California Motor Vehicle Glass Act moves forward in Assembly with some amendments
California Senate Bill 988, the California Motor Vehicle Glass Act, is now making its way through the Assembly with a narrowed definition of “motor vehicle glass repair shop.”
The bill would prohibit the assignment of benefits and require motor vehicle glass repair shops to notify vehicle owners of advanced driver assistance system (ADAS) repairs. It follows the National Council of Insurance Legislators (NCOIL) model.
A motor vehicle glass repair shop is defined in the bill as “a person or business primarily engaged in automotive glass replacement, including the cutting, fabrication, repair, and installation of vehicle windows and windshields.” When it was introduced, the definition was “a person, including the person’s employees and agents, that for consideration engages in the repair or replacement of damaged motor vehicle glass.”
“Motor vehicle glass” is defined in the bill as “the glass and nonglass parts associated with the replacement of the glass used in the windshield, doors, or windows of a motor vehicle.”
The bill would also apply to inspecting or restoring vehicle glass and nonglass parts associated with windshield, door, or window repair or replacement, as well as calibrating or recalibrating an ADAS “when an incident requires the replacement of damaged motor vehicle glass.
On June 24, the bill was added to the Assembly Appropriations Committee’s suspense calendar.
At least three other states have filed bills this year based on the NCOIL model, including Illinois, Washington, and South Carolina. Virginia and Louisiana passed similar legislation earlier this year, and New York passed its bill last year. Arizona, Florida, Kentucky, Maryland, and Utah have also passed bills.
The Independent Glass Association (IGA) has been vocal about its opposition to SB 988 since it was filed.
The California Senate passed SB 988 in May. A hearing date for the suspense calendar bills hasn’t been announced, but it typically occurs in mid-August. Bills put on the suspense calendar generally carry heavy fiscal weight for one fiscal year and are voted on in bulk at one time, either in May or August. Bills on the calendar that aren’t pulled for a vote by the committee chair or are held die for the session once the passage deadline occurs.
Since Senate passage, SB 988 has been amended twice, changing the shop definition and adding “recalibration facility” to the following: “An insured that makes a first-party claim for the repair or replacement of damaged motor vehicle glass under a motor vehicle insurance policy shall not be required to use a particular shop or recalibration facility to receive claim payments or other benefits under the policy.”
Another amendment removed district attorneys from a list of government officials under which civil penalties may be assessed and recovered. The list now includes California city attorneys, county counsels, or attorneys general.
The bill would still require shops to provide written notice about whether a calibration was successful, and to provide an itemized invoice and receipt upon completion of repairs.
It would prohibit shops from contracting with a person to repair or replace damaged vehicle glass that is paid by a first-party insurance policy until specific conditions are met. Under those conditions, the shop customer would have to make a first-party claim for the repair or replacement of damaged glass under the policy, and the shop would have to receive a referral number for the claim.
Shops would be required to provide the insured with a good-faith estimate of the anticipated fees and costs that will be charged.
Violation of the bill would be punishable by a civil penalty not to exceed $500 for the first violation and up to $2,000 for each subsequent violation.
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