Earlier today, Louisiana Governor Bobby Jindal signed into law the bill which will prevent insurance companies from dropping coverage of homeowners who have found corrosive Chinese drywall in their homes.
The new law, which was sponsored (as a bill) by Senator Julie Quinn of Metairie, will prohibit insurers from canceling or refusing renewals on policies for homes because of Chinese-made drywall which has been blamed for health concerns and corrosion, though insurers will NOT be prevented from raising relevant deductibles or premiums.
This new law only applies to drywall that was imported from or manufactured in China before Dec. 31, 2009. Insurers found to be in violation will face a penalty of up to $15,000.
The law remains in effect until July 1, 2013.