Louisiana’s 2025 Legislative Session brought sweeping changes that will directly impact personal injury claims, commercial auto litigation, and insurance defense strategy. Several bills passed with broad support—each giving insurers and defense counsel stronger footing in liability disputes.
However, given the legal field’s focus on House Bills 431 (51% fault bar), 434 (“No Pay No Play” increase), 436 (General Damages bar for illegal aliens), 450 (Housley presumption eliminated), and 549 (Discounts for Dashcams and Telematics), it’s important to not overlook other changes affecting insurance and auto-accident claims. There is also one major proposed change that didn’t make it past the governor’s desk that it is still worth noting.
3 Acts Impacting Insurance and Auto-Accident Claims
1. Act 24 (SB 11): Left Lane Slow Driving Penalties
This bill increased penalties for drivers impeding traffic on a multilane highway in the left lane by going slower than the posted speed limit without passing. The Legislature has increased the fines associated with La. R.S. 32:71 (B)(2) as follows:
- First Offense – $150
- Second Offense – $250
- Third Offense – $350 or jail time within a 12-month period of first offense
Why it’s important: Reinforces that improper lane use is a statutory breach of duty and shows that fault may lie with a slow-moving lead vehicle.
Effective date: August 1, 2025
2. Act 66 (HB 170): Taxi Drivers Exempt from Class “D” License
Taxi drivers now only need a standard Class “E” License, as opposed to a Class “D” chauffeur’s license.
Why it’s important: Narrows attack points on licensing in personal injury litigation involving cab fleets/operators.
Effective date: August 1, 2025
3. Act 176 (HB 291): Two-year Prescription for Wrongful Death & Survival Action
In a wrongful death and/or survival action, a party’s right to recovery lasts for a period of one year from the death of the deceased or two years from the day that injury or damage is sustained, whichever is longer. Notably, this preserved the one-year deadline for medical malpractice actions.
Why it’s important: Requires longer monitoring of potential future claims brought by protected classes of claimants and encourages faster claim resolution/settlement to avoid open-ended exposure.
Effective date: August 1, 2025
What Didn’t Pass
SB 111 (Vetoed): Limits on Bad Faith Lawsuits
SB 111 would have limited bad faith lawsuits against insurers – particularly in cases with:
- A good faith dispute on liability or medical causation
- No formal demand made within applicable policy limits, and the insurer had less than 30 days to respond.
- The insurer had insufficient time to conduct discovery
Why it matters: Though vetoed, this bill signals a broader reform push. Attorneys should stay alert; it could return in future sessions.
Conclusion
From fault standards to evidentiary presumptions, recovery thresholds, premium structures, traffic enforcement, and driver qualifications, the 2025 legislative session marked a turning point in Louisiana’s civil liability and insurance landscape.
Laws like Acts 431, 434, 436, and 450 significantly recalibrate how fault is assessed and damages are awarded in auto and personal injury litigation. Act 549 brings telematics and dashcam use into the insurance pricing conversation, while Acts 24, 66, and 176 make targeted changes that affect driver conduct, licensing, and the timing of wrongful death claims. Even SB 111, though vetoed, underscores the Legislature’s growing appetite to restrain bad faith liability in disputed injury cases.
Together, these changes signal a shift toward a more structured, defense-favorable environment—one that rewards preparedness, timely action, and deep understanding of evolving statutory duties.