abysmal failure. Instead of going down, our auto insurance rates have skyrocketed 19%, and Louisiana has become the most expensive state in the country for auto insurance.
Luckily, it is not too late to fix our broken insurance system and end the abuse of policyholders. Strong, meaningful insurance reform legislation has been introduced by a bipartisan group of legislators. All of it is commonsense legislation focused on creating transparency in the claims process, making insurance companies play by the rules, and increasing penalties on bad actors. Any insurance company currently conducting their business with decency and respect will be minimally impacted by this proposed legislation.
See below for a statement from Real Reform Louisiana Executive Director Eric Holl, followed by the full list of legislation Real Reform Louisiana is supporting and opposing as filed.
“We would like to thank Sen. Jeremy Stine, Rep. Ed Larvadain, Rep. Matthew Willard, Rep. Tanner Magee, Rep. Kyle Green, Rep. Edmond Jordan, Sen. Jay Luneau and the many other legislators who are standing up and fighting for policyholders. We would also like to thank Governor Edwards for including insurance reform in his legislative package. Thanks to this bipartisan group of leaders, Louisiana may finally get the insurance reform our people desperately need. The people of Louisiana are watching, and Real Reform Louisiana will be informing the public of how their legislators vote on this crucial legislation.”
SUPPORTED LEGISLATION:
Property Claims
- SB208 (Stine) — Increased penalties for bad actors. The main incentive insurance companies have to not cheat their policyholders—besides basic decency—is the threat of bad faith penalties that can be awarded if a court of law finds that the insurance company wasn’t following the law or their contract. Theoretically, bad faith penalties are supposed to be the deterrent that stops bad behavior by insurance companies. Clearly, the current penalties we have aren’t working, and must be strengthened. This legislation would do so. It would also add further increased penalties if an insurer is operating in bad faith and dragging out a claim for an extended period of time, in an effort to end the endless delay tactics insurance companies use to exhaust and frustrate hurricane victims. [Note: Similar legislation is expected to be filed in the House by Rep. Ed Larvadain, which Real Reform will also support]
- HB268 (Magee) and HB558 (Willard) — End insurance purgatory. Right now, insurance companies are required to pay claims shortly after receiving ”satisfactory proof of loss.” Unfortunately, insurance companies abuse that legal language, arbitrarily insisting they haven’t received “satisfactory proof of loss” for months on end in order to drag out claims and wear down desperate hurricane victims. These bills would limit the amount of time insurance companies have to obtain “satisfactory proof of loss” to stop the endless delays and end insurance purgatory.
- HB316 (Willard) and SB331 (Stine) — Claims transparency. Despite laws currently in place that entitle policyholders to their insurance policy and information on their claim, many policyholders report that their insurance company refuses to provide documents. This legislation would solve that by requiring insurance companies to proactively provide policyholders with claims materials they are already entitled to, so that the policyholder can understand their claim and advocate for themselves.
- HB692 (Larvadain) — Enforce the fraud laws we already have on the books. If laws are being violated by insurance companies, engineers, contractors, or anyone else after a storm, there needs to be investigation and enforcement. Unfortunately right now, there seems to be no law enforcement entity who considers it their responsibility to investigate potential fraud committed in the insurance claims process after a storm, especially if that fraud is committed by the insurance company or one of their representatives. This legislation would create a task force modeled after the Louisiana Automobile Theft and Insurance Fraud Prevention Authority that already exists in state government, focused on enforcing fraud laws against bad actors after named storms.
- HB317 (Willard) and SB150 (Luneau) — No more surprise deductibles. Many homeowners who file a claim after a hurricane say they were unaware that they had a ‘named storm deductible,’ which can be so high it renders their insurance policy useless. This legislation is modeled after current law on uninsured motorist policies in auto insurance. It would require policyholders to provide affirmative consent—like a signed form—agreeing to their named storm deductible before it can take effect as part of their policy. This will help consumers be better informed when purchasing their policy, and help insurance companies and agents avoid confusion and disputes over named storm deductibles when claims are filed.
