CHAPTER 1.5. AUTO REPAIR CLAIMS SETTLEMENT
IC 27-4-1.5
Chapter 1.5. Auto Repair Claims Settlement
IC 27-4-1.5-1
"Body part" defined
Sec. 1. (a) As used in this chapter, "body part" means a
replacement for any of the nonmechanical sheet metal or plastic parts
that generally constitute the exterior of a motor vehicle.
(b) The term includes the inner and outer panels of the body of a
motor vehicle.
As added by P.L.194-1991, SEC.2.
IC 27-4-1.5-2
"Body shop" defined
Sec. 2. As used in this chapter, "body shop" means a business that
repairs damage to the exterior of motor vehicles.
As added by P.L.194-1991, SEC.2.
IC 27-4-1.5-3
"Insured" defined
Sec. 3. As used in this chapter, "insured" means a person who is
entitled to the coverage provided by an insurance policy.
As added by P.L.194-1991, SEC.2.
IC 27-4-1.5-4
"Insurer" defined
Sec. 4. As used in this chapter, "insurer" has the meaning set forth
in IC 27-1-2-3.
As added by P.L.194-1991, SEC.2.
IC 27-4-1.5-5
"Motor vehicle" defined
Sec. 5. As used in this chapter, "motor vehicle" has the meaning
set forth in IC 9-13-2-105.
As added by P.L.194-1991, SEC.2. Amended by P.L.1-1992,
SEC.150.
IC 27-4-1.5-6
"New body part" defined
Sec. 6. As used in this chapter, "new body part" means a body part
that has not previously been attached to a motor vehicle.
As added by P.L.194-1991, SEC.2.
IC 27-4-1.5-7
"Used body part" defined
Sec. 7. As used in this chapter, "used body part" means a body
part that has previously been attached to a motor vehicle.
As added by P.L.194-1991, SEC.2.
IC 27-4-1.5-8
Insurer notice to insured; body parts to be used in repair
Sec. 8. (a) An insurer that is obligated to pay at least part of the
cost of repairing the exterior of a motor vehicle under an insurance
policy issued by the insurer may not direct a body shop to repair the
motor vehicle until the insurer has presented the insured with a
written notice that meets the requirements set forth in subsections (b)
and (c).
(b) An insurer described in subsection (a) shall present the insured
with a written notice that does the following:
(1) Informs the insured that the insured has a right to approve
the type of body parts to be used in the repair of the motor
vehicle.
(2) Gives the insured an opportunity, in approving the type of
body parts to be used in the repair of the motor vehicle, to select
from among the following:
(A) New body parts manufactured by or for the manufacturer
of the motor vehicle.
(B) New body parts that were not manufactured by or for the
manufacturer of the motor vehicle.
(C) Used body parts.
(c) An insurer described in subsection (a) shall give the insured an
opportunity to indicate in writing the type of body part that the
insured approves for use in the repair of the motor vehicle.
(d) This section applies only in the five (5) years after the model
year of the motor vehicle.
As added by P.L.194-1991, SEC.2.
IC 27-4-1.5-9
Failure to give insured notice; unfair claim settlement practice
Sec. 9. An insurer that:
(1) is required to give a written notice to an insured under
section 8 of this chapter concerning the repair of a motor
vehicle;
(2) does not give the insured a written notice that meets the
requirements set forth in section 8(b) of this chapter; and
(3) directs a body shop to repair the motor vehicle;
commits an unfair claim settlement practice under IC 27-4-1-4.5.
As added by P.L.194-1991, SEC.2.
IC 27-4-1.5-10
Failure to permit selection of body parts by insured; unfair claim
settlement practice
Sec. 10. An insurer that:
(1) is subject to the requirement set forth in section 8(c) of this
chapter with respect to the repair of a motor vehicle;
(2) does not satisfy this requirement; and
(3) directs a body shop to repair the motor vehicle;
commits an unfair claims settlement practice under IC 27-4-1-4.5.
As added by P.L.194-1991, SEC.2.
IC 27-4-1.5-11
Direction by insurer to use different body parts from those
directed by insured; unfair claims settlement practice
Sec. 11. An insurer that:
(1) under section 8(c) of this chapter gives an insured an
opportunity to indicate in writing the type of body part that the
insured approves for use in the repair of the motor vehicle; and
(2) directs a body shop to repair the motor vehicle using a type
of body part different from the type of body part that the
insured approved for use in the repair of the motor vehicle;
commits an unfair claim settlement practice under IC 27-4-1-4.5.
As added by P.L.194-1991, SEC.2.
IC 27-4-1.5-12
Refusal to direct use of or pay for body parts directed by insured;
unfair claim settlement practice
Sec. 12. An insurer that:
(1) under section 8(c) of this chapter gives an insured an
opportunity to indicate in writing the type of body parts that the
insured approves for use in the repair of a motor vehicle; and
(2) refuses to:
(A) pay for; or
(B) direct a body shop to use;
the type of body parts approved by the insured under section
8(c) of this chapter in the repair of the motor vehicle;
commits an unfair claims settlement practice under IC 27-4-1-4.5.
As added by P.L.194-1991, SEC.2.
IC 27-4-1.5-13
Insurer duties performed by agent or body shop
Sec. 13. An act that an insurer is required to perform under this
chapter shall be considered to have been performed by the insurer if
the act is performed by:
(1) an agent of the insurer; or
(2) a body shop that the insurer directs to repair a motor vehicle.
As added by P.L.194-1991, SEC.2.