HB4916 101ST GENERAL ASSEMBLY

LRB101 18283 BMS 67729 b

101ST GENERAL ASSEMBLY
State of Illinois
2019 and 2020
HB4916

Introduced 2/18/2020, by Rep. Elizabeth Hernandez

SYNOPSIS AS INTRODUCED:

215 ILCS 5/155.29	from Ch. 73, par. 767.29
815 ILCS 308/15

Amends the Illinois Insurance Code. Provides that no insurer shall specify the use of repair procedures that are not in compliance with original equipment manufacturer directives for those parts in the repair of an insured's motor vehicle, nor shall any repair facility or installer use repair procedures that are not in compliance with original equipment manufacturer directives for those parts to repair a vehicle. Provides that the use of original equipment manufacturer repair parts or original equipment manufacturer advanced driver assistance system calibration tools that may be recommended in an original equipment manufacturer directive are not required if the repair parts or tools used are at least equal in like kind and quality and otherwise conform to original equipment manufacturer directives. Amends the Automotive Collision Repair Act. Provides that an estimate given to a consumer by a motor vehicle collision repair facility shall include the use of repair procedures and replacement parts that are in compliance with original equipment manufacturer directives for those parts. Provides that the use of original equipment manufacturer repair parts or original equipment manufacturer advanced driver assistance system calibration tools that may be recommended in an original equipment manufacturer directive are not required if the repair parts or tools used are at least equal in quality and otherwise conform to original equipment manufacturer directives.

A BILL FOR

AN ACT concerning regulation.

Be it enacted by the People of the State of Illinois, represented in the General Assembly:

Section 5. The Illinois Insurance Code is amended by changing Section 155.29 as follows:

(215 ILCS 5/155.29) (from Ch. 73, par. 767.29)

Sec. 155.29. (a) Purpose. The purpose of this Section is to regulate the use of aftermarket crash parts by requiring disclosure when any use of an aftermarket non-original equipment manufacturer's crash part is proposed and by requiring that the manufacturers of such aftermarket crash parts be identified.

(b) Definitions. As used in this Section the following terms have the following meanings:

"Aftermarket crash part" means a replacement for any of the nonmechanical sheet metal or plastic parts that generally constitute the exterior of a motor vehicle, including inner and outer panels.

"Non-original equipment manufacturer (Non-OEM) aftermarket crash part" means an aftermarket crash part not made for or by the manufacturer of the motor vehicle.

"Repair facility" means any motor vehicle dealer, garage, body shop, or other commercial entity that undertakes the repair or replacement of those parts that generally constitute the exterior of a motor vehicle.

"Installer" means an individual who actually does the work of replacing or repairing parts of a motor vehicle.

(c) Identification. Any aftermarket crash part supplied by a non-original equipment manufacturer for use in this State after the effective date of this Act shall have affixed thereto or inscribed thereon the logo or name of its manufacturer. The manufacturer's logo or name shall be visible after installation whenever practicable.

(d) Disclosure. No insurer shall specify the use of non-OEM aftermarket crash parts in the repair of an insured's motor vehicle, nor shall any repair facility or installer use non-OEM aftermarket crash parts to repair a vehicle unless the customer is advised of that fact in writing. In all instances where an insurer intends that non-OEM aftermarket crash parts be used in the repair of a motor vehicle, the insurer shall provide the customer with the following information:

(1) a written estimate that clearly identifies each non-OEM aftermarket crash part; and

(2) a disclosure settlement incorporated into or attached to the estimate that reads as follows: "This estimate has been prepared based on the use of crash parts supplied by a source other than the manufacturer of your motor vehicle. Warranties applicable to these replacement parts are provided by the manufacturer or distributor of these parts rather than the manufacturer of your vehicle."

(e) Procedures. No insurer shall specify the use of repair procedures that are not in compliance with original equipment manufacturer directives for those parts in the repair of an insured's motor vehicle, nor shall any repair facility or installer use repair procedures that are not in compliance with original equipment manufacturer directives for those parts to repair a vehicle. However, this subsection does not require the use of original equipment manufacturer repair parts or original equipment manufacturer advanced driver assistance system calibration tools that may be recommended in an original equipment manufacturer directive if the repair parts or calibration tools used are at least equal in like kind and quality and otherwise conform to original equipment manufacturer directives.

(Source: P.A. 86-1234; 86-1475.)

Section 10. The Automotive Collision Repair Act is amended by changing Section 15 as follows:

(815 ILCS 308/15)

Sec. 15. Disclosure to consumers; estimates.

(a) No work for compensation that exceeds $100 shall be commenced without specific authorization from the consumer after the disclosure set forth in this Section.

(b) Every motor vehicle collision repair facility shall either (i) give to each consumer a written estimated price for labor and parts for a specific repair and shall not charge for work done or parts supplied in an amount that exceeds the estimate by more than 10% without oral or written consent from the consumer; or (ii) give to each consumer a written price limit for each specific repair and shall not exceed that limit without oral or written consent of the consumer. The estimate shall include the total costs to repair the motor vehicle.

Estimates shall include all charges to be paid by the consumer to complete the repair, including any charges for estimates, diagnostics, storage, and administrative fees.

(c) Motor vehicle collision repair facilities shall describe in the estimate the major parts needed to effectuate the repair and shall designate the parts as either new parts, used parts, rebuilt or reconditioned parts, or aftermarket parts as set forth in Section 10 of this Act.

(d) Estimates shall indicate that the collision repair facility may use a combination of industry standard flat rate (time) manuals, actual time, or condition of the motor vehicle to determine labor costs. This disclosure mandate may also be fulfilled by means of a sign that provides the same information to the consumer. The sign shall be posted at a location that can be easily viewed by the consumer.

(e) If it is necessary to disassemble or partially disassemble a motor vehicle or motor vehicle component in order to provide the consumer a written estimate for required repairs, the estimate shall show the cost of any disassembly if the consumer elects not to proceed with the repair of the motor vehicle.

(f) The estimate shall include the date the estimate was prepared or the date the motor vehicle was presented to the collision repair facility for repair and the odometer reading on the motor vehicle at the time the motor vehicle was left with the collision repair facility.

(g) The estimate shall include the use of repair procedures and replacement parts that are in compliance with original equipment manufacturer directives for those parts. However, this subsection does not require the use of original equipment manufacturer repair parts or original equipment manufacturer advanced driver assistance system calibration tools that may be recommended in an original equipment manufacturer directive if the repair parts or calibration tools used are at least equal in like kind and quality and otherwise conform to original equipment manufacturer directives.

(Source: P.A. 93-565, eff. 1-1-04.)