House Civil Law Committee advances package of tort, insurance and litigation-disclosure bills

The House Civil Law and Procedure Committee on April 22, 2025, advanced a set of bills targeting insurance costs, litigation financing, venue rules and how future medical awards are paid in personal-injury cases.

At a morning hearing in the State Capitol, committee members favorably reported seven bills after discussion with sponsors, industry representatives, insurance officials and affected small-business owners including tow and trucking firms. The measures include a ban on some damages for unauthorized immigrants in auto suits, a change to liability venue in uninsured/underinsured motorist cases, an optional reversionary medical trust for future medicals, new disclosure and consumer-protection rules for third-party litigation financing, a $5 million cap on general-damages awards in delictual actions as amended, and two bills aimed at transparency of fee arrangements and third-party interests in cases.

Why it matters: Lawmakers and business speakers tied the proposals to the state’s auto-insurance crisis and to high commercial auto premiums that many truckers and tow companies say threaten their ability to stay in business. Supporters said the package will bring predictability to insurers and reduce "nuclear verdicts" that they say drive up rates; opponents and some members raised consumer-protection and professional-regulation concerns.

HB 4 36 — Damages for unauthorized immigrants

Representative Richard Furman, sponsor, said House Bill 4 36 "prohibits awarding general damages like pain and suffering and past and future wages to unauthorized aliens in actions for damages from automobile accidents." He told the committee the bill is designed "to help address the state's auto insurance crisis and to encourage legal immigration." Committee member questions focused on whether unauthorized immigrants sometimes hold out‑of‑state licenses or insurance; Furman acknowledged such scenarios are possible but said the bill targets claimants who "have not followed the laws of our country and entered the country legally, and maintained legal status."

The committee moved HB 4 36 favorably by unanimous voice consent; no roll-call vote was recorded in committee. Representative Christian Carlson made the motion to report the bill favorable.

HB 3 36 — Venue in UM/UIM claims

Representative Wilder introduced HB 3 36, which he said is intended to close a venue‑shopping loophole in uninsured/underinsured motorist (UM/UIM) coverage claims. Wilder said plaintiffs sometimes add a UM/UIM claim to move the entire litigation to the plaintiff's home parish rather than where the accident or defendant…