APPROVED by Governor May2,2003                                  
EFFECTIVE July 1, 2003

H.B. 03-1253 Motor vehicle insurance - repair businesses. Prohibits a motor vehicle insurer from:
          ●         Requiring that appraisals or repairs to motor vehicles be made or not be made by a   
specified motor vehicle repair business (business);
          ●         Representing to a claimant that the use of or the failure to use a particular business may result in
nonpayment or delayed payment;
          ●         Coercing or inducing by incentive a claimant to use a particular business for repairs;
          ●         Contracting with an agent for the insurer on the condition a business does claims work at a price
established by the insurer;
          ●         Using disincentives to discourage a claimant from using a business;
          ●         Soliciting a referral fee in exchange for referring the claimant to a business;
          ●         Requiring the claimant to travel an unreasonable distance to choose a business;
          ●         Misinforming a claimant to induce the use of a particular business; or
          ●         In the settlement of a claim by a third party against a claimant, requiring a third-party claimant to
have repairs done by a particular business.

          Requires a motor vehicle insurer to:
          ●         Supply the claimant with a copy of the estimate upon which a settlement is based;
          ●         Require that any estimate prepared by or for the insurer covering visible damages is adequate to
restore the motor vehicle within a reasonable time to its condition before the loss;
          ●         Pay for repair services and products based on the prevailing competitive price;
          ●         Disclose to a claimant that the claimant may freely choose any business;
          ●         Assume all reasonable costs sufficient to pay for the claimant's repairs, less any deductible;
          ●         Provide notice to the claimant within 3 business days after the claim is made of the prohibitions
and requirements of the act;
          ●         Promptly pay the cost of motor vehicle repair, less the deductible according to the terms of the
insurance policy at no less than the prevailing competitive market price; and
          ●         Disclose any ownership interest in, or ownership by or through an affiliation with, a recommended
business.


As a consumer, it's important to know the law when it comes to repairing your vehicle. Don't let the insurance companies tell you where and how to repair your vehicle. You can put your trust in us to provide you with an Ultimate repair!
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