- HB682 (Brown) and SB330 (Stine) — Adjuster registry. Many policyholders place their trust in the adjuster sent by the insurance company to begin adjusting their claim, only to find out later that that adjuster was inexperienced or unqualified. This bill would create a database of registered insurance adjusters that is easily accessible and digestible to policyholders, so that when the insurance company sends an adjuster to someone’s house, they can look them up and see if they are registered and qualified for the job.
- HB805 (Green) and SB355 (Gary Smith) — Stop mortgage companies from arbitrarily withholding checks. Right now, there are no rules governing how mortgage companies disburse checks they receive from insurance claims. As a result, homeowners can be left in the lurch while their bank earns interest on insurance money and the policyholder misses out on contractors. This bill creates reasonable rules for mortgage companies when handling insurance checks.
- SB209 (Stine) and SB210 (Stine) — Increase the fines the insurance commissioner can levy against insurance companies who break the rules.
- SB13 (Bouie) and SB345 (Gary Smith) — Limit insurance companies to three adjusters to stop the endless adjuster churn so many policyholders deal with.
- HB83 (Schlegel) and SB134 (Talbot) — Require insurance companies to honor the sections of their policies that cover costs for evacuation, even if the evacuation is only suggested by local government leaders, and not mandatory.
- SB231 (Henry) — Make uninhabitable mean uninhabitable. This legislation would stop insurance companies from claiming that dangerous living conditions with long term lack of basic utilities do not make a dwelling "uninhabitable." After Hurricane Ida, Louisianans died because their insurance company would not pay for them to find a safe place to stay.
- SB253 (Barrow) — Makes it illegal for insurance companies to discriminate against elderly and developmentally disabled policyholders.
- HB621 (Green) — Gives more time for policyholders to complete repairs.
- SB105 (Fesi) — Requires insurers to give 30 days notice of changes to policies that will happen at renewal.
- SB119, SB163 (Talbot) and SB232 (Stine) — Creates a Catastrophe Claims Consumer Guide and Catastrophe Claims Disclosure Form that must be given to policyholders.
- SB198 (Talbot) — Gives a point of contact and info on dispute to policyholder after they’ve dealt with three adjusters.
- SB214 (Luneau) — Requires out-of-state adjusters to return to Louisiana to testify in case of a legal dispute.
- SB352 (Fields) — Requires utility providers to issue a credit to customers who experience an outage of service for more than 24 hours.
- HB703 (Miller) — Requires disputes about contracts for repairs to residential property during a hurricane to take place in parish the property is located in.
- HB788 (Romero) — Provides for an out-of-state contractor database.
Automotive Claims
- HB351 (Jordan) - Bans the use of ridiculous non-driving rate setting factors like education level, employment status, trade, business, occupation, profession, or credit information. Insurance companies use these ridiculous factors to overcharge good drivers and undercharge wealthier, upper class reckless drivers. This hurts the entire insurance market by reducing incentives to drive safely and causing good drivers who work blue collar jobs or have low credit scores to go uninsured or underinsured because they’re being overcharged.
- HB116 (R. Carter) – Stops insurance companies from passing on the costs of their ubiquitous advertising to policyholders in their insurance premiums. Drivers shouldn’t have to pay for the cost of all those unavoidable ads featuring Emus, Geckos, Mayhem, and Jake.
- HB290 (R. Carter) - Provides for a five percent insurance rate reduction for motor vehicles with a dashboard camera.
OPPOSED LEGISLATION:
Property Claims
- HB539 (Firment) – Weakens current legal protections in place to ensure policyholders get the replacements and repairs they are entitled to.
