| 1 | A bill to be entitled |
| 2 | An act relating to motor vehicle repairs; requiring |
| 3 | collision centers, insurance claims centers, and insurance |
| 4 | adjusters' offices to display a disclosure relating to the |
| 5 | selection and ownership of repair facilities; requiring |
| 6 | certain repair facilities to submit a report to the Office |
| 7 | of Insurance Regulation; providing criteria for the |
| 8 | report; requiring the office to maintain the information |
| 9 | contained in the report; requiring the office to make such |
| 10 | information available to appropriate substantive |
| 11 | legislative committees; authorizing the office to penalize |
| 12 | repair facilities; providing civil penalties; providing |
| 13 | that no order of the office or court or holding of a |
| 14 | hearing will relieve or absolve a person from liability, |
| 15 | penalty, or forfeiture under law; providing an effective |
| 16 | date. |
| 17 |
|
| 18 | Be It Enacted by the Legislature of the State of Florida: |
| 19 |
|
| 20 | Section 1. Disclosure; conflict of interest.--The |
| 21 | following disclosure is required by law to be posted in visible |
| 22 | sight in the customer area of any collision center, insurance |
| 23 | claims center, or insurance adjuster's office: |
| 24 |
|
| 25 | A PERSON IN THIS STATE HAS THE RIGHT TO CHOOSE ANY |
| 26 | REPAIR FACILITY FOR THE REPAIR OF A MOTOR VEHICLE |
| 27 | LOSS. IF AN INSURER PROVIDES INFORMATION ABOUT A |
| 28 | REPAIR FACILITY, THE INSURER SHALL INFORM THE PERSON |
| 29 | OF THIS RIGHT AT THE SAME TIME AS PROVIDING THE |
| 30 | INFORMATION. THIS SECTION DOES NOT CREATE A PRIVATE |
| 31 | RIGHT OR CAUSE OF ACTION TO OR ON BEHALF OF ANY |
| 32 | PERSON. |
| 33 |
|
| 34 | IF AN INSURED OR CLAIMANT SELECTS A REPAIR FACILITY TO |
| 35 | REPAIR THE INSURED'S OR CLAIMANT'S MOTOR VEHICLE AND |
| 36 | THE INSURER OWNS AN INTEREST IN THAT REPAIR FACILITY, |
| 37 | THE ADJUSTER FOR THE MOTOR VEHICLE SHALL NOT BE |
| 38 | EMPLOYED BY THE REPAIR FACILITY OR HAVE ANY DIRECT |
| 39 | AUTHORITY OVER THAT FACILITY'S RECOMMENDATIONS OR |
| 40 | DECISIONS RELATING TO THE REPAIR OF THE INSURED'S OR |
| 41 | CLAIMANT'S MOTOR VEHICLE. |
| 42 |
|
| 43 | Section 2. Reports by insurer-owned repair facilities.-- |
| 44 | (1) Not later than January 10 each year, through January |
| 45 | 10, 2010, each repair facility that an insurer owns an interest |
| 46 | in and that engages in the business of repairing or replacing |
| 47 | the nonmechanical exterior or interior body parts of a damaged |
| 48 | motor vehicle shall file a report with the Director of the |
| 49 | Office of Insurance Regulation: |
| 50 | (a) Providing the number of motor vehicles repaired, |
| 51 | including the dollar amount of those repairs, by the repair |
| 52 | facility in the previous calendar year in which the motor |
| 53 | vehicle owners were insured by or claimants of the insurer that |
| 54 | owns an interest in the repair facility. |
| 55 | (b) Providing the number of motor vehicles repaired, |
| 56 | including the dollar amount of those repairs, by the repair |
| 57 | facility in the previous calendar year in which the motor |
| 58 | vehicle owners were insured by or claimants of the insurer that |
| 59 | owns an interest in the repair facility as a percentage of the |
| 60 | total number of motor vehicles repaired, or the total dollar |
| 61 | amount of those repairs, by that repair facility for that |
| 62 | calendar year. |
| 63 | (2) The Office of Insurance Regulation shall maintain the |
| 64 | information received pursuant to subsection (1) and make this |
| 65 | information and any violations of this act available annually to |
| 66 | the appropriate substantive committees of the Senate and the |
| 67 | House of Representatives. |
| 68 | Section 3. Cease and desist order for defined or |
| 69 | prohibited practices; civil penalty.-- |
| 70 | (1) If, after a hearing, the Office of Insurance |
| 71 | Regulation finds that a person or a repair facility has engaged |
| 72 | or is engaging in any illegal or unfair method of competition or |
| 73 | an unfair or deceptive act or practice under this act, the |
| 74 | office: |
| 75 | (a) Shall order such person or repair facility to cease |
| 76 | and desist from the proscribed acts or practices. |
| 77 | (b) May impose a civil penalty of not more than $1,000 for |
| 78 | each act or violation but not to exceed an aggregate penalty of |
| 79 | $50,000 in any 6-month period unless the person or repair |
| 80 | facility intentionally violates this subsection, in which case |
| 81 | the office may impose a civil penalty of up to $5,000 for each |
| 82 | act or violation but not to exceed an aggregate penalty of |
| 83 | $100,000 in any 6-month period. |
| 84 | (2) No order of the Office of Insurance Regulation |
| 85 | pursuant to this act, order of a court to enforce such order, or |
| 86 | holding of a hearing may in any manner relieve or absolve any |
| 87 | person affected by the order or hearing from any other |
| 88 | liability, penalty, or forfeiture under law. |
| 89 | Section 4. This act shall take effect July 1, 2005. |