Bill Text: IA SF332 | 2019-2020 | 88th General Assembly | Introduced
Bill Title: A bill for an act relating to motor vehicle damage repair under motor vehicle insurance policies and deceptive acts or practices by motor vehicle insurers.
Spectrum: Partisan Bill (Republican 1-0)
Status: (Introduced - Dead) 2019-02-21 - Subcommittee: Breitbach, Koelker, and Lykam. S.J. 381. [SF332 Detail]
Download: Iowa-2019-SF332-Introduced.html
Senate
File
332
-
Introduced
SENATE
FILE
332
BY
ZAUN
A
BILL
FOR
An
Act
relating
to
motor
vehicle
damage
repair
under
motor
1
vehicle
insurance
policies
and
deceptive
acts
or
practices
2
by
motor
vehicle
insurers.
3
BE
IT
ENACTED
BY
THE
GENERAL
ASSEMBLY
OF
THE
STATE
OF
IOWA:
4
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Section
1.
Section
507B.4,
subsection
3,
paragraph
j,
Code
1
2019,
is
amended
by
adding
the
following
new
subparagraph:
2
NEW
SUBPARAGRAPH
.
(16)
Failing
to
comply
with
section
3
537B.7,
subsection
2.
4
Sec.
2.
Section
507B.6,
subsection
1,
Code
2019,
is
amended
5
to
read
as
follows:
6
1.
Whenever
the
commissioner
believes
that
any
person
has
7
been
engaged
or
is
engaging
in
this
state
in
any
unfair
method
8
of
competition
or
any
unfair
or
deceptive
act
or
practice
9
whether
or
not
defined
in
section
507B.4
,
507B.4A
,
or
507B.5
,
10
or
537B.7,
and
that
a
proceeding
by
the
commissioner
in
respect
11
to
such
method
of
competition
or
unfair
or
deceptive
act
or
12
practice
would
be
in
the
public
interest,
the
commissioner
13
shall
issue
and
serve
upon
such
the
person
a
statement
of
the
14
charges
in
that
respect
and
a
notice
of
a
hearing
on
such
the
15
charges
to
.
The
hearing
shall
be
held
at
a
time
and
place
fixed
16
in
the
notice,
which
shall
not
be
less
than
ten
days
after
the
17
date
of
the
service
of
such
the
notice.
18
Sec.
3.
Section
507B.12,
subsection
1,
Code
2019,
is
amended
19
to
read
as
follows:
20
1.
The
commissioner
may,
after
notice
and
hearing,
21
promulgate
reasonable
rules
,
as
are
necessary
or
proper
to
22
identify
specific
methods
of
competition
or
acts
or
practices
23
which
are
prohibited
by
section
507B.4
,
507B.4A
,
or
507B.5
,
24
or
537B.7,
but
the
rules
shall
not
enlarge
upon
or
extend
the
25
provisions
of
such
sections.
Such
rules
shall
be
subject
to
26
review
in
accordance
with
chapter
17A
.
27
Sec.
4.
NEW
SECTION
.
537B.7
Deceptive
act
or
practice
——
28
insurer.
29
1.
As
used
in
this
section:
30
a.
“Claimant”
means
a
person
seeking
a
repair
of
a
motor
31
vehicle
whether
that
person
is
the
insured
person
or
a
third
32
party
making
a
claim
against
the
insurer.
33
b.
“Motor
vehicle”
means
the
same
as
defined
in
section
34
537B.4.
35
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c.
“Repair
facility”
means
the
same
as
defined
in
section
1
537B.4.
2
2.
An
insurer,
adjuster,
appraiser,
insurance
producer,
3
employee
of
an
insurer,
or
any
other
representative
of
an
4
insurer,
shall
not,
in
regard
to
a
repair
of
damage
to
a
5
motor
vehicle
covered
by
a
motor
vehicle
insurance
policy,
6
unilaterally
disregard
a
repair
operation
or
cost
identified
by
7
an
estimating
system
which
the
insurer
and
a
repair
facility
8
have
agreed
to
use
to
determine
the
cost
of
repair
to
a
9
claimant’s
motor
vehicle.
10
3.
A
violation
of
this
section
shall
be
an
unfair
or
11
deceptive
act
or
practice
in
the
business
of
insurance
as
12
provide
in
section
507B.4,
subsection
3,
paragraph
“j”
,
13
subparagraph
(16).
14
EXPLANATION
15
The
inclusion
of
this
explanation
does
not
constitute
agreement
with
16
the
explanation’s
substance
by
the
members
of
the
general
assembly.
17
This
bill
relates
to
the
repair
of
damage
to
a
motor
vehicle
18
covered
by
a
motor
vehicle
insurance
policy
and
deceptive
acts
19
or
practices
by
the
insurer
of
the
motor
vehicle.
20
The
bill
makes
it
an
unfair
or
deceptive
act
or
practice
in
21
the
business
of
insurance
for
an
insurer,
adjuster,
appraiser,
22
insurance
producer,
employee
of
an
insurer,
or
any
other
23
representative
of
an
insurer
to
unilaterally
disregard
a
repair
24
operation
or
cost
identified
by
an
estimating
system
which
the
25
insurer
and
a
repair
facility
agreed
to
use
to
determine
the
26
cost
of
repairing
a
claimant’s
motor
vehicle.
27
“Claimant”
is
defined
in
the
bill
as
an
insured
person,
28
or
a
third
party
making
a
claim
against
the
insurer,
seeking
29
a
repair
of
a
motor
vehicle.
“Motor
vehicle”
and
“repair
30
facility”
are
defined
in
the
bill.
31
The
bill
makes
conforming
changes
to
Code
sections
507B.6
32
and
507B.12.
33
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