Bill > HB1421

This bill aims to prevent insurance companies from improperly influencing policyholders to use specific auto repair shops when making a claim under their motor vehicle liability insurance policies. It clarifies that policyholders have the right to choose their own repair facility, and insurers cannot require them to use a shop where the insurer has a financial interest, meaning the insurer doesn't have a stake in the shop's ownership or operations. Insurers are also prohibited from suggesting that using or not using a particular shop might lead to non-payment, delayed payment, reduced payment, or lower quality or slower repairs. If an insurer does recommend a repair facility, they must clearly inform the policyholder that they are not obligated to use that shop, can choose any shop they prefer, and that the insurance payout will be the same regardless of their choice. The bill also defines key terms like "claimant," "financial interest," "motor vehicle liability insurance," and "repair facility" to ensure clarity. Violations of these provisions, if they become a common business practice, will be considered an unfair claims settlement practice.

https://www.legis.ga.gov/legislation/73475