Louisiana bills would force insurers to pay businesses' coronavirus claims
As the Louisiana Legislature resumes its session amid the coronavirus shutdown, two critical bills seek to force insurance companies to pay business-interruption claims due to the pandemic.
House Bill 858 by Rep. Royce Duplessis, D-New Orleans, and Senate Bill 477 by Sen. Rick Ward, R-Port Allen, were both scheduled for hearings Wednesday at each chamber’s respective Insurance Committee, but both were deferred.
Louisiana is one of seven states across the country offering legislation to direct insurers to pay business claims as long as there’s no explicit exception for viruses or pandemics in a business’ policy.
Duplessis’ bill targets small businesses with fewer than 100 employees. Wards’ is broader, covering all businesses with the coverage, and also requires exclusions in the coverage to be spelled out clearly going forward.