Mississippi Legislature Considers Consumer Choice Initiative
January 13, 2010

The Mississippi House has undertaken an initiative related to auto glass after just one short week of the 2010 legislative session. Rep. Henry B. Zuber (R) introduced a bill, H.B. 390, which would amend the state's insurance code to prohibit insurers and adjusters from doing any of the following:

  • Accepting and/or soliciting gifts or referral fees in exchange for referring insureds to a particular automotive repair facility;
  • Suggesting either orally or in writing that an insured must use a specific repair facility or those on a preferred list compiled by the insurer in order for the work to be covered by the policy; and
  • Restricting the right of an insured or third-party claimant to choose a repair person or facility by requiring him/her to travel an unreasonable distance to have the damage repaired.

In addition, insurers would be required to display the above provisions on their insurance policies and would be subjected to fines for violations if H.B. 390 is passed. The bill, introduced last week, currently is being reviewed in the House's Insurance Committee. (CLICK HERE to view the full text of H.B. 390.)

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