Latest news with #Firment
Yahoo
28-05-2025
- Business
- Yahoo
Louisiana homeowners might get option to insure their properties for ‘stated value'
Studies show that AI systems used to make important decisions such as approval of loan and mortgage applications can perpetuate historical bias and discrimination if not carefully constructed and monitored. () The Louisiana House of Representatives approved a bill Tuesday that would require insurance companies to let homeowners purchase 'stated value' policies, which cover the home for an amount they declare rather than for its full market value. House Bill 356, sponsored by Rep. Jacob Braud, R-Belle Chasse, cleared the chamber in a 79-20 vote and will head to the Senate for consideration. Braud said his proposal would allow people who do not have a mortgage to purchase a more affordable homeowner's policy. Some homeowners prefer to take on the added risk of having to come out of pocket for damages if it allows them to pay less in homeowner insurance premiums now, he added. 'The premium costs have just been through the roof,' Braud said, citing what many of his constituents have said about their policies. He and several of his colleagues championed the bill as a pro-consumer measure. Rep. Tim Kerner, R-Lafitte, said Braud's legislation might be the only one this year that actually helps homeowners with affordability. 'The downside is that if something happens to their home during a hurricane, they're not gonna be able to replace it if it goes down,' Kerner told Braud on the House floor. 'Well, let me tell you something, I know people losing their houses now.' Rep. Gabe Firment, R-Pollock, opposed the bill's mandate that all residential property insurers in the state create such policies upon request. Firment, who chairs the House Committee on Insurance, has spearheaded many of the tort reform bills this session in an effort to reduce premiums. 'If we mandate every insurance company in the state to provide this product, I think people in South Louisiana will use it,' Firment said. 'They'll be sold a bill of goods without understanding because they're desperate.' Firment said he believes the proposal would shift insurance costs to other parts of the state and lead to an increase in blighted property from people abandoning their damaged homes after storms. This legislative session, lawmakers have largely addressed Louisiana's insurance crisis on the auto coverage front, passing a package of so-called 'tort reform' bills that give insurance companies certain protections or advantages in litigation, making it harder for accident victims to file successful lawsuits. Braud's bill is one of the few proposals that addresses the other component of the crisis: the skyrocketing cost of homeowner insurance that has mostly affected South Louisiana. The only way to truly address the crisis was to make the provisions of his bill mandatory, he said. 'It was clear to me that the insurers did not care to make this product,' Braud said, adding that he believes it would mostly be purchased in extreme cases. Insurers would only have to offer a stated value policy at a homeowner's request, rather than make it a default level of coverage. The proposal moves next to the Senate for consideration. SUBSCRIBE: GET THE MORNING HEADLINES DELIVERED TO YOUR INBOX
Yahoo
14-05-2025
- Automotive
- Yahoo
The undocumented can buy auto insurance in Louisiana, but their injury claims could soon be limited
Vehicles speed down Louisiana Highway 19 in East Baton Rouge Parish where average car insurance rates are among the highest in the nation. (Photo: Wes Muller/Louisiana Illuminator) A proposal to prohibit auto accident victims who aren't lawful U.S. residents from recovering insurance money for injuries is nearing final passage in the Louisiana Legislature. House Bill 436, sponsored by Rep. Gabe Firment, R-Pollock, cleared the Senate Committee on Judiciary A in a 4-3 vote along party lines Tuesday with Republicans prevailing. The measure heads to the floor for final passage. 'I can't wait to read the bad press,' committee chairman Sen. Greg Miller, R-Norco, said shortly after the committee adjourned. Firment's bill would prohibit 'unauthorized aliens' — defined in the measure as individuals illegally in the United States under federal immigration law — from receiving insurance payouts for general damages in auto accidents. General damages include compensation for pain and suffering. The proposal would still allow recovery for 'special damages,' such as medical expenses and property damage. Firment said the purpose of his bill is to help address the state's auto insurance crisis while discouraging undocumented immigration. Sen. Sam Jenkins, D-Shreveport, said Firment's bill would create a 'double standard' by allowing insurance companies to profit off migrants without legal status while not facing much risk. Insurers would still be able to sell coverage to noncitizens but would not have to cover their damages in certain situations, he said. Louisiana auto insurance proposals include limits on 'unauthorized alien' lawsuits Sen. Jay Luneau, D-Alexandria, argued that same point. 'Insurance companies do sell insurance to illegal aliens,' Luneau said. '… As long as they have a passport, they will sell them insurance, including uninsured motorist [coverage]. So under your bill, they would not be able to collect for the bodily injury portion of that claim, so they're buying an insurance policy that they can't collect on.' Firment said his bill would not stop insurers from voluntarily paying or settling a bodily injury claim for an undocumented immigrant. He also mentioned a commercial trucking company owner who recently laid off five drivers due to the high cost of auto insurance in Louisiana. 'If there's anything I can do to help those folks, that's what I'm here for,' Firment said. SUBSCRIBE: GET THE MORNING HEADLINES DELIVERED TO YOUR INBOX
