BILL REQ. #:  H-3509.1 

Read first time 01/22/14.   Referred to Committee on Business & Financial Services.

     AN ACT Relating to unfair practices by automobile insurers; and adding a new section to chapter 48.30 RCW.

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

NEW SECTION.  Sec. 1   A new section is added to chapter 48.30 RCW to read as follows:
     (1) Automobile insurers engaged in the business of insurance in Washington state may not unreasonably fail to pay first and third party property damage claims for damage to motor vehicles, including motor-driven cycles and bicycles, by committing any of the unfair acts set forth in this subsection when liability for a collision is reasonably clear:
     (a) Unreasonably refusing to pay a claimant's estimate for repairs or to pay for a total loss;
     (b) Unreasonably refusing to pay supplemental repairs necessary to restore a vehicle to its preloss condition;
     (c) Failing to advise a claimant in writing that the claimant may submit a claim to the insurer for the diminished value of the vehicle to which repairs were made, and unreasonably failing to pay for the diminished value;
     (d) Unreasonably electing to repair a vehicle, a motor-driven cycle, or a bicycle when it should be declared a total loss;
     (e) Failing to inform claimants of the insurer's guidelines for electing to repair or replace a vehicle, motorcycle, or bicycle damaged in a collision; and
     (f) Otherwise violating any of the provisions of WAC 284-30-390, 284-30-391, 284-30-393, and 284-30-394.
     (2) Violations of this section violate RCW 19.86.020 and are subject to the remedial provisions of RCW 19.86.090.