Automotive Claims
- SB128 (Talbot), SB120 (Talbot) and HB705 (Seabaugh) – Like 2020’s failed tort reform legislation, these bills would further rig the courts against policyholders in order to pad corporate profit margins. And like 2020’s failed tort reform legislation, these bills would do nothing to lower insurance rates. They would give insurance companies more ways to delay and deny claims like they are doing to tens of thousands of hurricane victims across South Louisiana.
Paying More and Getting Less Louisiana families are paying more than ever for insurance. And while rates continue to skyrocket, insurance companies are reporting massive profits. According to recent industry data, insurers just posted their strongest underwriting results in 20 years. In Louisiana alone, insurers earned roughly $311 million in investment income from home and auto premiums in 2023—about $3.90 for every $100 paid by policyholders. Yet instead of strengthening protections for consumers, the insurance industry and its allies in the Legislature continue pushing laws that weaken consumer protections and gut policyholders’ legal rights. Over the past several years, lawmakers have passed measures that make it harder to hold insurers accountable when claims are delayed, denied, or underpaid. Legal protections that once helped level the playing field for Louisiana families have been steadily weakened—all while premiums continue rising. At the same time, Louisianans are being told these changes are necessary to “fix the market” and lower costs. Yet families across our state are paying more and getting even less. That’s why transparency and accountability matter. People deserve to know what is happening in Louisiana’s insurance market, who benefits from these legislative changes, and why consumers continue to shoulder the burden while insurers report strong profits.
Shocking investigation exposes a dangerous reality on America’s highways. 60 Minutes shared the findings of an 8-month investigation into a dangerous scheme that is putting all of us at risk on the road. Trucking companies are racking up major safety violations—then shutting down and reopening under new names to avoid accountability. Others are pushing drivers beyond legal limits, skipping inspections, and cutting corners—all to maximize profits while putting Louisiana families at risk. Let that sink in. These aren’t accidents. These are dangerous business decisions that put their profits ahead of your safety. And when tragedy strikes, guess what happens next? The trucking industry—and their insurance allies—turn around and try to pass laws that make it harder for victims to hold them accountable and put caps on what they can recover. That’s exactly what we’re seeing in Louisiana. The trucking industry and big insurance are blaming the victims—not the perpetrators of this grotesque, dangerous scheme. When lawmakers weaken your legal rights, they’re not just changing laws on paper—they’re tilting the system in favor of the very companies that cut corners and endanger lives. Because without strong legal accountability: Unsafe companies face fewer consequences Victims have fewer options And justice becomes harder to obtain Because here's the truth they don't want you to know: Your rights are the only thing that forces these companies to act responsibly. They’re the mechanism of justice that gives families a path to accountability and recovery when the unthinkable happens. That's what insurers and the trucking industry want to take away. We can’t let that happen.
Powerful testimony defeats big insurance. Dawn lost her three youngest children. Katie lost her brother and two sisters. They were killed by a drunk driver on their way home from a basketball game. Then, unbelievably, big insurance pushed a bill that would have capped what families like theirs could recover after a tragedy like this. That bill, HB 526 authored by Rep. Kelly Dickerson, would have limited recoverable damages for victims to $500,000—even in the most devastating cases. Big insurance companies and their allies pushed this idea, falsely claiming it would lower costs. But when Dawn and Katie spoke out, the truth became clear: this bill would have forced victims to accept an arbitrary limit on their loss and put a price on human life. Katie put it plainly: no amount of money can replace what her family lost—but this bill would have forced them to put a price on it. And in the end, their voices made the difference. The House committee voted down the bill , rejecting this attempt to cap justice for Louisiana families. It’s a powerful reminder that real people—not insurance companies—should shape the laws that impact our lives. And it shows that when we fight back, we can win. Stay engaged. Stay involved. Because the fight to strengthen consumer protections and victims' rights is not over. Watch local news coverage of the hearing here .