Yahoo
06-05-2025
- Business
- Yahoo
Louisiana lawmakers push for reform amid auto insurance crisis
BATON ROUGE, La. (Louisiana First) — Louisiana is the most unaffordable state in the nation for auto insurance, according to state lawmakers, prompting a slate of reform bills aimed at lowering costs. 'You can drive to Texas, Mississippi, or Arkansas, and sometimes cut your rates in half, and that's unacceptable,' said Rep. Gabe Firment, who described the state's auto insurance situation as a 'crisis.' Rep. Firmet said House Speaker Phillip DeVillier echoed the urgency. 'We're coming out of regular session. He recognized the urgency to do something about the automobile insurance crisis,' said Firmet. In response, a coalition of lawmakers has introduced insurance and legal reform legislation targeting what they said are the root causes of high premiums — excessive litigation, frequent bodily injury claims, and large jury verdicts that have driven insurers out of the market. 'To put it in perspective: In 2021, in Louisiana, with a population of about 4.5 million, there were 66,000 bodily injury claims related to auto accidents,' said Firment. That same year, New York, with a population of 20 million, had just 60,000 such claims. The reform package includes proposals to cap certain damages, restrict payouts to claimants mostly at fault, repeal pro-plaintiff legal presumptions, and increase transparency in trials and billing. Other measures would limit attorney fees, reduce venue shopping, and address deceptive legal advertising and third-party litigation funding. One such bill, House Bill 657 by Rep. Michael Carver, targets misleading legal ads. It is expected to reach the House floor this week. Firment said that all bills — except those addressing unethical advertising and distracted driving — have already passed to the Senate. Lawmakers say they will continue pushing for reform as the bills move forward. Louisiana lawmakers push for reform amid auto insurance crisis Where to find sand bags in West Baton Rouge ahead of heavy rain Rayne police officer killed in domestic dispute standoff Mid-City Baton Rouge welcomes new YMCA, apartments Benson Boone announces tour: 'Beautiful Things' singer headed to these cities in 2025 Copyright 2025 Nexstar Media, Inc. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.
Yahoo
24-04-2025
- Business
- Yahoo
Roofers could be banned from helping customers with insurance claims
A garage of a home on Ethel Street in Lake Charles is destroyed by Hurricane Laura. (Photo by Wes Muller/LA Illuminator, Saturday Aug. 29, 2020.) Louisiana lawmakers advanced a bill Wednesday that would prohibit roofing contractors from assisting homeowners with insurance claims. It would also stop insurance adjusters from performing construction work in connection with the claims they handle. House Bill 121, sponsored by Rep. Roy Daryl Adams, D-Jackson, unanimously cleared the House Committee on Insurance and goes next to the floor for consideration. The proposal is one of dozens that lawmakers have filed, with the backing of insurance companies, in an effort to try to lower coverage premiums in the state. The bill intends to prevent conflicts of interest with adjusters who are also residential contractors. It would also prohibit roofing contractors from providing, advertising or soliciting insurance claims handling services for their customers. Roofers would further have to end the use of contingency contracts in which they agree to perform work only if the homeowner's insurance company approves the cost. Adams said he hopes his measure will stop contractors from going door to door after a storm to talk homeowners into filing insurance claims for roof work. Several committee members praised the bill and asked Adams to amend it so that it applies to all types of construction contractors and subcontractors. However, several roofers testified in opposition to the proposal. Josh Lovell, a sales manager with Gator Roofing in Baton Rouge, said the bill would essentially make it illegal for him to help customers with a task they often want help with. Insurance companies will sometimes deny claims and leave homeowners unaware that they can challenge the denial or ask for a second opinion, which contractors can provide, he said. 'If we can't even talk about any of the process, then you're just giving all the power to the insurance company,' Lovell said. 'And do you trust insurance companies like that?' Johnathan Davis, a board member with the Residential Roofing Association of Louisiana, said contingency agreements and working with insurance companies are a vital part of his profession. Fortified roof grant program is proving effective in lowering homeowner insurance rates, audit finds 'I know there are good and bad companies just like every industry,' Davis said. 'I think that this would hurt everybody — not just the bad actors.' Committee Chairman Gabe Firment, R-Pollock, who works as an insurance consultant, said it's wrong for contractors to assist homeowners with insurance claims because it's not within their area of expertise. 'That is outside of what you're licensed to do,' Firment said. 'There's other avenues for the homeowner to take if there's a dispute.' There is a 'big problem' with shady contractors in the roofing industry who find damage where none actually exists, Firment added. 