Can You Sue the Insurance Company Directly in Louisiana? What Changed in 2024
- Jun 10
- 3 min read
For decades, Louisiana stood out from almost every other state on one point: an injured person could sue the at-fault party’s insurance company directly, on its own or alongside the person who caused the harm. That rule, known as the Direct Action Statute, shaped how injury cases were filed and tried across the state.
On August 1, 2024, that changed. If you are researching a Louisiana injury claim, here is what the new law actually says and what it means for you.
The old rule
Under the prior version of the Direct Action Statute (Louisiana Revised Statutes 22:1269), a person injured by someone else’s negligence had the option to bring suit against the at-fault party, against that party’s liability insurer by itself, or against both together. The injured person largely got to choose, with very few restrictions. This was unusual nationally and was one reason insurance coverage was so visible in Louisiana injury litigation.
What changed on August 1, 2024
In 2024, the Louisiana Legislature passed Act 275, which substantially rewrote the statute. The new default flips the old rule on its head: an injured person now has no right of direct action against the insurer unless one of several specific exceptions applies.
In other words, in the typical case you now bring your claim against the person or company that caused the harm, not their insurance company directly. The insurance coverage is still there and still pays valid claims; what changed is who you name and how the case proceeds.
Old rule vs. new rule, in plain terms
Before Aug. 1, 2024: you could sue the at-fault party, their insurer, or both — your choice.
After Aug. 1, 2024: no direct action against the insurer unless a specific exception applies. The default is to sue the at-fault party.
The exceptions that still allow a direct claim
The new statute lists a set of circumstances, commonly described as seven exceptions, in which a direct action against the insurer is still allowed. The most frequently discussed include:
•The at-fault party (the insured) has filed for bankruptcy, or bankruptcy proceedings have begun.
• The at-fault party is insolvent, meaning their debts exceed their assets.
• Service of the lawsuit on the at-fault party has been attempted without success, or the insured refuses to defend the case within 180 days of being served.
These are not the only exceptions, and each one is fact-specific. Whether your situation fits one of them is exactly the kind of question that calls for a lawyer’s review rather than a guess.
A quieter change that matters at trial
The 2024 law also limited when a jury can be told that insurance coverage exists, repealing an older evidence rule that had required courts to instruct juries about coverage in these cases. In practical terms, this is part of a broader shift that makes the at-fault party, rather than the insurance company, the visible focus of an injury case. For an injured person, it is one more reason the procedural details now carry real weight.
Why this is a “talk to a lawyer” situation
These changes are recent, and some of the open questions, including how the new rule applies to accidents and lawsuits filed around the August 1, 2024 transition, are still being worked out in the courts. Getting the procedure wrong can have real consequences; in some early cases, naming the insurer incorrectly has led to the insurer being dismissed from the lawsuit entirely.
None of this means your claim is weaker. It means the path to recovery now has more procedural steps where experience matters. The good news for injured people is simple: insurance still pays valid claims. What changed is how the case has to be built.
Questions about a Louisiana injury claim?
If you were injured in Louisiana and are trying to understand who is responsible and how a claim works after these changes, Bateman McDonald Law Firm offers a free, confidential consultation. We stay current on changes like this so you do not have to.
Bateman McDonald Law Firm
6700 Jefferson Highway, Building 3 Baton Rouge, LA 70806
(225) 766-8484 · BatemanMcDonaldLaw.com
Free consultation. You pay nothing unless we recover for you.
This article is provided for general information only and is not legal advice. Every case turns on its specific facts. Reading this material does not create an attorney–client relationship with Bateman McDonald Law Firm. If you have been injured, please contact a Louisiana personal injury attorney to discuss your situation.
Comments