Bill Text: AZ HB2500 | 2016 | Fifty-second Legislature 2nd Regular | Introduced
Bill Title: Unlawful practices; auto glass repair
Spectrum: Slight Partisan Bill (Republican 16-7)
Status: (Engrossed - Dead) 2016-03-10 - Referred to Senate FI Committee [HB2500 Detail]
Download: Arizona-2016-HB2500-Introduced.html
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REFERENCE TITLE: unlawful practices; auto glass repair |
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State of Arizona House of Representatives Fifty-second Legislature Second Regular Session 2016
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HB 2500 |
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Introduced by Representatives Livingston, Coleman, Leach, Lovas, Senators Meza, Miranda: Representatives Allen J, Borrelli, Boyer, Campbell, Fann, Fernandez, Finchem, Larkin, McCune Davis, Mesnard, Mitchell, Norgaard, Otondo, Petersen, Thorpe, Weninger, Senator Contreras
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AN ACT
Amending section 20‑463.01, Arizona Revised Statutes; relating to auto glass repair Unlawful practices.
(TEXT OF BILL BEGINS ON NEXT PAGE)
Be it enacted by the Legislature of the State of Arizona:
Section 1. Section 20-463.01, Arizona Revised Statutes, is amended to read:
20-463.01. Unlawful practices; auto glass repair; policyholders; insurers
A. It is an unlawful practice for a person who sells or repairs auto glass, an auto glass repair or replacement facility or any agent, contractor, vendor, representative or anyone acting on behalf of the person or facility to knowingly:
1. Submit a false claim to an insurer for auto glass repair or replacement or for related services:
(a) If the services were not provided.
(b) Showing work performed in a geographical area that in fact was not the location where the services were provided and that results in a higher payment than would otherwise be paid to the person by the policyholder's insurer.
(c) Not authorized in writing by the owner or lessee of the vehicle.
(d) Showing work performed on a date other than the date the work was actually performed and resulting in a change of insurance coverage status.
2. Advise a policyholder to falsify the date of damage to the auto glass that results in a change of insurance coverage for repair or replacement of the auto glass.
3. Falsely sign on behalf of a policyholder or another person a work order, insurance assignment form or other related form in order to submit a claim to an insurer for auto glass repair or replacement or for related services.
4. Misrepresent to a policyholder or other person:
(a) The price of the proposed repairs or replacement being billed to the policyholder's insurer.
(b) That the insurer has approved the repairs or replacement unless the auto glass repair or and replacement facility has verified coverage or obtained authorization directly from the insurance company or any other third party administrator contracted with the insurance company and the evidence has been confirmed by fax, e‑mail or other written and recorded communication.
5. Represent to a policyholder or other person what auto glass coverage is available under the insurance policy or that the repair or replacement will be paid for entirely by the policyholder's insurer and at no cost to the policyholder unless the insurance coverage has been verified by a person who is employed by or is a producer contracted with the policyholder's insurer or is a third party administrator contracted with the insurer.
6. Add to the damage of auto glass before repair in order to increase the scope of repair or replacement or encourage a policyholder or other person to add to the damage of auto glass before repair.
7. Perform work clearly and substantially beyond the level of work necessary to repair or replace the auto glass to put the vehicle back into a safe pre‑damaged condition in accordance with accepted or approved reasonable and customary glass repair or replacement techniques.
8. Threaten, coerce or intimidate an insured for the purpose of inducing the insured to file a claim for auto glass repair or replacement.
9. Induce an insured to file an auto glass repair or replacement claim if the damage to the auto glass is insufficient to warrant auto glass repair or replacement.
10. Waive or offer to waive the insured's deductible or offer a rebate, gift, gift card, cash or coupon or anything of value to any person in exchange for either a referral of an insured to the auto glass repair facility in connection with an auto glass repair or replacement claim under an insurance policy or to induce the insured to file an auto glass repair or replacement claim under an insurance policy.
11. Represent verbally, electronically or in any other way, including an advertisement or website or any marketing materials, that a claim for a windshield repair or replacement under an insurance policy is free.
12. Perform auto glass repair or replacement services in this state without obtaining a transaction privilege tax license number issued by the department of revenue pursuant to section 42-5005.
13. If the person repairing or replacing the auto glass does not accept the insurer's rate, perform work without providing a written estimate to the insured before the work begins that includes all of the following:
(a) A statement whether the person repairing or replacing the auto glass agrees to accept the insurer's rate for parts, kits and labor.
(b) The actual rate that will be charged for that work and the DIFFERENCE BETWEEN that rate and the insurer's rate.
(c) A statement that the insured may be financially responsible to pay the difference between the actual rate that will be charged for that work and the insurer's rate.
(d) The signature of the insured.
(e) The business's transaction privilege tax license number issued by the department of revenue pursuant to section 42-5005.
14. Perform auto glass repair or replacement services under an insurance policy without first obtaining the insured's and insurer's approval for the specific work to be performed.
15. Transpose or duplicate, either electronically or in any other form, an insured's signature onto a document that is required to authorize the repair or replacement of auto glass. For the purposes of this paragraph, duplicate does not include making copies of a document for record retention purposes.
16. Bill the insurer for more than the repair or replacement cost agreed on with the insured, a third‑party administrator of the insurer or an agent representing the insurer for the written estimate.
B. If the person repairing or replacing the auto glass fails to provide the statement required in subsection A, paragraph 13, subdivision (c) of this section in writing to the insured, neither the insured or the insurer is responsible for the payment of any amounts in excess of the repair or replacement estimate not expressly authorized by the insured or insurer.
B. C. It is unlawful for a person who sells or repairs auto glass to intentionally misrepresent the relationship of the glass repair facility to the policyholder's insurer. For the purposes of determining whether a person intended the misrepresentation, it may be presumed that the person intended the misrepresentation if the person was engaged in a regular and consistent pattern of misrepresentation.
D. It is unlawful for a person who sells or repairs and replaces auto glass to fail to make the vehicle available for inspection at the request of the insurer before performing auto glass repair and replacement services on an insured vehicle.
C. E. A violation of this section is subject to enforcement under this article.
D. F. For the purposes of determining whether a defendant knew of any particular element of the prohibited activity, it may be presumed that the person had knowledge if the person was engaged in a regular and consistent pattern of the prohibited activity.
