MISSISSIPPI LEGISLATURE

2001 Regular Session

To: Insurance

By: Representative Cameron (By Request)

AN ACT TO AMEND SECTION 83-11-501, MISSISSIPPI CODE OF 1972, TO PROVIDE THAT NO INSURER MAY RECOMMEND A PARTICULAR CONTRACTOR FOR AUTOMOBILE GLASS REPAIR; TO PROVIDE THAT NO INSURER SHALL ESTABLISH AN AGREEMENT FOR THE PROCESSING OF CLAIMS OR BILLS WITH A GLASS BROKER; AND FOR RELATED PURPOSES.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MISSISSIPPI:

SECTION 1. Section 83-11-501, Mississippi Code of 1972, is amended as follows:

83-11-501. (1) No insurer may recommend a particular contractor or may require as a condition of payment of a claim that repairs to a damaged vehicle, including glass repairs or replacements, must be made by a particular contractor or motor vehicle repair shop * * *.

(2) Insurers shall not raise the discount percent within three percent (3%) of the average glass price increase.

(3) No insurer shall establish an agreement for the processing of claims or bills with a glass broker or with an entity that has a financial interest in an entity in this state that installs or provides glass installation. For the purposes of this subsection, the term "glass broker" means an automobile glass company that acts as a third-party agent for the insurer whenever the glass broker enters into agreements with other automobile glass dealers to perform glass repair work or to install or manufacture glass or to provide glass for installation.

SECTION 2. This act shall take effect and be in force from and after July 1, 2001.