Speaker Jon Burns Priority Passage: Historic Insurance Affordability Reform

ATLANTA- The Georgia House of Representatives today passed four historic measures aimed at driving down the cost of insurance for families, drivers, homeowners and businesses across the state.

"Georgia is leading the nation in tackling affordability and driving down the cost of living for our neighbors-from energy and healthcare to housing and now insurance," said House Speaker Jon Burns (R-Newington). "Georgians rely on their insurers during some of life's most challenging moments, and we are committed to ensuring families across our state can count on transparency, accountability and reliability from the companies they trust to keep them covered."

Following last year's passage of SB 68 and SB 69, Georgia's landmark lawsuit reform legislation, Speaker Jon Burns appointed the House Blue-Ribbon Study Committee on Insurance Rates, led by Chairman Matt Reeves (R-Duluth), to develop further legislative recommendations to drive down the cost of insurance and strengthen transparency for Georgia policyholders.

"The Georgia House has worked across the state and across the aisle to make insurance more affordable for hardworking Georgians," said Chairman Matt Reeves.

House Bill 1344, House Bill 1262, House Bill 1263 and House Bill 1274 were developed based on the findings and legislative recommendations of the House Blue Ribbon Study Committee on Insurance Rates and suggestions from Georgia Safety Fire and Insurance Commissioner John King.

HB 1262, significantly increases fines that can be levied against insurance companies for surprise billing, failure to cover mental health treatment, and other violations.

HB 1263, the Premium Tax Clawback Act, shortens the time insurance companies have to seek refunds for premium tax payment errors to three years.

HB 1274, the Excess Auto Insurance Profits Act, requires insurance companies that profit above five percent of their expected profit for three consecutive years to file a rate decrease. A similar law in Florida resulted in a $1 billion rebate to customers.

HB 1344, The Insurance Affordability & Claims Integrity Act, increases nearly 40 insurance fines in Georgia's insurance code, strengthens the authority of the Office of the Insurance Commissioner to levy fines against bad actors, enforces Georgia's uninsured motorist laws, cracks down on insurance fraud and tightens up Georgia law about claims processing following storms and other damage.

Additional information regarding the findings of the House Blue-Ribbon Study Committee on Insurance Rates and the reforms listed above can be found here.

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