Legislation allows shops to take matters to court when there have been violations of state statute rather than relying on reports to the Department of Commerce
Roseville, Minn.—AASPMN has been working closely with lawmakers in the Minnesota Senate and House on legislation to strengthen protections for insurance policy holders and repair shops in their dealings with the insurance industry.
Senate File 2209 (Senator Wesenberg – GOP – Little Falls) and House File 1322 (Representative Huot – DFL – Rosemount) are supporting ther bill.
The proposed legislation seeks the following:
• Speed up the repair process by requiring quicker response times from insurers on repair supplements.
• Ensures that repairs related to the safety or operation of a vehicle are not reduced in a settlement offer
• Requires detailed documentation of the claims process between the repair shop and the insurance company
• Prohibits insurers from repeatedly requesting the same information in an effort to drag out the repair negotiations.
The legislation would also establish a private right of action for automobile insurance claims which would allow for the recovery of attorney’s fees, witness fees, disbursements, and reasonable costs associated with any litigation stemming from an unfair claims practice action.
This provision would allow repair shops to take matters to court when there have been serious and egregious violations of state statute rather than relying on reports to the Department of Commerce, a practice that the AASPMN states has not been productive in curtailing the behavior of bad actors.
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