REFERENCE TITLE: unlawful practices; motor vehicle repair

 

 

 

 

State of Arizona

House of Representatives

Fiftieth Legislature

Second Regular Session

2012

 

 

HB 2394

 

Introduced by

Representative McLain, Senator McComish

 

 

AN ACT

 

Amending title 20, chapter 2, article 6, Arizona Revised Statutes, by adding section 20‑463.02; relating to unlawful practices.

 

 

(TEXT OF BILL BEGINS ON NEXT PAGE)

 



Be it enacted by the Legislature of the State of Arizona:

Section 1.  Title 20, chapter 2, article 6, Arizona Revised Statutes, is amended by adding section 20-463.02, to read:

START_STATUTE20-463.02.  Unlawful practices; motor vehicle repair; policyholders; insurers

A.  It is an unlawful practice for a person who repairs motor vehicles to knowingly:

1.  Submit a false claim to an insurer for motor vehicle repair.

2.  Submit a claim to an insurer for fees not directly related to the repair of the motor vehicle unless required by law.  All fees not required by law must be posted by the motor vehicle repair facility.  The motor vehicle owner or lessee must acknowledge in writing that any fees that are not directly related to the repair of the motor vehicle or required by law may be the owner's or lessee's responsibility.

3.  Submit a claim to an insurer for storage fees incurred up to the time the motor vehicle was determined to be a total loss if the motor vehicle repair facility was paid by the insurer for tear down or repair services.  Storage fees may accrue from the date the insurer determined the motor vehicle to be a total loss.

4.  Advise a policyholder to falsify the date of damage to the motor vehicle that results in a change of insurance coverage for the repair.

5.  Falsely sign a work order, insurance assignment form or other related form on behalf of a policyholder or another person in order to submit a claim to an insurer for repair to the motor vehicle or for related services.

6.  Misrepresent to a policyholder or other person either of the following:

(a)  The price of the proposed repairs being billed to the policyholder's insurer.

(b)  That the insurer has approved the repairs unless the motor vehicle repair facility obtained authorization directly from the insurance company and the authorization has been confirmed by facsimile, e‑mail or other written and recorded communication.

B.  A violation of this section is subject to enforcement under this article.

C.  For the purposes of determining whether a defendant knew of any particular element of the prohibited activity, it may be presumed that the person had knowledge if the person was engaged in a regular and consistent pattern of the prohibited activity. END_STATUTE