Senate Bill 2106

CODING: Words stricken are deletions; words underlined are additions.



    Florida Senate - 1999                                  SB 2106

    By Senator Horne





    10-1222-99

  1                      A bill to be entitled

  2         An act relating to aftermarket crash parts;

  3         creating s. 501.325, F.S.; providing

  4         prohibitions against insurers relating to use

  5         of certain replacement parts, payments for

  6         certain parts, and use of certain repair

  7         facilities; amending s. 501.33, F.S.; revising

  8         a required disclosure; requiring certain

  9         aftermarket crash parts to contain certain

10         information; requiring estimates of repair

11         costs using certain parts to provide costs of

12         certain required additional modifications

13         relating to such parts; providing an effective

14         date.

15

16  Be It Enacted by the Legislature of the State of Florida:

17

18         Section 1.  Section 501.325, Florida Statutes, is

19  created to read:

20         501.325  Insurer prohibitions.--

21         (1)  An insurer may not require, as a condition of

22  payment of a claim under a motor vehicle insurance policy, the

23  use of any replacement part that is not new and original

24  manufacturer equipment in repairing a motor vehicle during the

25  3-year period equivalent to the initial 3-year warranty period

26  for the vehicle. The insurer may not require additional

27  payment for the use of the new and original manufacturer

28  equipment in repairing a motor vehicle during such period.

29  After such period, any choice between using a replacement part

30  that is new and original manufacturer equipment and a

31  replacement part that is not new and original manufacturer

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    Florida Senate - 1999                                  SB 2106
    10-1222-99




  1  equipment in repairing a motor vehicle shall be that of the

  2  person making the claim.

  3         (2)  An insurer may not require the use of any repair

  4  facility as a condition of payment of any claim under a motor

  5  vehicle insurance policy.

  6         Section 2.  Section 501.33, Florida Statutes, is

  7  amended to read:

  8         501.33  Disclosure.--

  9         (1)  In all instances where nonoriginal equipment

10  manufacturer aftermarket crash parts are used in preparing an

11  estimate for repairs, the written estimate prepared by the

12  insurer or the repair facility, or both, shall clearly

13  identify each such part.  A disclosure shall be attached to,

14  or included in, the estimate and shall contain the following

15  information in no smaller than 10-point type:

16

17      Replacement Crash Parts Notice and Authorization Form

18

19  NOTICE TO CONSUMER:

20         1.  "Replacement crash parts" are the parts typically

21  replaced during the repair of a damaged vehicle. These parts

22  include, but are not limited to, exterior sheet metal and

23  plastic components (such as fenders, hoods, doors, bumper

24  systems, and related structural components).

25         2.  The type(s) of replacement crash parts listed on

26  your estimate/repair order #         (copy attached) are from

27  the categories checked below.

28         3.  Warranties for the type(s) of replacement crash

29  parts listed below are provided by the manufacturer or

30  distributor of the replacement parts. Warranty coverage

31  varies. Ask your insurer or collision repair professional for

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    Florida Senate - 1999                                  SB 2106
    10-1222-99




  1  specific, written warranty information. Additional warranties

  2  for replacement crash parts will be provided by             .

  3         4.  Replacement Crash Parts Types (Check all that

  4  apply):

  5

  6             New Original Equipment Manufacturer (OEM).

  7             Parts that are made by the vehicle

  8             manufacturer or one of its licensees and

  9             distributed through the normal channels of

10             the manufacturer. These parts maintain the

11             OEM Vehicle Factory Warranty for the replaced

12             part and any other adjoining or associated

13             OEM parts or systems.

14

15             New Aftermarket. Parts that are made by

16             companies other than the vehicle manufacturer

17             or its licensees. All parts in this category

18             are warranted by the distributor and/or

19             manufacturer of these parts.

20

21             Recycled/Recyclable. Used parts that have

22             been removed from another vehicle. All parts

23             in this category are warranted by the salvage

24             vendor.

25

26             Remanufactured. Parts that have been returned

27             to like-new condition by repairing,

28             remachining, or rebuilding. All parts in this

29             category are warranted by the remanufacturer

30             of the part.

31

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    Florida Senate - 1999                                  SB 2106
    10-1222-99




  1  I understand that my vehicle will be repaired using the parts

  2  described above, and I authorize the repair facility to

  3  install those parts.

  4

  5  Customer Signature:................Date:......................

  6         (2)  Any aftermarket crash parts supplied by a

  7  manufacturer of equipment which is not original manufacturer

  8  equipment for use in this state after the effective date of

  9  this act shall have affixed to such part or inscribed on such

10  part the logo or name of the manufacturer of the part.

11         (3)  Any insurer's use of aftermarket crash parts for a

12  vehicle past the 3-year period shall include in the estimate

13  provided to the insured the cost of any modifications solely

14  attributable to the use of any parts that are not original

15  equipment manufacturer parts that are necessary to attain

16  satisfactory fit, finish, and corrosion protection. THIS

17  ESTIMATE HAS BEEN PREPARED BASED ON THE USE OF CRASH PARTS

18  SUPPLIED BY A SOURCE OTHER THAN THE MANUFACTURER OF YOUR MOTOR

19  VEHICLE.  THE AFTERMARKET CRASH PARTS USED IN THE PREPARATION

20  OF THIS ESTIMATE ARE WARRANTED BY THE MANUFACTURER OR

21  DISTRIBUTOR OF SUCH PARTS RATHER THAN THE MANUFACTURER OF YOUR

22  VEHICLE.

23         Section 3.  This act shall take effect July 1, 1999.

24

25            *****************************************

26                       LEGISLATIVE SUMMARY

27
      Prohibits insurers from requiring as a condition of claim
28    payment the use of other than new and original
      manufacturer equipment for 3 years after sale of a new
29    car. Prohibits insurers from requiring additional payment
      for the use of new and original manufacturer equipment
30    during such period, and prohibits them from requiring the
      use of particular repair facilities as a condition of
31    claim payment. Revises a required disclosure for
      replacement crash parts.
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