AGSC registered members in the Sunshine State should know that the California Motor Vehicle Glass Act is still making its way through the State Senate, but recent changes mean it will no longer impact the state’s insurance code.
California Senator Tim Grayson (D) introduced SB 988 on Feb. 5 as an addition to the state’s insurance code. After the Committee on Insurance reviewed the bill, Senator Grayson amended it on March 23 to apply to California’s civil code instead.
The California Motor Vehicle Glass Act may be part of the state’s civil code, not insurance code.The insurance code only regulates insurance practices and is managed by the California Legislative Counsel Bureau and enforced by the California Department of Insurance, according to the code’s website. The civil code is much broader, governing property as well as the rights and obligations of people within the state. It is enforced by civil action, including action by public prosecutors.
The bill appears to follow a model glass act created by the National Council of Insurance Legislators (NCOIL). Like other recent state legislation seemingly based on the NCOIL model, it prohibits auto glass shops from officially contracting a job unless the customer provides a claim number. It also bans the assignment of benefits and regulates how shops should communicate with customers about ADAS recalibration.
According to the current version of the bill, any “person or entity that violates [the act]” shall be liable for a civil penalty of $500 or less for a first violation and $2,000 or less for each subsequent violation.
“Civil penalties … may be assessed and recovered in a civil action brought in the name of the people of the State of California by a city attorney, district attorney, city counsel or the Attorney General,” the bill says.