Louisiana Insurance Commissioner Tim Temple says many property owners and drivers are seeing a drop in insurance premiums, but rates for commercial auto insurance continue to go up. Temple says that’s because those polices carry higher limits.
“Those are the trucks, vehicles, delivery vans, plumber vehicles, HVAC; anything that’s owned by a company and moves on wheels; that’s a commercial vehicle. Those rates are still going up,” Temple explained.
Temple says one legislative proposal that could help bring down commercial auto rates is a General Damage Cap bill. He says a person’s medical bills and the cost to repair a damage vehicle would still be covered, but a person involved in a car wreck could not recover damages that are not quantifiable.
“The pain and suffering, if you will, the inconvenience that people get awarded these big numbers. It would put a cap on that,” Temple said.
Temple says 17 other states have a General Damage Cap law, including Mississippi.
Temple says there were several bills in the recently completed legislative session that could have helped bring down commercial auto insurance rates, but they didn’t pass. Including a measure by Shreveport Representative Michael Melerine that said expert witnesses brought in to testify in a trial can only receive a fee for payment.
“Because there are expert witnesses out there, we’re told, that actually, they get a contingent. They could actually make money if the trial goes their way. So it potentially skews what they might have to say,” Temple noted.
The House approved that bill, but it was never heard in the Senate