SF 3508

1st Engrossment - 85th Legislature (2007 - 2008) Posted on 12/15/2009 12:00am

A bill for an act
relating to insurance; regulating motor vehicle insurance adjustments; amending
Minnesota Statutes 2007 Supplement, section 72B.092, subdivision 1.

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

Section 1.

Minnesota Statutes 2007 Supplement, section 72B.092, subdivision 1, is
amended to read:

Subdivision 1.

Prohibitions on insurer.

No adjuster or insurer, director, officer,
broker, agent, attorney-in-fact, employee, or other representative of an insurer shall
in collision cases:

deleted text begin (a) deleted text end new text begin (1) new text end limit the freedom of an insured or claimant to choose the shop;

deleted text begin (b) deleted text end new text begin (2) new text end require that an insured or claimant present the claim or the automobile for
loss adjustment or inspection at a "drive-in" claim center or any other similar facility
solely under the control of the insurer;

deleted text begin (c) deleted text end new text begin (3) new text end engage in boycotts, intimidation or coercive tactics in negotiating repairs to
damaged motor vehicles which they insure or are liable to claimants to have repaired;

deleted text begin (d) deleted text end new text begin (4) new text end attempt to secure, except in an emergency, the insured's or claimant's
signature authorizing the party securing the signature to act in behalf of the insured or
claimant in selection of a repair shop facility;

deleted text begin (e) deleted text end new text begin (5) new text end adjust a damage appraisal of a repair shop when the extent of damage is in
dispute without conducting a physical inspection of the vehicle; deleted text begin or
deleted text end

deleted text begin (f) deleted text end new text begin (6) new text end specify the use of a particular vendor for the procurement of parts or other
materials necessary for the satisfactory repair of the vehicle. This clause does not require
the insurer to pay more than a reasonable market price for parts of like kind and quality
in adjusting a claim deleted text begin . deleted text end new text begin ; or
new text end

new text begin (7) unilaterally and arbitrarily disregard a repair operation or cost identified by an
estimating system, which an insurer and collision repair facility have agreed to utilize
in determining the cost of repair.
new text end