House Bill No. 478

Introduced By wiseman, thomas, molnar, benedict, burnett, beaudry, quilici, harper, gage, halligan



A Bill for an Act entitled: An Act revising the definition of "glass broker"; revising the practices from which certain persons engaged in the sale, repair, or replacement of automobile glass are prohibited; and amending sections 30-14-225 and 33-18-223, MCA.



Be it enacted by the Legislature of the State of Montana:



Section 1.  Section 30-14-225, MCA, is amended to read:

"30-14-225.   Prohibited practices -- advertising allowed. (1) A person engaged in the sale, repair, or replacement of automobile glass may not:

(a)  advertise, promise to provide, or offer any coupon, credit, or rebate to pay all or part of an insurance deductible under a casualty or property insurance policy; or

(b)  pay a sum or incentive to an individual or entity for directing glass replacement or repair or the purchase of a glass product.

(2)  A person or association of persons engaged in the sale, repair, or replacement of automobile glass may advertise services as to quality, service, and safety.

(3)  A person glass broker, as defined in 33-18-223, may not manage, handle, or arrange automobile glass replacement or glass repair work for which the person glass broker retains a percentage of the claim or a set fee paid by the insurance company to the glass repair shop for an amount in excess of the amount paid to the glass repair shop."



Section 2.  Section 33-18-223, MCA, is amended to read:

"33-18-223.   Prohibited activities -- glass broker defined. (1) It is unlawful for an insurance company, individually or with others, to directly or indirectly:

(a)  establish an agreement with any person to act as a glass broker for the insurance company under which the glass broker sets a price that must be met by a glass repair shop as a condition for doing glass replacement or glass repair work for the insurance company;

(b)  establish an agreement with any person a glass broker that requires a glass repair shop to bill through that person glass broker as a condition of doing glass replacement or glass repair work; or

(c)  establish a price that must be met by a glass repair shop as a condition for doing glass replacement or glass repair work that is below the lowest prevailing market price as provided in 33-18-222.

(2)  As used in this section, "glass broker" means an automobile glass company that acts as a third-party agent for the insurer for whenever the purpose of entering glass broker enters into agreements with other automobile glass dealers to perform glass replacement or glass repair work."

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