Two new bills could impact auto glass industry businesses in Montana and Texas.
A Montana State Senator introduced a new bill, SB 251, that would require an auto repair shop to do repairs that follow the guidelines and directions from the original equipment manufacturer (OEM). The new bill also would “prohibit insurers from disregarding repair directives.”
According to SB 251, there will now be specific specifications for what will be understood as OEM, if passed.
“… directives by the original equipment manufacturer include:
- Repair procedures;
- Technical service bulletins;
- Requirements to scan a vehicle electronic system prior to beginning a repair procedure or at the conclusion of a repair procedure; and
- The use of parts, paint, and materials,” a section of the bill reads.
This provision was added into the bill, which involves Montana insurance companies.
“An insurance company … that issues or renews a policy of insurance in this state covering, in whole or in part, a motor vehicle may not: … unilaterally disregard a repair operation or cost identified by an estimating system that the insurer and an automobile body repair business or location have agreed to utilize in determining the cost of repair, including repair directives issued by an original equipment manufacturer,” a section of the bill reads.
To view the bill’s full text, click here.
The House introduced a new bill in Texas, also referred to as HB 1348. A portion of this new bill defines an industry repair person.
“A “repair person or facility” does not include a person who exclusively provides automobile glass replacement, glass repair services, or glass products,” a section of HB 1348 reads.
If passed, this definition would go into effect September 1, 2019.
To view HB 1348’s full text, click here.