BATON ROUGE, La. (AP) - A bill to ban insurance companies from
dropping coverage of homeowners who have found corrosive Chinese
drywall in their homes is headed to Gov. Bobby Jindal.
The state Senate gave final passage to the proposal Tuesday.
Rep. Julie Quinn's bill would prohibit insurers from canceling
or refusing to renew policies for homes because of Chinese-made
drywall.
People who rebuilt their south Louisiana homes after Hurricane
Katrina claim the imported drywall emits sulfur, methane and other
chemical compounds that have ruined homes and appliances and harmed
residents' health. The contaminated wallboard is costly to replace.
Insurance industry lobbyists have argued the ban could raise
insurance rates and would violate existing contracts.
Insurers found to be in violation of the policy would face a
penalty up to $15,000. The law would remain in effect until 2013.

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