Bill Text: MN SF249 | 2011-2012 | 87th Legislature | Engrossed
NOTE: There are more recent revisions of this legislation. Read Latest Draft
Bill Title: Residential contractors insurance claims for goods and services regulation
Sponsorship: Slight Partisan Bill (Republican 7-3)
Status: (Passed) 2011-05-24 - Governor approval [SF249 Detail]
Download: Minnesota-2011-SF249-Engrossed.html
Bill Title: Residential contractors insurance claims for goods and services regulation
Sponsorship: Slight Partisan Bill (Republican 7-3)
Status: (Passed) 2011-05-24 - Governor approval [SF249 Detail]
Download: Minnesota-2011-SF249-Engrossed.html
1.2relating to commerce; regulating the provision of certain goods and services of
1.3residential contractors; providing enforcement;amending Minnesota Statutes
1.42010, sections 325E.66; 326B.811, subdivision 1.
1.5BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:
1.6 Section 1. Minnesota Statutes 2010, section 325E.66, is amended to read:
1.7325E.66 INSURANCE CLAIMS FOR RESIDENTIALROOFING
1.8CONTRACTING GOODS AND SERVICES.
1.9 Subdivision 1. Payment or rebate of insurance deductible. A residential
1.10contractor providing the repair or replacement of residential roofinggoods and services
1.11or siding to be paid by an insured from the proceeds of a property or casualty insurance
1.12policy shall not, as an inducement to the sale or provision of goods or services to an
1.13insured, advertise or promise to payor rebate, directly or indirectly, all or part of any
1.14applicable insurance deductible or offer to compensate an insured for providing any
1.15service to the insured. If a residential contractor violates this section, the insurer to whom
1.16the insured tendered the claim shall not be obligated to consider the estimate prepared by
1.17the residential contractor.
1.18For purposes of this section, "residential contractor" means a residential roofer, as
1.19defined in section326B.802, subdivision 14 ; a residential contractor, as defined in section
1.20326B.802, subdivision 11
; and a residential remodeler, as defined in section
326B.802 ,
1.21subdivision 12; and a siding contractor registered under section 326B.802, subdivision 15.
1.22 Subd. 2.Violation Private remedy. If a residential contractor violates subdivision
1.231, the insured or the applicable insurer may bring an action against the residential
2.1contractor in a court of competent jurisdiction for damages sustained by the insured or
2.2insurer as a consequence of the residentialroofer's contractor's violation.
2.3 Subd. 3. Public enforcement. The commissioner of labor and industry shall enforce
2.4this section under sections 326B.081 to 326B.085.
2.5 Sec. 2. Minnesota Statutes 2010, section 326B.811, subdivision 1, is amended to read:
2.6 Subdivision 1. Required. A person who has entered into a written contract with
2.7acontractor residential roofer or a siding contractor registered under section 326B.802,
2.8subdivision 15, to provideresidential roofing goods and services to be paid by the
2.9insured from the proceeds of a property or casualty insurance policy has the right to
2.10cancel the contract within 72 hours after the insured has been notified by the insurer
2.11that the claim has been denied. Cancellation is evidenced by the insured giving written
2.12notice of cancellation to the contractor at the address stated in the contract. Notice of
2.13cancellation, if given by mail, is effective upon deposit in a mailbox, properly addressed
2.14to the contractor and postage prepaid. Notice of cancellation need not take a particular
2.15form and is sufficient if it indicates, by any form of written expression, the intention of the
2.16insured not to be bound by the contract.
1.3residential contractors; providing enforcement;amending Minnesota Statutes
1.42010, sections 325E.66; 326B.811, subdivision 1.
1.5BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:
1.6 Section 1. Minnesota Statutes 2010, section 325E.66, is amended to read:
1.7325E.66 INSURANCE CLAIMS FOR RESIDENTIAL
1.8CONTRACTING GOODS AND SERVICES.
1.9 Subdivision 1. Payment or rebate of insurance deductible. A residential
1.10contractor providing the repair or replacement of residential roofing
1.11or siding to be paid by an insured from the proceeds of a property or casualty insurance
1.12policy shall not, as an inducement to the sale or provision of goods or services to an
1.13insured, advertise or promise to pay
1.14applicable insurance deductible or offer to compensate an insured for providing any
1.15service to the insured. If a residential contractor violates this section, the insurer to whom
1.16the insured tendered the claim shall not be obligated to consider the estimate prepared by
1.17the residential contractor.
1.18For purposes of this section, "residential contractor" means a residential roofer, as
1.19defined in section
1.21subdivision 12; and a siding contractor registered under section 326B.802, subdivision 15.
1.22 Subd. 2.
1.231, the insured or the applicable insurer may bring an action against the residential
2.1contractor in a court of competent jurisdiction for damages sustained by the insured or
2.2insurer as a consequence of the residential
2.3 Subd. 3. Public enforcement. The commissioner of labor and industry shall enforce
2.4this section under sections 326B.081 to 326B.085.
2.5 Sec. 2. Minnesota Statutes 2010, section 326B.811, subdivision 1, is amended to read:
2.6 Subdivision 1. Required. A person who has entered into a written contract with
2.7a
2.8subdivision 15, to provide
2.9insured from the proceeds of a property or casualty insurance policy has the right to
2.10cancel the contract within 72 hours after the insured has been notified by the insurer
2.11that the claim has been denied. Cancellation is evidenced by the insured giving written
2.12notice of cancellation to the contractor at the address stated in the contract. Notice of
2.13cancellation, if given by mail, is effective upon deposit in a mailbox, properly addressed
2.14to the contractor and postage prepaid. Notice of cancellation need not take a particular
2.15form and is sufficient if it indicates, by any form of written expression, the intention of the
2.16insured not to be bound by the contract.
