Bill > HB1117

This bill aims to improve how insurance companies handle claims for vehicle repairs under motor vehicle liability insurance policies, which is insurance that covers damage and liability related to car accidents. It clarifies that policyholders, referred to as "claimants," have the right to choose their own repair facility and that insurers cannot pressure them to use a specific shop, especially one where the insurer has a financial interest. Insurers must also clearly inform claimants if they recommend a particular repair shop and disclose any financial ties they have to it. Furthermore, the bill mandates that repairs must be performed according to the original equipment manufacturer's (OEM) repair procedures, meaning the methods and standards set by the car's maker, and insurers cannot require deviations from these or the use of non-OEM parts without a clear, written explanation for denial based on policy limitations. The bill also establishes stricter timelines for insurers to investigate and respond to supplemental repair estimates, which are for additional damage discovered after the initial assessment, requiring them to provide a written decision and explanation for any approved, denied, or altered items within a specific timeframe. Violations of these provisions, if they become a common business practice, will be considered unfair claims settlement practices, and aggrieved claimants will have the right to sue for damages and other relief.

Business and Industry

https://www.legis.ga.gov/legislation/72671