S.B. 188

1

INSURANCE DEDUCTIBLE FOR MOTOR
2 VEHICLE REPAIR
3 1997 GENERAL SESSION
4 STATE OF UTAH
5 Sponsor: Scott N. Howell
6 AN ACT RELATING TO MOTOR VEHICLES; REQUIRING THE FULL AMOUNT OF AN
7 INSURANCE DEDUCTIBLE BE CHARGED FOR A MOTOR VEHICLE REPAIR.
8 This act affects sections of Utah Code Annotated 1953 as follows:
9 ENACTS:
10 41-6-149.5, Utah Code Annotated 1953
11 Be it enacted by the Legislature of the state of Utah:
12 Section 1. Section 41-6-149.5 is enacted to read:
13 41-6-149.5. Insurance deductible for motor vehicle repairs.
14 (1) If an insured makes a claim for a motor vehicle repair against his motor vehicle
15 insurance policy, the person who performs the repair may not charge an amount:
16 (a) to the insured that is S: (i) s less than the deductible the policy requires the insured to
16a pay for
17 the repair unless the insurer directs otherwise; or
17a S (ii) MORE THAN THE DEDUCTIBLE THE POLICY REQUIRES THE INSURED TO PAY FOR THE
17b REPAIR UNLESS THE INSURED IS INFORMED ORALLY AND IN WRITING AND BEFORE THE REPAIR IS
17c COMMENCED OF THE CIRCUMSTANCES UNDER WHICH THE PERSON WHO PERFORMS THE REPAIR
17d MAY CHARGE THE INSURED MORE THAN THE DEDUCTIBLE; OR s
18 (b) to the insurer h [ that exceeds the usual and customary charge for the repair ] h to
18a compensate
19 for charging the insured an amount that is less than the deductible the policy requires the insured
20 to pay unless the insurer directs otherwise.
Text Box

Amend on 2_goldenrod February 26, 1997
Corrected goldenrod_February 26, 1997
Amend on3_goldenrod February 27, 1997 21 (2) For purposes of this section, definitions in Section 31A-1-301 apply.

lilac-March 5, 1997

Legislative Review Note
as of 2-6-97 7:08 PM

A limited legal review of this bill raises no obvious constitutional or statutory concerns.

Office of Legislative Research and General Counsel

- 2 -

*SB0188*