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CONSUMER PROTECTION BULLETIN!
Fight to Protect Your New Car Warranty From Insurers Who Want to Repair Your Car with Non-Factory Parts. Support SB 1059 by State Senator Carole Migden.
The State Senate Judiciary Committee will vote on SB 1059 on Tuesday, April 15 at 1 p.m. in Room 112 of the State Capitol. Please call these legislators to voice your support before the bill is heard:
Senator Ellen Corbett: 510-577-2310
Senator Tom Harman: 714-957-4555
Senator Sheila Kuehl: 310-441-9084
Senator Darrell Steinberg: 916-651-1529
Senator Dick Ackerman: 714-573-1853
Senator Carole Migden: 415-479-6612
(click here to read SB 1059)
BILL NUMBER: SB 1059 AMENDED
BILL TEXT
AMENDED IN SENATE APRIL 8, 2008
AMENDED IN SENATE MARCH 24, 2008
AMENDED IN SENATE FEBRUARY 25, 2008
INTRODUCED BY Senator Migden
JANUARY 7, 2008
An act to add Section 758.6 to the Insurance Code, relating to
insurance.
LEGISLATIVE COUNSEL'S DIGEST
SB 1059, as amended, Migden. Vehicle insurance: aftermarket parts.
Existing law provides that no insurer shall require the use of
nonoriginal equipment manufacturer aftermarket crash parts in the
repair of an insured's motor vehicle, unless the consumer is advised
in a written estimate, as specified, before repairs are made. These
provisions are enforceable by the Insurance Commissioner.
This bill would provide that it is unlawful for any insurer to
require the installation of an aftermarket part, as defined, if the
part to be replaced is under the existing original manufacturer's
warranty, as specified, or limit payment to the cost of
installing an aftermarket part on a vehicle when an original
equipment manufacturer part is installed. This provision would apply
to a vehicle only during the first 5 3
years from the date on which the vehicle is sold as new.
Vote: majority. Appropriation: no. Fiscal committee: yes.
State-mandated local program: no.
THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:
SECTION 1. Section 758.6 is added to the Insurance Code, to read:
758.6. (a) It is unlawful for an insurer to do either of the
following:
(1) Require the installation of an aftermarket part on a vehicle
if the part to be replaced is under the existing original
manufacturer's warranty warranty, unless the
aftermarket parts are required to be used under the terms of the
claimant's insurance contract . For the purposes of this
section "aftermarket part" means any mechanical or crash
engine and its components, cooling system, air
conditioning system, or corrosion protection part that was not
manufactured, fabricated, or supplied for or by the original
manufacturer of the vehicle.
(2) Limit payment to the cost of installing an aftermarket part on
a vehicle when an original equipment manufacturer part is installed
pursuant to this section.
(b) This section shall apply to a vehicle only during the first
five three years from the date on which
the vehicle is sold as new.
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