HB477: HB477 Insurance; prohibit insurers from raising private passenger motor vehicle insurance rates more often that once every calendar year

Under current Georgia law, insurers can adjust private passenger motor vehicle insurance rates as often as regulators and market conditions allow, as long as the rates are not deemed excessive under the standards in Georgia's insurance code (O.C.G.A. § 33-9-4). This bill would add a new limit: no insurer in Georgia could raise rates on a private passenger auto insurance policy more than once every calendar year, regardless of other rate-setting rules. The bill amends part of Chapter 9 of Title 33 of the Official Code of Georgia Annotated, which governs how insurance rates are regulated. It keeps the existing rule that a rate filing for a personal auto insurance increase can only be found excessive if it is unreasonably high and lacks a competitive market, but layers on the new once-a-year cap regardless of that standard. The change would take effect January 1, 2026, and would apply to all private passenger auto policies issued, delivered, or renewed in Georgia on or after that date.

• Adds a new rule barring insurers from raising rates on private passenger motor vehicle insurance policies more than once per calendar year.
• Amends O.C.G.A. § 33-9-4, part of Georgia's insurance rate regulation law, to include this new frequency limit.
• Keeps the existing legal standard for when a personal auto insurance rate increase can be considered excessive, based on being unreasonably high and lacking market competition.
• Sets an effective date of January 1, 2026, applying to policies issued, delivered, or renewed in Georgia on or after that date.
• Repeals any existing Georgia laws that conflict with the new once-a-year rate increase limit.

Private passenger motor vehicle insurance companies operating in Georgia and Georgia drivers who hold personal auto insurance policies are directly affected, since insurers would face a new limit on how often they can raise those drivers' rates.

If enacted, Georgia drivers would be protected from having their private passenger auto insurance rates raised more than once a year, potentially giving households more predictable costs, while insurers would need to plan rate changes around this once-a-year limit rather than adjusting more frequently.

• Section 1 revises paragraph (2) of O.C.G.A. § 33-9-4 to add that no insurer may raise rates on a private passenger motor vehicle insurance policy more often than once every calendar year.
• Section 1 preserves the existing standard that a personal private passenger auto rate increase is not excessive unless it is unreasonably high and lacks reasonable market competition.
• Section 2 sets the effective date as January 1, 2026, and applies the law to all relevant policies issued, delivered, or renewed on or after that date.
• Section 3 repeals any conflicting Georgia laws.

1. 2025-02-20House Second Readers (House)
2. 2025-02-19House First Readers (House)
3. 2025-02-18House Hopper (House)

• Debra Bazemore (D, HD-069)Primary sponsor
• Carl Gilliard (D, HD-162)
• Omari Crawford (D, HD-089)
• Karen Bennett (D, HD-094)
• Dar'shun Kendrick (D, HD-095)
• Spencer Frye (D, HD-122)

• car insurance rates
• insurance regulation
• auto insurance policy
• consumer protection