Bill > HB751

This bill requires insurers or their representatives, known as producers, to provide a clear and conspicuous disclosure notice to anyone applying for a term life insurance policy in Louisiana before they sign the application. This notice, which must be a standalone document, will detail the policy's total coverage amount, how long it lasts, the total cost over the full term, and what happens to coverage when the term expires, including whether it can be renewed and at what age the insured will be. Applicants must initial each line of this notice and sign it to acknowledge they've received and understood the information, and insurers must keep this signed notice for at least five years. If this notice isn't provided, the insured can cancel the policy within 30 days of receiving it and get a full refund, and failing to provide the notice is considered an unfair trade practice, potentially leading to penalties, license suspension, or revocation by the commissioner of insurance.