§2322. Louisiana Insurance Underwriting Plan (Coastal Plan); definitions; movable
property; option to exclude
A. As used in this Section and R.S. 22:2323 through 2334, unless the context
otherwise requires:
(1)"Coastal area" means all of that area of the state designated in the "plan"
approved by the commissioner of insurance.
(2)"Essential property insurance" means any of the following coverages against
direct loss to property as defined by the plan approved by the commissioner of insurance:
(a)Fire, with or without extended coverage and vandalism and malicious mischief.
(b)Windstorm and hail without fire, but only with respect to dwellings and
commercial properties on a monoline basis.
(3)"Governing committee" means that group which is referred to in R.S. 22:2325
and
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§2322. Louisiana Insurance Underwriting Plan (Coastal Plan); definitions; movable
property; option to exclude
A. As used in this Section and R.S. 22:2323 through 2334, unless the context
otherwise requires:
(1) "Coastal area" means all of that area of the state designated in the "plan"
approved by the commissioner of insurance.
(2) "Essential property insurance" means any of the following coverages against
direct loss to property as defined by the plan approved by the commissioner of insurance:
(a) Fire, with or without extended coverage and vandalism and malicious mischief.
(b) Windstorm and hail without fire, but only with respect to dwellings and
commercial properties on a monoline basis.
(c) Homeowners.
(3) "Governing committee" means that group which is referred to in R.S. 22:2325
and, where appropriate, any designee of the governing committee.
(4) "Insurable property" means immovable property at fixed locations in coastal areas
of the state as that term is hereinafter defined or the corporeal movable property located
therein, but shall not include insurance on motor vehicles, which property is determined by
the governing committee of the plan, after inspection and pursuant to the criteria specified
in the plan, to be in an insurable condition against the perils of fire as determined by normal
underwriting standards; however, any structure built in substantial accordance with the
Standard Building Code, including the design-wind requirements, which is not otherwise
rendered uninsurable by reason of use, occupancy, or state of repair, shall be an insurable risk
within the meaning of R.S. 22:2321 through 2335. Provided further, that any structure
commenced on or after July 29, 1970, not built in substantial compliance with the Standard
Building Code, including the design-wind requirements therein, shall not be an insurable risk
under the terms of R.S. 22:2321 through 2335. The owner or applicant shall furnish with the
application proof in the form of a certificate from a local building inspector, contractor,
engineer, or architect that the structure is built in substantial accordance with the Standard
Building Code.
(5) "Net direct premiums" means gross direct premiums, excluding reinsurance
assumed and ceded, written on property in this state for fire and allied lines insurance,
including components of homeowners' policies and commercial multiple peril package
policies, less return premiums upon canceled contracts, dividends paid or credited to
policyholders, or the unused or unabsorbed portion of premium deposits. In no event shall
premiums on industrial fire insurance policies be considered "net direct premiums".
(6) "Plan" means the document setting the rules of operation approved or
promulgated by the commissioner of insurance relative to the Louisiana Insurance
Underwriting Plan.
B. Notwithstanding Paragraph (A)(4) of this Section, a policyholder may request, in
writing, to exclude corporeal movable property from covered insurable property. If the
policyholder excludes coverage, the insurer may calculate an actuarially justified reduction
in premium.