Auto
Glass Bill Amending 2007 Anti-Steering Law Passes Washington State
House
Washington House Bill 3053, which would prohibit an insurer or
third-party administrator (TPA) from recommending an auto glass
repair or replacement shop for a claim that only involves glass
if the claimant indicates that he has chosen a facility, has passed
the state's house and now is under review by the Senate.
In addition, if the claimant hasn't chosen a shop, under the language
of the bill the insurer or TPA would be required to provide at least
two alternative facilities "that are comparable and in reasonable
proximity."
If the insured has already chosen a shop and advises the insurer
or TPA of this, under the text of HB 3053 the insured and TPA would
not be allowed to make any recommendations of shops. If an insured
advises he has not chosen a shop, the insurer or TPA might recommend
a shop, but would be compelled to disclose any interest in the shop
recommended and provide a list of other glass shops in the area
if the insurer or TPA owns an interest in a facility that is being
recommended.
This bill comes on the heels of SSB 5052, which was passed last
year in Washington (CLICK
HERE for related story).
That law would be amended by this bill, adding the above language.
Likewise, the amendments would make it so that the law applies to
all insurers and third-party administrators-not just those that
have interests in particular glass shops. The 2007 law requires
that a third-party administrator (TPA) inform customers that they
have the right to choose a retail glass shop. It also mandates that
call center representatives tell customers that the TPA is a separate
entity from their insurer with an arrangement to process automobile
glass claims on the insurance company's behalf. In addition, it
requires that insurers or TPAs that own a glass retailer to inform
the consumer of that relationship through a written notice posted
at the facility.
If passed, HB 3053 will take effect 90 days after the adjournment
of the session. The latest bill was introduced by Rep. Steve Kirby,
Rep. Jay Rodne, Rep. Geoff Simpson, Rep. Dan Roach, Rep. Troy Kelley,
Rep. Pat Sullivan, Rep. Steve Conway and Rep. Timm Ormsby.
The bill was first read in the Senate on February 5.
CLICK
HERE for the full text of the bill.
CLICK
HERE to track the bill's progress.
CLICK
HERE to read a bulletin from the Independent Glass Association
about this legislation.
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