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For Louisiana Association of Business and Industry President and CEO Will Green, the 2025 regular legislative session delivered meaningful wins—though it also brought a few setbacks.
Green tells Daily Report that LABI’s focus this session was on maintaining momentum from last year’s historic insurance, education and tax reforms.
“As we entered into 2025, our board wanted to make sure 2024 wasn’t just a one-off,” Green says. “Our theme was ‘Full Throttle’—let’s keep moving forward.”
Louisiana’s insurance crisis, of course, took center stage. Of particular significance for LABI was the passage of three major bills—House Bills 431 and 450 and Senate Bill 231—that are aimed at lowering rates for consumers and making the state more attractive to insurers.
HB431 shifts Louisiana to a modified comparative fault system, barring drivers who are 51% or more at fault for an accident from recovering damages. HB450 repeals the state’s “Housley Presumption,” which grants injured plaintiffs a presumption that their injuries were caused by their accidents. SB231 allows judges and juries to see evidence of the amounts billed and paid for medical expenses after an accident, limiting recovery to what was actually paid in cases where private insurance and Medicare were used to pay medical bills.
“We know there’s nothing we can do overnight that’s going to lower rates,” Green says, “but we can start signaling that we’re balancing the scales of justice and that we’re back open for business.”
LABI is also celebrating the passage of HB507, which establishes the High Impact Jobs Program; HB624, which creates a “One Door” system that positions Louisiana Works—the rebranded Louisiana Workforce Commission—as a one-stop shop for key social safety net programs; and a package of four bills that restructure the Louisiana Department of Transportation and Development, among other pieces of legislation.
Of the bills mentioned thus far, HB431, HB450 and one of the DOTD restructuring bills have been signed into law by Gov. Jeff Landry. HB507, HB624, SB231 and the three other DOTD bills await the governor’s signature.
Not all went LABI’s way, though. Green says he’s deeply concerned over the passage of HB148, which gives Louisiana’s insurance commissioner—currently Tim Temple—broader authority to regulate insurance rates, including the power to declare rates “excessive” regardless of market conditions. The controversial bill had some high-profile opponents, including the Insurance Council of Louisiana and Temple himself.
“Whether you’re talking about insurance, tax reform or economic development, you want to model what you’re doing after other states and you want to create a fair, predictable environment,” Green says. “HB148 is the opposite of that. It makes us an outlier. Time will tell how devastating it’s going to be.”
Green is also lamenting Landry’s veto of SB111, which would have defined what constitutes “bad faith” by insurers. He says the bill would have protected insurers from being unfairly penalized for routine delays, technical issues or legitimate coverage disputes. He also would have liked to see the LA GATOR school voucher program fully funded. Landry requested $93.5 million for the program, but lawmakers ultimately settled on $43.5 million.
Another disappointment was the failure to temporarily extend the inventory tax credit. Though voters will decide next spring on whether to give parishes the option to phase out their inventory taxes—a move that LABI supports—the credit is set to expire next year regardless of what voters decide. HB383, which did not receive a vote on the Senate floor, would have stair-stepped the credit downward over time, giving businesses time to adjust.
“I think the inventory tax is universally seen as a bad tax. It disincentivizes growth and investment. … As long as we have the bad tax, businesses need the credit,” Green says.
LABI will release its annual Legislative Scorecard this fall. The report will offer a transparent look at how legislators voted on key issues affecting Louisiana’s business climate this session.
