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HB 1180

INSURANCE/LIFE: Provides with respect to the denial of life insurance following suicide

2026 Regular Session Introduced by Edmond Jordan

Limits suicide exclusions to two years from policy issue, requires clear notice, and preserves benefits after the period with insurers bearing the burden of proof.

Read by title, returned to the calendar.
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Bill Summary · HB 1180

Summary of HB 1180 (Louisiana, 2026 Regular Session)

Purpose and intent

HB 1180 proposes to limit suicide exclusions in life insurance policies and require clear notice to policyholders. The bill aims to ensure life insurance benefits are paid in most cases where suicide occurs, subject to a two-year exclusion window, and to tighten the interpretive standards around such exclusions.

Key provisions

  • Two-year limit on suicide exclusions: A life insurance policy may include a suicide exclusion, but it may not apply for more than two years from the policy’s issue date.
  • Notice and clarity requirements:
    • Any suicide exclusion must be stated in clear, conspicuous, and unambiguous language within the policy.
    • The insurer must provide written notice at the time of issuance that summarizes the exclusion in plain language.
  • Post-exclusion coverage: Insurers may not deny payment of policy proceeds for suicides occurring after the two-year exclusion period.
  • Mental health exception:
    • A suicide resulting from a diagnosed medical or mental health condition cannot be denied unless the policy expressly and unambiguously includes such circumstances within the exclusion.
  • Burden of proof: If a suicide-related exclusion is invoked, the insurer bears the burden of proving its applicability.
  • Strict construction in favor of coverage: Exclusions permitted under the bill must be strictly construed to favor coverage for the insured.
  • Limitations and exclusions:
    • The act does not apply to accidental death and dismemberment policies.
    • The act does not apply to policies issued to insure the life of a minor.
  • Effective date: The provisions take effect on January 1, 2027.

Affected parties and scope

  • Covered policies: Life insurance policies delivered or issued for delivery in Louisiana.
  • Who is protected: Policyholders and beneficiaries receiving life insurance proceeds; insurers must adhere to the two-year limit and related notice requirements.
  • Exceptions:
    • Accidental death and dismemberment policies are not subject to these provisions.
    • Policies covering minors’ lives are exempt from the act.

Procedural and timeline notes

  • Effective date: January 1, 2027.
  • Administrative burden: Insurers must ensure policy language complies with the two-year limit, include clear notice at issuance, and bear the burden of proof when applying exclusions.

Potential impact

  • Increases predictability and transparency for consumers regarding suicide exclusions.
  • Encourages insurers to design exclusions that are limited in scope and clearly disclosed.
  • Reduces the likelihood of denial of benefits for suicides occurring after two years, including those related to diagnosed mental health conditions (with appropriate policy language).
  • Creates a higher burden on insurers to justify exclusions and preserves coverage in most cases of suicide after the exclusion period.

Compiled from official sources — confirm details with the bill’s official record.

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