Several new laws go into effect today and the Fair Claims Processing bill is one of them. The new law establishes a simple, clear timeline for the claims process that makes it easier for policyholders and property insurers to understand what their responsibilities are during the claim. River Ridge Senator Kirk Talbot.
“So the clock starts when the written proof of loss is sent in. When that adjuster comes to your house you say “Hey State Farm, my roof got blown off.” They come out write that report and submit the report. When that report is submitted that’s when the clock starts
The law gives insurance companies 30 days for residential and 60 days for commercial from when the “proof of loss” statement was submitted to pay the claims for non-declared catastrophes and an additional 30 days for name storms and declared catastrophes for residential and commercial properties.
‘When there is a major catastrophe insurance companies they physically can not get enough adjusters and properly write up your report. You’re gonna get some “jack-leg” who doesn’t know what hes doing to write up a report strictly just to meet the requirement of the 30 days.”
Talbot says there is no one new law that can lower insurance rates, but this legislation along with others approved in the last legislative session are taking steps lure more property insurers into Louisiana.
We need competition. Right now we just don’t have enough people writing. They’re gonna have to offer somebody a better deal. They’re gonna have to offer you or I a cheaper rate but the same policy.”
The Fair Claims Processing law aims to reduce unnecessary lawsuits and simplify the legal process with hopes of bringing back a competitive market for the Louisiana insurance market.
