Louisiana Auto Insurance & Crash Law

VictimsGuide’s Louisiana library organizes the rules that matter after a motor-vehicle crash: compulsory liability insurance, UM/UIM, anti-stacking, direct-action rules, claims handling, employer and commercial coverage, public-entity claims, comparative fault, prescription, damages and settlement.

Louisiana rules to identify early

• UM/UIM: Louisiana generally requires UM coverage in limits not less than bodily-injury liability limits unless the named insured validly rejects it, selects lower limits, or selects economic-only coverage.
• Comparative fault: for claims governed by the 2026 amendment to Civil Code article 2323, a claimant at 51% fault or more is barred; below 51%, damages are reduced proportionally.
• Direct action: Louisiana still recognizes statutory direct action against liability insurers, but current law limits when an injured person may sue the insurer directly before judgment or settlement.
• Prescription and public entities: limitation periods and public-entity procedures require early, claim-specific review.

Current-law review: September 17, 2026. Verify current Louisiana statutes, Department of Insurance guidance, appellate authority, policy forms and effective dates before relying on this educational guide.