§ 51:451 — Payments and rebates charged against insurance deductibles; sellers of goods or

§451. Payments and rebates charged against insurance deductibles; sellers of goods or
services prohibited
A. No person selling or engaged in the sale of goods or services shall:
(1) Provide goods or services or advertise or promise to provide goods or services
to an insured in a transaction in which the goods or services will be paid for by the insured
from the proceeds of the property insurance claim and, without the insurer's consent, the
person selling the goods or services agrees to do any of the following:
(a) Pay, waive, absorb, or otherwise decline to charge or collect the amount of the
insured's deductible.
(b) Provide a rebate in connection with the sale of the goods or services that will
offset all or part of the amount paid by the insured as a deductible.
(c) In any manner, assist the insured in avoiding monetary payment of the insured's
deductible.
(2) Charge an amount for such goods or services that exceeds the usual and
customary charge by an amount equal to or greater than all or part of the applicable insurance
deductible paid.
B. No person insured under a property or casualty insurance policy shall submit a
claim or knowingly allow a claim to be submitted under the policy for payment of any goods
or services that are in violation of Subsection A.
C. An insured person shall be held in violation of this Section, unless he, the insured,
promptly notifies the insurer of suspected excessive charges or other violations made by the
person selling or engaged in the sale of goods or services.
D. Whoever violates this Section shall be fined not more than five hundred dollars
or imprisoned for not more than thirty days, or both, for each offense, and each offense shall
constitute a separate violation.

Legislative History

Acts 1991, No. 608, §2; Acts 2022, No. 734, §2.