Oklahoma's lawsuit should get Louisiana lawmakers’ attention. With Louisiana’s legislative session underway and insurance top of mind, a major lawsuit filed in neighboring Oklahoma should raise serious questions for lawmakers concerned about the insurance industry’s conduct here at home. Republican Oklahoma Attorney General Gentner Drummond has filed a lawsuit accusing State Farm of using internal practices designed to systematically reduce payments to homeowners with legitimate storm damage claims. The lawsuit alleges the company collected premiums from policyholders while minimizing what it paid out when those same customers filed claims. Attorney General Drummond described the alleged conduct in stark terms: “What we have here is what I believe is an intentional scheme to defraud customers… a scheme of deception.” The case centers on how claims were handled after severe storms damaged homes across Oklahoma. According to the lawsuit, company practices may have been used to reduce payouts to policyholders who relied on their insurance to repair storm damage. For Louisiana families—many of whom suffered through Hurricanes Laura and Ida—this story hits close to home. We already face some of the highest insurance costs in the country, and many homeowners report delayed claims, denied payments, or settlements that fall far short of what it takes to rebuild after severe storms. The same insurance companies operating in Oklahoma operate here. In fact, State Farm is the largest home insurer in Louisiana, covering roughly one-fifth of the market. That’s why transparency, accountability, and strong consumer protections matter more now than ever. What’s unfolding in Oklahoma is a warning Louisiana lawmakers gathered in Baton Rouge should take seriously—because what’s happening there is on Louisiana’s doorstep.
Big Insurance said they were struggling. The numbers tell a different story. For years, big insurance companies have told Louisiana families the same thing: the business climate here is “unfavorable.” They blamed consumers and the courts, claiming there were too many claims and too much litigation. And on that basis, insurers raised rates, restricted claims, and pushed to strip away consumers' legal rights. Now the truth is coming out. State Farm — the largest auto insurer in Louisiana, covering roughly 30% of the market — is paying out a $5 billion dividend nationwide. That includes $136 million back to Louisiana drivers , averaging about $138 per vehicle. We are happy that some of that money is going back to consumers, but why are they paying out a dividend? Because their underwriting profits were stronger than expected. In plain English, they collected WAY more in premiums than they needed to pay claims. In 2025 alone, State Farm reported $1.5 billion in underwriting profit . But here's the kicker: underwriting or selling policies isn't even the main way insurers make money. They make most of their profits by investing the premiums you pay for insurance. And in 2025, State Farm made another $7 billion from investments and other income . Struggling companies don't make $8.5 billion in profit in a single year — and they don't issue massive rebates. The insurance industry is not being crushed by an “oppressive environment” in Louisiana. They are doing very well. Louisiana families are being crushed by unaffordable insurance rates. And we deserve better. We deserve honesty. We deserve accountability. Louisiana families deserve rates based on facts — not fear. It’s time to stop protecting insurance company profits and start protecting policyholders.
Why Property Insurance Rates Continue to Rise in Louisiana. Louisiana property insurance rates spiked by 4.4% in 2025 , resulting in a $135 million increase for policyholders statewide. Louisiana policyholders already pay the second-highest rates in the nation, at more than $3,800 above the national average. Why are property insurance rates continuing to climb in Louisiana? Because state regulators are ignoring the real problem. They are regulating the people of Louisiana, not the insurance industry. After Hurricanes Laura and Ida, 11 insurance companies collapsed — forcing stranded storm victims to go to court to recover what they were owed. Why did these companies go insolvent? Before the storms, those companies moved hundreds of millions of dollars off the books to unregulated affiliates, where they purchased executive perks like a $5.7 million hunting lodge. Their greed came first. Policyholders were an afterthought. While that was the most egregious behavior, other insurers routinely delayed and denied claims, sending victims through a maze of adjusters and paperwork. According to a 2022 survey by LSU , roughly half of all Louisiana residents were dissatisfied with how insurance companies handled property damage claims. Instead of demanding accountability from bad-faith insurers, Commissioner