HB3406 99TH GENERAL ASSEMBLY

LRB099 10241 JLS 30467 b

99TH GENERAL ASSEMBLY
State of Illinois
2015 and 2016
HB3406

Introduced , by Rep. Stephanie A. Kifowit

SYNOPSIS AS INTRODUCED:

215 ILCS 5/155.29

from Ch. 73, par. 767.29

Amends provisions of the Illinois Insurance Code requiring notice to the customer of the use of a non-original equipment manufacturer aftermarket crash part in a motor vehicle repair and requiring the identification of the manufacturer of a non-original equipment manufacturer aftermarket crash part. Changes the term "aftermarket crash part" to "aftermarket part" and redefines that term to include exterior or interior (instead of only exterior) nonmechanical sheet metal or plastic parts.

A BILL FOR

AN ACT concerning insurance.

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 or interior 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 or interior 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.".

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