ARIZONA STATE SENATE
Forty-seventh Legislature, Second Regular Session
FACT SHEET FOR S.B. 1322
motor vehicle repair facilities
Purpose
Combines statutes relating to a consumer’s choice of automobile and glass repair facilities.
Background
Laws 2004, Chapter 2 allows a person to choose any glass repair facility in the repair of a motor vehicle loss, unless otherwise prescribed by contract.
Laws 2004, Chapter 233 provides an insured or insurance policy claimant with the right to have motor vehicle repairs at the repair facility, other than a glass repair facility, of the insured’s or claimant’s choice. An insurer that provides information about a certain repair facility must inform the insured about the right to choose any repair facility at the same time as providing the information or making a recommendation. In cases where an insured selects an insurer-owned repair facility, the adjuster may not be employed by the repair facility or have any direct authority over the facility’s repair recommendations or decisions. Allows the Director of the Department of Insurance (DOI) to impose cease and desist orders and establishes civil penalties. Establishes annual reporting requirements for insurers owning an interest.
S.B. 1322 combines the two statutes together.
There is no anticipated fiscal impact associated with this legislation.
Provisions
1. Combines statutes relating to a consumer’s right to choose any automobile or glass repair facility in the repair of a motor vehicle loss.
2. Makes conforming changes.
3. Becomes effective on the general effective date.
Prepared by Senate Research
January 31, 2006
SL/GC/ac