2007 Regular Session
By: Representative Lane, Calhoun, Fredericks, Peranich, Straughter, Watson
AN ACT TO REQUIRE INSURANCE COMPANIES TO PAY A CERTAIN REPLACEMENT VALUE FOR PROPERTY THAT IS DAMAGED OR DESTROYED; AND FOR RELATED PURPOSES.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MISSISSIPPI:
SECTION 1. (1) For purposes of this section, "adjuster" means any person who, as an independent contractor, or as an employee of an independent contractor, adjustment bureau, association, insurance company or corporation, managing general agent or self-insured, investigates or adjusts losses on behalf of either an insurer or a self-insured, or any person who supervises the handling of claims.
(2) If an insured, who has coverage with an insurer doing business in this state, carries full replacement coverage and the insured's property is damaged or destroyed, the insurer shall pay the full repair or replacement value as determined herein and not only the amount on a bill or invoice depicting the amount that the insured paid to repair or replace the property.
(3) After an adjuster has placed a value on the damaged or destroyed property, the insured may solicit up to three (3) additional estimates on the value of the property. The insurer is then required to pay the full repair or replacement value of the damaged or destroyed property. The repair or replacement value is determined by taking an average of the value amounts stated in the three (3) or less estimates acquired by the insured.
SECTION 2. This act shall take effect and be in force from and after July 1, 2007.