Provides a process for insurers to assert the right to prevent public inspection of certain filing information based on a claim of trade secret. (8/1/26)

Senate Bill 297 amends Louisiana Revised Statutes 22:1464(D) to establish a formal procedural framework for insurers to claim trade secret protection when filing rate information with the Commissioner of Insurance. The bill replaces the prior administrative hearing process with an affirmative filing requirement, mandating that insurers claiming trade secret status must file a notice of request for nondisclosure contemporaneously with their rate filing, with failure to do so constituting a waiver of any trade secret claim. The legislation defines what qualifies as a trade secret by incorporating economic value and secrecy maintenance standards, requires that trade secret documents be physically separated and clearly marked, demands a sworn affidavit detailing the basis for the claim, and requires submission of a public summary describing the nature of the protected information without revealing its details. The bill simultaneously circumscribes the scope of protectable information by establishing an explicit list of items that cannot qualify as trade secrets, including financial data used in rate calculations, affiliate transactions, compensation information, dividends, all rate filing information itself, and legislative advocacy materials.

Insurance companies filing rates in Louisiana will be directly affected by the requirement to proactively identify and segregate claimed trade secrets at the time of filing or lose protection entirely. Consumer advocates and rate analysis organizations will benefit from expanded access to specific categories of previously protected information, particularly financial models, assumptions underlying rate calculations, and affiliate transaction details that were previously shielded. The Commissioner of Insurance gains explicit authority to review and reject trade secret claims, with periodic audits conducted by independent third-party experts, creating additional administrative review mechanisms. Insurance agents, reinsurers, managing general agents, and other entities with contractual relationships to insurers will experience increased disclosure of their transaction details with insurers, potentially affecting competitive relationships. Companies asserting false trade secret claims face significant penalties of up to twenty-five thousand dollars per violation and potential license suspension or revocation.

This legislation operates within the existing regulatory framework of Louisiana insurance law established under R.S. 22:1464, which governs rate filings and their public availability. The bill maintains the foundational principle that rates and supporting information are presumptively public while carving out exceptions for legitimately protected information, but shifts the burden to insurers to affirmatively establish protection rather than relying on passive claims. The statutory definition of trade secret in the bill aligns with the Uniform Trade Secrets Act framework used in many states, incorporating standards of independent economic value and reasonable secrecy maintenance efforts. The creation of a biennial independent review mechanism represents a legislative oversight provision designed to ensure that the Commissioner's determinations remain sound and that the trade secret exemption is not being abused to obscure information that should be public. The restriction on what cannot be considered a trade secret, particularly the blanket prohibition on protecting financial information underlying rate justifications, reflects a policy choice prioritizing rate transparency and consumer protection over insurer confidentiality in Louisiana's regulated insurance market.