Both insurance-related bills from special session signed into law by governor
BATON ROUGE, La. (WAFB) - Two bills that will impact insurance in Louisiana have been signed into law by Louisiana Governor John Bel Edwards.
The La. Senate and the La. State House of Representatives both also passed HB1 and HB2.
HB1 appropriates $45 million in grants to lure more insurance companies to Louisiana. HB2 keeps companies that previously filed for bankruptcy from being eligible for the incentives.
The governor’s office released the following statement about the end of the insurance fund special session:
BATON ROUGE, La. (WAFB) - On Thursday, Feb. 2 both bills stood the test before the Senate Finance Committee, leaving them with one more hurdle to get through.
Members of the committee got their turn to question the commissioner’s plan to incentivize insurance companies to come to Louisiana. Several wondered how things would go with Senator White (R) as the chairman after the commissioner blamed the senator for the lack of funding in the program. White says the commissioner never asked him for funding for the incentive program.
The commissioner said he was wrong for what he said. After the exchange lawmakers moved on and ended up stripping the amendment that was added yesterday to require companies using grants to get 25% of their policies from citizens, the state-run property insurance company. Saying they were not sure it fell within the legal confines of the special session agenda set by Governor Edwards. Also adding the commissioner could add provisions to the program from his office.
Both bills head to the Senate floor for debate and a vote tomorrow. But because there were changes made it will have to get a second vote from the full House before heading to the governor’s desk. Lawmakers hope to have everything wrapped up by Friday but they have until 6 p.m. Sunday to get everything completed.
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