Temple has blamed storm victims at every turn. In a recent interview , Commissioner Temple chose to victim-blame Louisiana families. He said catastrophe-related litigation was a key driver in rising home insurance premiums, ignoring that the spike in litigation following the storms was due to bad-faith insurers failing to handle claims properly. In 2024, Temple declined to punish 17 shady insurers that generated an unusually high volume of complaints from policyholders after Hurricane Ida. Temple’s legislative packages have all focused on regulating the people of Louisiana by stripping away their legal rights, rather than the industry he was elected to regulate on their behalf. Commissioner Temple’s approach to Louisiana’s insurance crisis has made it harder for storm victims to file claims and easier for insurance companies to delay and deny claims, or cancel policies. Home insurers operating in Louisiana denied 44.6% of claims filed in 2024, according to Weiss Ratings . According to a recent poll , 85% of respondents say Louisiana’s insurance market is “poor” or “very poor.” Another survey shows that two-thirds of respondents saw a premium increase, roughly 50% struggled to find coverage, and approximately 1 in 10 reported having their policy cancelled by their insurer. Meanwhile , home insurers operating in Louisiana have invested your premium dollars to the tune of $88.3 billion and reported just $1.6 billion in underwriting losses, meaning they made $55 in profit for every dollar they lost. As a former insurance executive, Temple sees Louisiana’s insurance crisis through the lens of the insurance industry. Temple is blind to the plight of Louisiana policyholders. With the legislative session upon us, Louisiana policyholders need the legislature to step forward and pass common-sense laws that hold insurers accountable, strengthen consumer protections, and lower rates.
Credit penalties are jacking up home insurance rates that are crushing Louisiana policyholders. Year after year, the insurance industry opposes real insurance reforms that would lower rates by prohibiting insurers from penalizing Louisiana policyholders with poor credit. And year after year, the Louisiana legislature sides with industry, rejecting these basic consumer protections. Now, the Consumer Federation of America has published a bombshell report that calculates the price Louisiana policyholders pay for Commissioner Temple’s and the legislature’s allegiance to big insurance. According to the report, home insurance companies operating in Louisiana mark up home insurance policies an average of $3,754 for customers with poor credit; that’s an 87% increase. For those with middling credit, there is an increase of $1,503, a 35% increase. Home insurance should be based on risk, not credit. The tactic is particularly harmful in Louisiana, where we have the second-lowest average credit score . This unjust tactic unfairly penalizes individuals with poor credit, resulting in outrageous home insurance premiums in Louisiana that significantly exceed the risks associated with the policy. Louisianans can no longer afford to listen to the insurance industry. We are putting the fox in charge of the hen house. Louisiana desperately needs real insurance reforms that lower rates, protect consumers, and hold big insurance companies accountable. Real Reform Louisiana is a member of the Consumer Federation of America.
Is Louisiana in Good Hands with Commissioner Temple? Commissioner Tim Temple received nearly 75% of his campaign contributions from the insurance industry, as reported in the Advocate-Times Picayune. Commissioner Temple is a former insurance executive whose family owns an insurance company. Temple has pushed a radical anti-consumer agenda since being elected without opposition in 2023. Temple lifted profit caps for insurers, made it easier for them to raise rates, deny claims, and cancel policies —all while pushing legislation that makes it harder for Louisiana policyholders to file claims and hold insurers accountable. At the same time, insurance companies are reporting record profits. In 2024, the industry reported a 91% spike in profits, reaching a record $166.8 billion! In Louisiana, auto insurers had the third-highest profit in the country, while home insurers have reported $55 profit for every dollar lost since 2004. In short, Big Insurance has gotten its money's worth. Commissioner Temple’s job is to regulate the industry that funded his campaign. But instead of regulating insurance companies, Commissioner Temple has repeatedly pushed the industry’s agenda. Temple is regulating the people of Louisiana, making it harder for them to get claims paid and hold their insurer accountable. It’s a blatant conflict that should concern every Louisiana citizen and give pause to lawmakers following Temple off the tort reform cliff.
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