Chapter 06-042

2006 -- H 7168

Enacted 06/01/06

A N A C T

RELATING TO MOTOR VEHICLE DAMAGE APPRAISERS

Introduced By: Representatives Moura, Long, Corvese, and Schadone

Date Introduced: February 08, 2006

It is enacted by the General Assembly as follows:

SECTION 1. Section 27-10.1-6 and 27-10.1-7 of the General Laws in Chapter 27-10.1

entitled "Motor Vehicle Damage Appraisers" are hereby amended to read as follows:

27-10.1-6. Conduct of motor vehicle damage appraisers. -- (a) Each appraiser, while

engaged in appraisal duties, shall carry the license issued to that appraiser by the department of

business regulation and shall display it, upon request, to an owner whose vehicle is being

inspected, to the auto body shop representative involved, or to any authorized representative of

the department of business regulation.

(b) The appraiser shall leave a legible copy of his or her appraisal with the auto body

shop selected to make the repairs, which appraisal shall contain the name of the insurance

company ordering it, if any, the insurance file number, the number of the appraiser's license, and

the proper identification number of the vehicle being inspected. , and notice in boldface type,

reading as follows:

"PURSUANT TO RHODE ISLAND LAW, THE CONSUMER HAS THE RIGHT TO

CHOOSE THE REPAIR FACILITY TO COMPLETE REPAIRS TO A MOTOR VEHICLE;

AND AN INSURANCE COMPANY MAY NOT INTERFERE WITH THE CONSUMER'S

CHOICE OF REPAIRER." All damage unrelated to the incident or accident that occasioned the

appraisal of the vehicle, or old damage, shall be clearly indicated in the appraisal.

unless the owner of that other shop, or his or her authorized agent, has inspected the vehicle. No

competitive estimate shall be obtained by the use of photographs, telephone calls, or in any

manner other than a personal inspection.

(d) No appraiser shall request that repairs be made in a specified auto body shop.

(e) Every appraiser shall re-inspect damaged vehicles when supplementary allowances

are requested by the auto body shops.

(f) No appraiser shall receive directly or indirectly any gratuity or other consideration in

connection with his or her appraisal services from any person except his or her employer, or, if

self-employed, his or her customers.

(g) No appraiser shall traffic in automobile salvage if it is obtained in any way as a result

of appraisal services rendered by the appraiser.

(h) No appraiser shall obtain an estimate from an unlicensed automobile body repair

shop nor shall any appraiser agree on a price for repairing a damaged motor vehicle with an

unlicensed automobile body repair shop. Nothing contained in this section shall be construed to

preclude an appraiser from dealing with any entity not subject to the licensing provisions of

section 5-38-4.

27-10.1-7. Violations -- Penalties. -- Any person licensed under this chapter who

violates the provisions of section 27-10.1-6 or, 27-10.1-8 or 27-10.1-8.1 or any rules and

regulations promulgated by the department of business regulation shall be subject to the

following sanctions which may be imposed by the director:

(1) Revocation or suspension of his or her license;

(2) Probation for a specified period of time; or

(3) Fines up to five hundred dollars ($500).

SECTION 2. Chapter 27-10.1 of the General Laws entitled "Motor Vehicle Damage

Appraisers" is hereby amended by adding thereto the following section:

27-10.1-8.1. Notices required to be displayed. -- A sign in boldfaced type letters at least

two (2) inches high must be displayed in a conspicuous location in every drive-in claim center as

defined in section 27-10.1-8, reading as follows:

"PURSUANT TO RHODE ISLAND LAW, THE CONSUMER HAS THE RIGHT TO

CHOOSE THE REPAIR FACILITY TO COMPLETE REPAIRS TO A MOTOR VEHICLE;

AND AN INSURANCE COMPANY MAY NOT INTERFERE WITH THE CONSUMER'S

CHOICE OF REPAIRER."

SECTION 3. This act shall take effect upon passage.

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LC01229

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