Louisiana lawmakers are advancing legislation related to home insurance as the legislative session approaches its June deadline.
On June 9, the Senate approved Senate Bill 28, which provides a tax credit for homeowners who install fortified roofing that meets or exceeds the Insurance Institute for Business and Home Safety standards.
The credit would match the total of qualified expenses, capped at $10,000 per property, with an overall state limit of $10 mn.
The bill excludes permits, inspections, and similar costs from eligibility. Only residential properties with a homestead exemption can qualify, while new construction, condominiums, and mobile homes are excluded.
On the same day, the House reviewed House Bill 356, which proposes allowing home insurance policies to be based on a stated value instead of current market value.
Homeowners or their agents would need to request this provision, and insurers would be required to match policy limits to the most recent parish-assessed market value.
To complete this process, homeowners must submit a payoff statement from the mortgage holder and a certificate from the clerk of courts confirming whether the property has a mortgage. Homeowners without a mortgage could choose any stated amount for coverage.
Insurers must also obtain a signed disclosure confirming that the policyholder understands the coverage amount equals only the unpaid mortgage balance, and that any excess losses will not be reimbursed.
Legislation aimed at broader tax relief for homeowners failed to pass. Senate Bill 235, which would have granted tax credits of up to $2,000 based on insurance premiums for households earning up to 200% of the federal poverty line, passed the Senate in May.
However, it did not clear the House, failing on a 49-52 vote on June 9. The proposed credit would have been limited to $10 mn annually and distributed on a first-come, first-served basis.
A separate proposal to introduce tax credits for auto insurance premiums remains stalled. Though the bill was referred to the House Committee on Ways and Means in April, no further action has been taken.
