Bill > SF2209

This bill modifies Minnesota's automobile insurance claims handling regulations by expanding definitions and establishing more detailed standards for how insurers must process and settle claims. The bill adds a new definition for "repair" or "repair operations" that includes diagnostic steps and industry standards for returning a vehicle to its pre-loss condition. It also significantly enhances requirements for insurers when handling automobile insurance claims, such as mandating more transparent settlement processes, requiring detailed explanations for any denied repairs, and specifying that insurers cannot unreasonably reduce settlement amounts for safety-related repairs. Notably, the bill introduces a new private right of action that allows insureds, contractors, and repair facilities to sue insurers for violations of claims handling standards, with potential recovery of attorney fees and costs. The changes aim to protect consumers by ensuring more comprehensive and fair claims processing, giving claimants more insight into and control over the repair and settlement process, and providing legal recourse for improper insurance practices.

Business and Industry

https://www.revisor.mn.gov/bills/bill.php?b=Senate&f=SF2209&ssn=0&y=2025