Chapter 313

2007 -- H 5799 SUBSTITUTE A

Enacted 07/06/07

 

A N  A C T

RELATING TO INSURANCE - MOTOR VEHICLE BODY REPLACEMENT PARTS

          

     Introduced By: Representatives Church, and Gablinske

     Date Introduced: March 01, 2007

 

It is enacted by the General Assembly as follows:

 

     SECTION 1. Section 27-10.2-2 of the General Laws in Chapter 27-10.2 entitled "Motor

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

 

     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.

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

manufacturer, 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 2. This act shall take effect on January 1, 2008.

     

=======

LC02176/SUB A/2

=======