BILL REQ. #:  S-3349.1 

Read first time 01/12/2004.   Referred to Committee on Financial Services, Insurance & Housing.

     AN ACT Relating to establishing the Washington state autobody and glass repair consumer bill of rights; adding a new section to chapter 48.18 RCW; and creating a new section.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF WASHINGTON:

NEW SECTION.  Sec. 1   A new section is added to chapter 48.18 RCW to read as follows:
     (1) No insurer shall require that a motor vehicle be repaired at a specific motor vehicle repair or auto glass dealer.
     (2)(a) No insurer shall suggest or recommend that a motor vehicle be repaired at a specific motor vehicle repair or auto glass dealer unless either of the following applies:
     (i) A referral is expressly requested by the claimant; or
     (ii) The claimant has been informed in writing of the right to select the motor vehicle repair or auto glass dealer.
     (b) If the recommendation is accepted by the claimant, the insurer shall cause the damaged motor vehicle to be restored to its condition prior to the loss at no additional cost to the claimant other than as stated in the policy or as is otherwise allowed by law. If the recommendation of a motor vehicle repair dealer is done orally, and if the oral recommendation is accepted by the claimant, the insurer shall provide the information contained in this section, as noted in the statement below, to the claimant at the time the recommendation is made. The insurer shall send the written notice within five calendar days from the oral recommendation. The written notice shall include the following statement plainly printed in no less than 10-point type:

"WE ARE PROHIBITED BY LAW FROM REQUIRING THAT REPAIRS BE DONE AT A SPECIFIC MOTOR VEHICLE REPAIR OR AUTO GLASS DEALER. YOU ARE ENTITLED TO SELECT THE AUTOBODY REPAIR OR AUTO GLASS SHOP TO REPAIR DAMAGE COVERED BY US. WE HAVE RECOMMENDED A MOTOR VEHICLE REPAIR OR AUTO GLASS DEALER THAT WILL REPAIR YOUR DAMAGED VEHICLE. IF YOU AGREE TO USE OUR RECOMMENDED MOTOR VEHICLE REPAIR OR AUTO GLASS DEALER, WE WILL CAUSE THE DAMAGED MOTOR VEHICLE TO BE RESTORED TO ITS CONDITION PRIOR TO THE LOSS AT NO ADDITIONAL COST TO YOU OTHER THAN AS STATED IN THE INSURANCE POLICY OR AS OTHERWISE ALLOWED BY LAW. IF YOU EXPERIENCE A PROBLEM WITH THE REPAIR OF YOUR MOTOR VEHICLE, PLEASE CONTACT US IMMEDIATELY FOR ASSISTANCE."

     (3) Except as provided in subsection (2)(a)(i) of this section after the claimant has chosen a motor vehicle repair or auto glass dealer, the insurer shall not suggest or recommend that the claimant select a different motor vehicle repair or auto glass dealer.
     (4) An insurer that, by the insurance contract, suggests or recommends that a motor vehicle be repaired at a particular motor vehicle repair or auto glass dealer shall also do both of the following:
     (a) Prominently disclose the contractual provision in writing to the insured at the time the insurance is applied for and at the time the claim is acknowledged by the insurer; and
     (b) If the claimant elects to have the vehicle repaired at the shop of his or her choice, the insurer shall not limit or discount the reasonable repair costs based on charges that would have been incurred had the vehicle been repaired by the insurer's chosen shop.
     (5) For the purposes of this section, "claimant" means a first-party claimant or insured, or a third-party claimant who asserts a right of recovery for automotive repairs under an insurance policy.

NEW SECTION.  Sec. 2   This act may be known and cited as the Washington state autobody and glass repair consumer bill of rights act.