State of South Dakota
LEGISLATIVE ASSEMBLY, 2008
||SENATE BILL NO. 103 |
Introduced by: Senators Turbak Berry, Abdallah, Garnos, Koetzle, and McCracken and Representatives Willadsen, Ahlers, Cutler, Engels, Miles, Pederson (Gordon), Rounds, and Street
FOR AN ACT ENTITLED, An Act to establish certain provisions regarding the use of replacement crash parts in the repair of certain motor vehicles.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF SOUTH DAKOTA:
Section 1. That chapter 58-33 be amended by adding thereto a NEW SECTION to read as follows:
For the purposes of this Act, the term, replacement crash parts, means sheet metal or plastic parts which generally constitute the exterior of a motor vehicle, including inner and outer panels.
Section 2. That chapter 58-33 be amended by adding thereto a NEW SECTION to read as follows:
No insurer may require the use of replacement crash parts in the repair of a motor vehicle unless the replacement crash part is at least of like kind and quality to the part being replaced in terms of fit, function, and finish. Replacement crash parts certified to meet the standards set by an American National Standards Institute recognized entity, including the Certified
Automotive Parts Association, are presumed to be at least of like kind and quality to the part being replaced in terms of fit, function, and finish.
Section 3. That chapter 58-33 be amended by adding thereto a NEW SECTION to read as follows:
For any new motor vehicle that was purchased by the insured from a vehicle dealer as defined in § 32-6B-1, if the date of loss occurred within twelve months of the date of purchase, no insurer may require the use of nonoriginal equipment manufacturer replacement crash parts in the repair of a motor vehicle.
Section 4. That chapter 58-33 be amended by adding thereto a NEW SECTION to read as follows:
Nothing in this Act creates or implies a private cause of action for violation of this Act nor may be construed to create or imply third party bad faith. A violation of this Act is not admissible in any private cause of action. A domestic, foreign, or alien insurer transacting business in this state violates this Act by either:
(1) A series of acts or practices in violation of this Act if done with such frequency as to indicate a general business practice to engage in that type of conduct; or
(2) An act or practice in violation of this Act that is done flagrantly and in conscious disregard of this Act.