Bill > H781

This bill modifies existing law regarding arbitration for property damage to motor vehicles involving insurance companies. Specifically, it outlines a process for binding arbitration when a vehicle owner and their insurance company cannot agree on the cost of repairs or the value of a totaled vehicle. The process involves each party selecting a licensed auto damage appraiser within a set timeframe, and these two appraisers then selecting a third, a "umpire." If the appraisers cannot agree on an umpire, a district court judge will appoint one from lists provided by the parties. The two appraisers will then independently assess the damage, and if they cannot agree, they will submit their appraisals to the umpire, who will choose one of the appraisals as the final award. This decision will be binding, and the insurer must pay accordingly within five business days. The bill also clarifies how the costs of the arbitration are split between the parties and states that an insurer's failure to comply with these provisions will be considered an unfair claims settlement practice.