Quarterly Newsletter
Louisiana Public Service Commission experiences operational efficiencies since rule change
Elimination of handwritten signature requirements allows insurance carriers to electronically file proof of commercial liability insurance
Published: July 16, 2024
Last year, the Louisiana Public Service Commission (PSC) passed an instrumental change to an outdated agency rule that blocked insurance companies from using modern technology and processes to file proof of liability insurance on behalf of their commercial motor carrier customers. Prior to the change, insurers filed paper certificates of insurance with a handwritten signature to meet the requirement for the initial applications of new Louisiana motor carriers.
Today, insurance companies can use Tyler Insurance Filings to file Form E and Form H online for Louisiana motor carriers applying for a permit for the first time and during permit renewal, and to file a Form K to notify the agency if a permit holder cancels coverage, or the insurance company terminates the policy. The amendment to remove the handwritten signature requirement in the General Order, originally dated January 12, 1976, went into effect on October 13, 2023.
When discussing the benefits of a modernized rule at the Business and Executive Session on September 20, 2023, Commissioner and Chairman Foster L. Campbell said the reason for change "makes sense." The updated process is more user friendly, expedites filing and review procedures, and aids new Louisiana motor carriers in quickly receiving authorization to operate.
The Tyler Insurance Filings team met with Tammy Burl, PSC Transportation Administrator, and reflected on the impact electronic filings has had on the agency nine months after the change.
"The purpose of the updated rule is to encourage electronic filing," shared Tammy. "Putting all insurance filings through one system saves us time and improves staff productivity when processing and tracking down forms."
Immediately following the rule, insurance companies were able to file electronically using the same process they were already using to file insurance for permit renewals and notices of cancellation. As a result, the agency instantly experienced an 18% increase in online adoption and now, most insurance filings for Louisiana motor carriers are filed online.
"Approximately, 75% of our commercial insurance filings are coming to us through Tyler," said Tammy. "Electronic filing has significantly reduced our staff's time storing, retrieving, and managing paper forms. The Tyler system provides us with a centralized repository of policy data and offers search features to pull up historical data within seconds."
Louisiana motor carriers are benefiting from the updated rule, as well. Prior to the change, the PSC was still receiving proof of insurance for new motor carriers online through the Tyler Insurance Filings system. Even though the data was accurate and reflected an active commercial liability insurance policy, the agency was rejecting 12% of electronic filings due to agency rules requiring the inclusion of a handwritten signature on the form. This scenario led to manual and repetitive steps for both PSC staff and filers.
"We are no longer reviewing the same forms twice."
- Tammy Burl, Transportation Administrator
"Electronic filing has sped up our staff's review process, which in turn expedites final approval for our motor carrier applicants. We are no longer reviewing the same forms twice, or contacting filers to send in an ink signature," reflected Tammy.
The PSC also views the rule change as a way to continue to combat fraud and support highway safety.
"The online system notifies us right away when a motor carrier cancels their insurance," explained Tammy. "As a result, the Commission can quickly contact the motor carrier for updated proof of insurance. This discourages fraudulent activity and helps ensure companies are not operating illegally on Louisiana highways."
Online filing with Tyler Insurance Filings for Louisiana motor carriers is strongly recommended, and can offer many benefits to insurance companies, including increased productivity, better customer experience, enhanced security, and quick access to historical data.
Contact the Tyler Insurance Filings team at 703-841-6374 or support@tylerinsurancefilings.com to discuss how Tyler may be able to help streamline and automate your filing and business processes.