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Committee approves HB 233 to curb liens and add short cancellation window after storm claims
Summary
The committee passed House Bill 233, a consumer-protection measure that expands lien protections and provides a five-day cancellation window for contractors working on property and casualty insurance claims, and establishes a $5,000 civil penalty for violations.
The House Standing Committee on Banking and Insurance voted to report House Bill 233 favorably after testimony from the bill sponsor and insurance-industry witnesses.
Representative Wade Williams, sponsor of HB 233, introduced the bill and a committee substitute that staff had prepared to incorporate cross-references to other statutes. The substitute was adopted before the committee debated the bill.
Ann Marie Franklin of Kentucky Farm Bureau Insurance testified in support and framed the bill as a consumer-protection measure after severe weather. "We've had tornadoes, windstorms, ice storms, flooding, you name it. And the insurance agencies, insurance companies in the state of Kentucky along, with our our good men and women in the contracting world, have been there to, respond to those events. However, we found, that there's unfortunately always bad characters who want to come take advantage of people, in some…
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