IIK 2025 Session Legislative Victories
IIK had several priority bills passed into law during the 2025 legislative session. Following is a list of the bills that are set to become law:
SB 24 (Sen. Girdler) – Inflated Billing: This bill helps to combat insurance fraud by expanding the definition of a fraudulent insurance act to include inflated billing.
SB 136 – NADA Book Update: Several sections of a broader bill dealing with transportation included the provisions that IIK worked on to help resolve the valuation of automobiles for insurance purposes. Our language in this bill allows insurers to use a generally accepted valuation tool immediately and directs the Department of Insurance to promulgate an emergency regulation by July 1 to set a list of valuation manuals.
HB 233 (Rep. Williams) – Contractor Fraud: This bill strengthens consumer protections that were passed a number of years ago to protect people from unscrupulous roofing contractors, often known as “storm chasers.” It expands those protections to include all contractors and puts the responsibility for enforcement in the Attorney General’s office. It sets notice requirements for real estate goods and services contracts and provides a 5-day cancellation period.
HB 390 (Rep. Meredith) – Real Time Insurance Verification: This bill requires the Department of Vehicle Regulation to create an online system for verifying motor vehicle insurance, which will greatly aid in identifying uninsured drivers. The bill establishes rules for insurers to submit data, updates the penalties for uninsured vehicles, and establishes a technical advisory committee.
HB 493 (Rep. Pollock) – Towing & Storage – This bill also updates consumer protection legislation passed several years ago, this time dealing with towing and storage practices. It establishes a towing and storage facility certificate and requires applicants for a towing and storage facility certificate to file a rate sheet with the Kentucky Department of Transportation. It also sets new notification time frames for the initiation and release of vehicle holds, requires that notifications of a vehicle hold be sent to owners, and eliminates the cap on storage fees for vehicles under a hold. It also allows an entity requesting a hold to approve an insurer to store a vehicle at the insurer’s secure facility and includes owners in language relating to payment and vehicles released from a hold.
Following is a list of IIK priority bills that did not pass:
SB 99 (Sen. Douglas and Sen. Higdon) – Require Hands-Free Cell Phone Usage when Driving: This bill would have worked to reduce distracted driving by requiring that cell phone use when driving must be done hands-free. This has been an IIK priority for several years, but we have yet to get the bill over the finish line. You can read more about the issue here.
HB 416 (Bray) – PIP Reform: IIK has supported PIP reform for many years, and we have worked on several bills for many years. This bill attempted to reduce medical costs on PIP claims by subjecting all medical costs except those incurred in emergency care to the Workers’ Compensation Fee Schedule. It also increased the maximum amount of lost wages or other income that could be claimed per week under the act. The bill passed the House but was unable to gain any traction in the Senate. You can read more about PIP reform here.