Why You Can No Longer Sue the Insurer

Can I Still Sue the Other Driver’s Insurance Company Directly?

Generally, no, and this is a major change from how Louisiana law worked for decades. Under the amended Louisiana Revised Statute Section 22:1269, effective August 1, 2024, an injured person no longer has a general right of direct action against a liability insurer. Louisiana had long been known nationally for allowing this kind of direct suit, but the legislature has now narrowed it considerably. Many out-of-state attorneys and even some Louisiana practitioners themselves are still actively adjusting their approach to reflect this significant and fairly sudden shift in the law.

Are There Any Exceptions That Still Allow a Direct Suit?

Yes, the amended statute preserves a direct action in a specific list of circumstances. These exceptions include situations where the insured has filed for bankruptcy, where service of process on the insured could not be accomplished, where the insured is deceased, where the case involves an uninsured motorist carrier, or where the insurer is defending under a reservation of rights or has denied coverage. Falling outside every single one of these listed categories generally means the insurer’s name cannot even appear anywhere in the case caption at all.

Why Did Louisiana Change This Rule?

Lawmakers who supported the change argued that naming an insurer directly in a lawsuit could improperly signal to a jury that insurance coverage exists, potentially influencing how a jury ultimately awards damages in the case. Louisiana had been one of relatively few states that allowed this practice as broadly as it once did for so many years, and this reform brings the state closer in line with how most other states across the country handle these kinds of claims.

What Does This Mean for How a Case Gets Filed?

Because the insurer generally can no longer be named directly, a case typically has to be filed against the at-fault driver personally, even though the practical reality is that the driver’s insurance company will still handle the defense and pay any judgment. This distinction between who is formally named in the lawsuit and who actually controls the litigation behind the scenes can confuse people unfamiliar with how the process now works under the revised statute. Steps that matter more under this revised framework include:

• Properly identifying and formally serving the individual insured defendant named in the case
• Providing prompt and proper notice to the insurer regarding the pending lawsuit itself
• Documenting carefully whether any of the statutory exceptions genuinely apply to the specific case
• Tracking the insurer’s formal response regarding coverage and any reservation of rights letter

A Denham Springs car accident lawyer can help work through this revised process carefully, since naming the wrong party or missing a procedural step can create unnecessary delay in an otherwise straightforward case.

Does This Change Affect How Long I Have to File?

The amended statute includes a specific provision stating that filing an action against the insured interrupts prescription as to all insurers whose policies provide coverage for the claims being asserted in that lawsuit. The team at Palmintier, Thrower, and Treuting Injury Attorneys tracks these procedural details closely in every case, since a technical misstep in how a case is filed can create complications that have absolutely nothing to do with the underlying facts of the crash itself.

What Should I Do if I’m Not Sure Who to Name in My Case?

Given how significantly and recently this rule changed in 2024, relying on outdated information about how to properly structure a Louisiana injury lawsuit can lead to real procedural problems down the line. Confirming the correct approach before filing helps avoid delays that could otherwise be easily prevented, particularly since courts have been actively working through how the revised statute applies to cases filed around the effective date. A Denham Springs car accident lawyer can help confirm the correct approach before a case is ever filed.

If you were hurt in a crash in Denham Springs, speak with our team about how this updated rule applies to your specific situation and who should be named in your case.