Oklahoma 2025 Regular Session

Oklahoma Senate Bill SB641 Compare Versions

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29-HOUSE OF REPRESENTATIVES - FLOOR VERSION
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3128 STATE OF OKLAHOMA
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3330 1st Session of the 60th Legislature (2025)
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3532 COMMITTEE SUBSTITUTE
3633 FOR ENGROSSED
3734 SENATE BILL NO. 641 By: Paxton of the Senate
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3936 and
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4138 Tedford of the House
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4542 COMMITTEE SUBSTITUTE
4643
4744 An Act relating to motor vehicle repair; creating the
4845 Oklahoma Motor Vehicle Consumer Protection Act;
4946 providing short title; defining terms; establishing
5047 certain hourly market rate for labor ; directing
5148 Insurance Department to adjust certain hourly market
5249 rate for labor; prohibiting certain administrative
5350 charges from exceeding certain amount; establishing
5451 certain maximum daily storage rate s; authorizing
5552 certain increase in certain maximum daily storage
5653 rates; providing certain exceptions; requiring
5754 certain written invoice; allowing adjustment of
5855 certain maximum daily storage rates; providing for
5956 codification; and providing an effective date.
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6562 BE IT ENACTED BY THE PEOPLE OF THE STATE OF OKLAHOMA:
6663 SECTION 1. NEW LAW A new section of law to be codified
6764 in the Oklahoma Statutes as Section 1271 of Title 36, unless there
6865 is created a duplication in numbering, reads as follows:
6966 This act shall be known and may be cited as the “Oklahoma Motor
7067 Vehicle Consumer Protection Act ”.
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9894 SECTION 2. NEW LAW A new section of law to be codified
9995 in the Oklahoma Statutes as Section 1272 of Title 36, unless there
10096 is created a duplication in numbering, reads as follows:
10197 As used in this act:
10298 1. “Administrative charges ” shall include, but not be limited
10399 to, the cost of:
104100 a. file creation,
105101 b. repair orders,
106102 c. vehicle travel on a customary standard drivable
107103 rolling vehicle,
108104 d. vehicle identification,
109105 e. software charges,
110106 f. communication with vehicle owners and insurance
111107 representatives and any other party involved in the
112108 repair or total loss de termination,
113109 g. prewashes,
114110 h. COVID-19 cleaning or bio-cleaning,
115111 i. charges related to photographs and electronic
116112 communications,
117113 j. charges for work that is not for obtaining labor,
118114 parts, and materials,
119115 k. securing removed parts, and
120116 l. relocating parts back into a vehicle determined to be
121117 a total loss;
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149144 2. “Auto body repair” means all auto body repair shop repairs,
150145 maintenance, painting, exterior body work, part replacements,
151146 assessment, and diagnostic testing provided to an insurance company
152147 to determine a motor vehicle total loss;
153148 3. “Auto body repair shop ” means any commercial entity engaged
154149 in the business or occupation of performing auto body repairs on the
155150 body of a motor vehicle;
156151 4. “Insurance company” means the person or entity responsible
157152 for charges incurred by the insured at an auto body repair shop as a
158153 result of repairs or charges incurred in determining a total loss of
159154 a motor vehicle as provided for in Section 1250.8 of Title 36 of the
160155 Oklahoma Statutes;
161156 5. “Motor vehicle” means the same as defined in Section 1 -134
162157 of Title 47 of the Oklahoma Statutes;
163158 6. “Owner” means the owner of the vehicle; and
164159 7. “Storage rates” means all charges and fees related to the
165160 auto body repair shop retaining actual physical possession of a
166161 motor vehicle during the time when the auto body repair shop
167162 exercises control, supervision, care, security, protection, and
168163 responsibility over the motor vehicle .
169164 SECTION 3. NEW LAW A new section of law to be codified
170165 in the Oklahoma Statutes as S ection 1273 of Title 36, unless there
171166 is created a duplication in numbering, reads as follows:
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199193 A. Upon the effective date of this act, the hourly market rate
200194 for labor for administrative charges as defined in Section 2 of this
201195 act, as the rate relates to total loss vehicles, shall be in
202196 accordance with the prevailing market price determined pursuant to
203197 subsection H of Section 1250.8 of Title 36 of the Oklahoma Statutes.
204198 The Insurance Commissioner may adjust the hourly market rate for
205199 labor to account for inflation annually beginning on January 1,
206200 2027. Such adjustment shall be made based on the market surveys
207201 conducted pursuant to Section 365:15-1-26 of the Oklahoma
208202 Administrative Code.
209203 B. Administrative charges, as such charges relate to total loss
210204 vehicles, shall not exceed the hourly market rate for labor pursuant
211205 to this section and may only be billed up to four (4) hours.
212206 SECTION 4. NEW LAW A new section of law to be codified
213207 in the Oklahoma Statutes as Section 1274 of Title 3 6, unless there
214208 is created a duplication in numbering, reads as follows:
215209 A. The maximum daily storage rate allowed to be charged by an
216210 auto body repair shop for a motor vehicle total loss for each
217211 calendar day, for the first ten (10) calendar days the veh icle is in
218212 the possession of the shop, shall be Thirty -nine Dollars ($39.00)
219213 for all motor vehicles of any size, including marine vessels , and
220214 Seventy-eight Dollars ($78.00) for fully electric vehicles with
221215 collision damages, if the vehicle is stored pursu ant to the Original
222216 Equipment manufacturer requirements .
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250243 B. On the eleventh calendar day, the maximum daily storage rate
251244 may increase to Seventy-five Dollars ($75.00) per calendar day for
252245 all motor vehicles of any size, include marine vessels, and to Two
253246 Hundred Dollars ($200.00) per calendar day for fully electric
254247 vehicles with collision damage, if the vehicle is stored pursuant to
255248 the Original Equipment manufacturer requirements , if the estimate or
256249 supplement on total loss vehicles is not approved by the insurance
257250 company within the first seven (7) days and the auto body repair
258251 shop has a written record showing the date, time, and type of
259252 communication made to the insurance company requesting such
260253 supplementals. Requests for supplementals to determine a total loss
261254 shall be made before the tenth day following the request.
262255 C. The provisions of subsection s A and B of this section shall
263256 not apply to vehicles in which the damage to the vehicle
264257 necessitates indoor storage and the insurance company has approved
265258 indoor storage of the vehicle in advance at an agreed rate.
266259 D. Each auto body repair shop shall provide written invoices
267260 and respond to requests for invoices concerning the pickup, release,
268261 or delivery of a motor vehicle on its premises to the insurance
269262 company within eight (8) business hours.
270263 E. The maximum daily storage rate set forth in this section
271264 shall apply to direct repair programs.
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299291 F. The maximum daily storage rate may be increased. Such
300292 adjustment shall be made based on the market surveys con ducted
301293 pursuant to Section 365:15-1-26 of the Oklahoma Administrative Code.
302294 SECTION 5. This act shall become effective November 1, 2025.
303295
304-COMMITTEE REPORT BY: COMMITTEE ON COMMERCE AND ECONOMIC DEV ELOPMENT
305-OVERSIGHT, dated 04/16/2025 - DO PASS, As Amended.
296+60-1-13545 TKR 04/16/25
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