1. A. Applicants requesting an innovation waiver shall do so in writing to the commissioner through the Office of Policy, Innovation and Research and include the following:

   1. 1. the legal name and trade name, if any, of the natural or juridical person applying for the innovation waiver;
   2. 2. an agreement that the applicant will submit to the jurisdiction of this state;
   3. 3. an agreement that the applicant will establish a physical location in this state or a virtual facility adequately accessible to the commissioner to monitor testing and examine all required records, documents, and data.
   4. 4. the legal name, job title, and responsibilities of the directors and executive officers of the applicant, any persons who are beneficial owners of 10 percent or more of the voting securities of the applicant, and any persons with power to direct the management and policies of the applicant and key personnel;
   5. 5. the contact information for the applicant, directors, and executive officers of the applicant, any persons who are beneficial owners of 10 percent or more of the voting securities of the applicant, any persons with power to direct the management and policies of the applicant, and key personnel to include email address, phone number, physical and mailing address, website and social media;
   6. 6. disclosure of criminal convictions of the applicant and all key personnel;
   7. 7. a description of the business operations of the applicant;
   8. 8. a description of the product or service to be offered pursuant to the innovation waiver, including the current state of development of the innovative product or service, how the product or service functions, the manner and terms on which it will be offered, and the features that distinguish it from other products or services available in the state of Louisiana;
   9. 9. evidence that the applicant has the necessary personnel, financial resources, technical expertise, access to capital, and a developed plan to test, monitor, and evaluate the innovative insurance product or service;
   10. 10. a description of the potential benefits to consumers of the product or service;
   11. 11. a description of the potential risks to consumers posed by the product or service or the approval of the proposed waiver and how the applicant proposes to mitigate such risks;
   12. 12. an identification of the insurance statutory or regulatory provisions that prohibit the introduction, sale, or offering of the product or service;
   13. 13. a nonrefundable filing fee in the amount of two thousand dollars;
   14. 14. an explanation of how participating in the Regulatory Sandbox would enable a successful test of the innovative insurance product or service with narratives for proposed beginning operations, ongoing operations, the process regarding waiver termination, including plans to obtain necessary licensure or authorizations after termination of the innovation waiver;
   15. 15. an explanation of how the applicant will terminate the innovation waiver and protect consumers if the test fails;

   16. 16. a description of the security requirements, as required by the commissioner, to protect consumers and safeguard against the applicant's insolvency or other liabilities that may arise from participation in the Regulatory Sandbox that includes any one or more of the following:

       1. a. a contractual liability insurance policy;
       2. b. a surety bond issued by an authorized surety;
       3. c. securities of the type eligible for deposit by authorized insurers in Louisiana;
       4. d. an account payable to the commissioner in a federally insured financial institution where the deposited funds cannot be withdrawn except by the commissioner’s order;
       5. e. a letter of credit issued by a qualified financial institution as defined by R.S.22:512; or
       6. f. another form of security that may be authorized by the commissioner; and
   17. 17. any additional information required by the commissioner.
2. B. The commissioner may not grant an innovation waiver to an applicant or any other person who has been convicted, entered a plea of nolo contendere, or entered a plea of guilty or nolo contendere held in abeyance, for a crime involving theft, fraud, or dishonesty that bears a substantial relationship to the applicant's or participant's ability to safely or competently administer an innovative insurance product or service.
3. C. The commissioner shall grant or deny a waiver within 90 days after the applicant's innovation waiver application is deemed complete.

Authority Note

AUTHORITY NOTE: Promulgated in accordance with R.S. 22:11, 22:1430.1 et seq., and the Administrative Procedure Act, R.S. 49:950 et seq.

Historical Note

HISTORICAL NOTE: Promulgated by the Department of Insurance, Office of the Commissioner, LR 51:966 (July 2025).