1 | 1 | | Stricken language would be deleted from and underlined language would be added to present law. |
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2 | 2 | | *ANS395* 04/01/2025 3:39:02 PM ANS395 |
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3 | 3 | | State of Arkansas 1 |
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4 | 4 | | 95th General Assembly A Bill 2 |
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5 | 5 | | Regular Session, 2025 SENATE BILL 602 3 |
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6 | 6 | | 4 |
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7 | 7 | | By: Senator Crowell 5 |
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8 | 8 | | 6 |
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9 | 9 | | 7 |
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10 | 10 | | For An Act To Be Entitled 8 |
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11 | 11 | | AN ACT TO PROHIBIT INSURANCE COMPANIES AND APPRAISERS 9 |
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12 | 12 | | FROM REQUIRING AN INSURED TO USE CERTAIN FACILITIES 10 |
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13 | 13 | | TO REPAIR OR REPLACE DAMAGED MOTOR VEHICLE SAFETY 11 |
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14 | 14 | | GLASS; TO PROVIDE PENALTIES FOR VIOLATIONS; AND FOR 12 |
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15 | 15 | | OTHER PURPOSES. 13 |
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16 | 16 | | 14 |
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17 | 17 | | 15 |
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18 | 18 | | Subtitle 16 |
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19 | 19 | | TO PROHIBIT INSURANCE COMPANIES AND 17 |
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20 | 20 | | APPRAISERS FROM REQUIRING AN INSURED TO 18 |
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21 | 21 | | USE CERTAIN FACILITIES TO REPAIR OR 19 |
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22 | 22 | | REPLACE DAMAGED MOTOR VEHICLE SAFETY 20 |
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23 | 23 | | GLASS; AND TO PROVIDE PENALTIES FOR 21 |
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24 | 24 | | VIOLATIONS. 22 |
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25 | 25 | | 23 |
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26 | 26 | | BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF ARKANSAS: 24 |
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27 | 27 | | 25 |
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28 | 28 | | SECTION 1. Arkansas Code Title 23, Chapter 66, Subchapter 3, is 26 |
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29 | 29 | | amended to add an additional section to read as follows: 27 |
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30 | 30 | | 23-66-322. Motor vehicle safety glass repair practices — Definition. 28 |
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31 | 31 | | (a) As used in this section, "motor vehicle safety glass" means glass 29 |
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32 | 32 | | for which a deductible shall not be applied under this section when being 30 |
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33 | 33 | | repaired or replaced. 31 |
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34 | 34 | | (b) A motor vehicle physical damage appraiser shall not require that 32 |
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35 | 35 | | motor vehicle safety glass repair or replacement work be performed or not be 33 |
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36 | 36 | | performed in or by a specified facility or glass shop. 34 |
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37 | 37 | | (c) An insurance company doing business in this state or a third -party 35 |
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38 | 38 | | claims administrator, agent, or adjuster for an insurance company doing 36 SB602 |
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39 | 39 | | |
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40 | 40 | | 2 04/01/2025 3:39:02 PM ANS395 |
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41 | 41 | | business in this state shall not: 1 |
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42 | 42 | | (1) Require an insured to sue a specific person for the 2 |
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43 | 43 | | provision of motor vehicle safety glass repair or replacement work; or 3 |
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44 | 44 | | (2) State that choosing a facility other than a glass shop 4 |
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45 | 45 | | participating in a motor vehicle safety glass repair or replacement work 5 |
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46 | 46 | | program established by the insurance company will or may result in delays in 6 |
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47 | 47 | | or a lack of guarantee for the motor vehicle safety glass work. 7 |
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48 | 48 | | (d)(1) If there is any communication between a glass claims 8 |
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49 | 49 | | representative for an insurance company doing business in this state or a 9 |
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50 | 50 | | third-party claims administrator for the insurance company and an insured 10 |
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51 | 51 | | regarding motor vehicle safety glass repair or replacement work or motor 11 |
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52 | 52 | | vehicle glass products, in the initial contact with the insured, the 12 |
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53 | 53 | | representative or third -party claims administrator shall state or disclose to 13 |
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54 | 54 | | the insured a statement substantially similar to the following: 14 |
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55 | 55 | | "You have the right to choose a glass shop where the damage to your motor 15 |
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56 | 56 | | vehicle will be repaired. If you have a preference, please let us know.". 16 |
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57 | 57 | | (2) Unless a glass claims representative for an insurance 17 |
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58 | 58 | | company doing business in this state or a third -party claims administrator 18 |
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59 | 59 | | for the insurance company provides the insured with the name of at least one 19 |
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60 | 60 | | (1) additional glass shop in the area where the motor vehicle safety glass 20 |
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61 | 61 | | work is to be performed, the claims representative or the claims 21 |
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62 | 62 | | administrator shall not provide an insured with the name of, schedule an 22 |
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63 | 63 | | appointment for an insured with, or direct an insured to, a glass shop that 23 |
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64 | 64 | | is owned by: 24 |
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65 | 65 | | (A) The insurance company; 25 |
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66 | 66 | | (B) The claims administrator; or 26 |
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67 | 67 | | (C) The same parent company as the insurance company or 27 |
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68 | 68 | | the claims administrator. 28 |
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69 | 69 | | (e) In addition to the penalties available under the Trade Practices 29 |
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70 | 70 | | Act, § 23-66-201 et seq., a violation of this section is: 30 |
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71 | 71 | | (1) An unfair trade practice under the Deceptive Trade Practices 31 |
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72 | 72 | | Act, § 4-88-101 et seq.; and 32 |
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73 | 73 | | (2) Subject to remedies and penalties under the Deceptive Trade 33 |
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74 | 74 | | Practices Act, § 4-88-101 et seq. 34 |
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75 | 75 | | 35 |
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76 | 76 | | 36 |
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