Louisiana House Bill 672: What Insurers and MGAs Must Do to Stay Compliant

Louisiana’s House Bill 672 arrived in 2024 – and for insurers, Managing General Agents (MGAs) and Third-Party Administrators (TPAs), the message is clear: regulatory expectations are rising, and the margin for error is shrinking. 

HB 672 introduced more stringent requirements designed to strengthen transparency, accountability and consumer protection across the insurance value chain. While the intent is clear, the operational and compliance implications are significant for organisations operating in or connected to the Louisiana market. The question many firms are asking is: are we compliant? 

Understanding the Impact of House Bill 672 

Louisiana House Bill 672 placed increased scrutiny on insurer-MGA and TPA relationships, governance frameworks and operational oversight. For many organisations, this means reassessing existing controls, reporting processes and audit readiness to ensure they stand up to regulatory review. 

While any new regulation can feel burdensome, it also presents an opportunity. Firms that take a proactive, structured approach to compliance will both reduce regulatory risk while also strengthening operational resilience and build greater trust with regulators and partners. 

Why Operational Audits Matter More Than Ever 

With regulators sharpening their focus on MGAs and delegated authority arrangements, operational audits have become a critical line of defence. At Pro, our MGA and Coverholder audits are designed to give you confidence that your business aligns with the latest regulatory requirements, including those introduced under HB 672. But compliance is only part of the story. 

Our expert-led audits go beyond box-ticking. They provide practical, actionable insights into your operational health, highlighting risks, inefficiencies and opportunities for improvement – before they turn into costly issues. 

We deliver comprehensive, tailored audits that reflect the realities of your business and the regulatory environment you operate in. Our data-driven approach helps you: 

• Meet Louisiana House Bill 672 requirements with confidence 

• Avoid penalties and regulatory surprises 

• Improve financial stability and operational efficiency 

• Strengthen governance and oversight frameworks 

In short, we help you stay compliant while building a stronger, more resilient operation. 

The changes brought by Louisiana’s House Bill 672 mean stricter oversight for insurers, MGAs and TPAs. To help you navigate the new requirements, we’ve created a free, practical guide packed with actionable strategies to keep your business compliant and efficient.