2015 -- H 5484

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LC001059

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     STATE OF RHODE ISLAND

IN GENERAL ASSEMBLY

JANUARY SESSION, A.D. 2015

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A N   A C T

RELATING TO INSURANCE - MOTOR VEHICLE BODY REPLACEMENT PARTS

     Introduced By: Representatives Barros, Ucci, Corvese, Fellela, and Tobon

     Date Introduced: February 12, 2015

     Referred To: House Corporations

     It is enacted by the General Assembly as follows:

     SECTION 1. The title of Chapter 27-10.2 of the General Laws entitled "Motor Vehicle

Body Replacement Parts" is hereby amended to read as follows:

CHAPTER 10.2

Motor Vehicle Body Replacement Parts

CHAPTER 10.2

MOTOR VEHICLE REPLACEMENT PARTS

     SECTION 2. Sections 27-10.2-1 and 27-10.2-2 of the General Laws in Chapter 27-10.2

entitled "Motor Vehicle Body Replacement Parts" are hereby amended to read as follows:

     27-10.2-1. Definitions. -- As used in this chapter:

      (1) "Aftermarket part" means a motor vehicle body replacement part that is not an

original equipment manufacturer part; and

      (2) "Original equipment manufacturer part" or "OEM part" means a motor vehicle body

replacement part manufactured by the manufacturer of the motor vehicle being repaired.

     27-10.2-2. Aftermarket parts -- Time limit prohibition. -- (a) Whenever an insurance

company, in adjusting a first party claim for motor vehicle physical damage, intends to specify

the use of aftermarket parts, it shall notify the insured in writing. Any auto body repair shop

conducting business in the state of Rhode Island shall not use non-original equipment

manufactured (OEM) parts, also referred to as aftermarket parts, in the repair of any person's

automobile, without that person giving the repairer his or her express written consent.

      (b) No insurance company may require the use of aftermarket parts when negotiating

repairs with any repairer unless the repairer has written consent from the vehicle owner to install

aftermarket parts. The provisions of this section shall apply only to automobiles which are less

than thirty (30) months beyond the date of manufacture, and shall not apply to replacement

windshields, rear or side windows, or other vehicular glass.

      (c) For any automobile which is less than thirty (30) months beyond the date of

manufacture, the insurer and the auto body repairs shop must provide a written notice to the

vehicle owner that: (i) he or she may require the insurer to pay for and the auto body shop to

install "original equipment manufacturer parts" or "OEM parts" in the repair of a motor vehicle

body replacement; or (ii) he or she may require the insurer to pay for and the auto body shop to

install "non-original equipment manufacturer parts" (non-"OEM parts") in the repair of a motor

vehicle body replacement. To comply with this provision, written notice may be provided on the

appraisal written on behalf of the insurer and the estimate prepared by the auto body repair shop.

     SECTION 3. This act shall take effect upon passage.

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EXPLANATION

BY THE LEGISLATIVE COUNCIL

OF

A N   A C T

RELATING TO INSURANCE - MOTOR VEHICLE BODY REPLACEMENT PARTS

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     This act would amend the definition of "aftermarket part" to refer to all motor vehicle

replacement parts, excluding windshields, rear and side windows, and any other vehicular glass,

and would also amend the title of the chapter 10.2 to reference the change.

     This act would take effect upon passage.

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