'I think we've got to get back to roofers being tradesmen and not salesmen,' he said. Rep. Chance Henry, R-Crowley, who owns an insurance agency, echoed Firment's statements, pointing out that homeowners can hire public adjusters to handle any disputes that might arise. Public adjusters are independent claims assessors whom policyholders can hire to represent their interests as opposed to adjusters who work on behalf of insurance companies. They typically charge homeowners a fee of around 15% of the final settled claim amount. Davis with the roofers' association challenged the lawmakers' stance, saying adjusters are experts in interpreting insurance policies but are not generally the most knowledgeable on roof construction and damage assessments. Many homeowners are hesitant to hire a public adjuster because it can be costly, usually escalates the claim and adds another layer to the process, he said. The bill's provisions are so ambiguous, according to Davis, they could make it illegal for roofers just to send damage estimates to an insurance adjuster. 'I don't want to be in court one day defending sending an … estimate to an adjuster,' he said. Lovell said he would be afraid to even say the word 'insurance' in the presence of a customer if the bill becomes law. Hearing their concerns, Firment said the bill might need to be amended to better define some provisions so roofers aren't blocked from offering some of their routine services. SUBSCRIBE: GET THE MORNING HEADLINES DELIVERED TO YOUR INBOX
Yahoo
23-04-2025
- Automotive
- Yahoo
Louisiana auto insurance proposals include limits on ‘unauthorized alien' lawsuits
In their efforts to reduce auto insurance rates in Louisiana, state lawmakers advanced several bills Tuesday that seek to rein in personal injury lawsuits – including a measure to limit people hurt in wrecks who aren't legal U.S. citizens from suing. House Bill 436, sponsored by Rep. Gabe Firment, R-Pollock, cleared the House Committee on Civil Law and Procedure without objection. It would prohibit 'unauthorized aliens' — defined in the measure as individuals illegally in the United States under federal immigration law — from receiving general damages stemming from auto accidents. General damages include compensation for pain and suffering, but the proposal would still allow recovery for 'special damages,' such as medical expenses and property damage. Firment, an insurance consultant, said the purpose of his bill is to help address the state's auto insurance crisis while discouraging illegal immigration. Rep. Nicholas Muscarello, R-Hammond, questioned the constitutionality of the legislation, pointing out the state could be meddling in federal immigration law. Muscarello practices civil law and is the lead criminal prosecutor for two municipalities in Tangipahoa Parish. 'The Supreme Court said that we can't enforce alien laws. That would be a federal position,' Muscarello said. 'So it might be something we could look at because there might be some constitutional issues.' Firment said his bill, which moves next to the House floor, is very narrowly focused and believes it would pass constitutional scrutiny. SUBSCRIBE: GET THE MORNING HEADLINES DELIVERED TO YOUR INBOX Another proposal, House Bill 439, sponsored by Rep. Troy Hebert, R-Lafayette, aims to limit the amount of money lawyers can make from lawsuits. It would limit contingency fees, the money a lawyer makes only if they win a case, to 10% on the first $15,000 in damages. Any amounts beyond that would not be regulated. While presenting his bill to the committee, Hebert revealed his personal motivation for the proposal. He said his daughter was involved in a minor accident that he said resulted in almost no property damage. According to Hebert, the other driver voiced no complaints on the scene and was uninjured, yet she sued his insurer a year later. The driver sought injury damages totaling $15,000, the minimum bodily injury coverage required for auto insurance policies in Louisiana. 'Excuse my language, but I am pissed about this,' Hebert said. Hebert, a real estate professional, said he tried to convince his insurer to fight the lawsuit, but ultimately it chose to pay $15,000 to settle the case. Hebert said a limit on legal fees would discourage lawyers from pushing to get quick settlements from insurance companies, but his proposal raised concerns with some lawmakers. Rep. Ed Larvadain, D-Alexandria, who is a lawyer, said auto injury cases take more work than just mailing out demand letters to insurance companies. Personal injury attorneys have to interview witnesses, consult with doctors and schedule property damage adjusters, he said. Rep. Lauren Ventrella, R-Greenwell Springs, is also an attorney who handles auto accident claims. She said she doesn't like the idea of the government fixing the prices of goods and services, though she ultimately voted in favor of Hebert's bill. 'My concern is this is an overstep with regards to free market economy,' Ventrella said. The measure cleared the committee in a 10-2 vote along party lines with Larvadain and Rep. Sylvia Taylor, D-LaPlace, who is a retired judge, opposed the bill. The committee also gave its approval to a proposal that puts a ceiling on lawsuit damages in all personal injury cases, including auto accidents. House Bill 435, sponsored by Rep. Peter Egan, R-Covington, advanced in a 10-2 vote with the same two Democrats opposed. 'I'm trying to lower rates in Louisiana,' said Egan, a health care company founder. 'I don't know if this is the bill that does it.' Egan's bill would cap general damage awards at $5 million, which Muscarello pointed out is already the maximum payout on commercial auto policies million in Louisiana. Insurance companies won't pay any more than that regardless of how much a jury awards a plaintiff, he said. Lawmakers heard testimony in support of Egan's bill from Mark Younger, who runs a produce farm in Addis. Younger said his farm was sued after one of his drivers was involved in a minor fender bender with no apparent injuries. His insurance costs became so high that he now uses an out-of-state trucking company, which Younger said pays lower insurance premiums, to deliver his products. 'It's like we're hiring one wing of the mafia to protect us from another wing of the mafia – the Louisiana State Bar,' Younger said. SUPPORT: YOU MAKE OUR WORK POSSIBLE
