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Florida Bans Counterfeit or Non-functional Airbags, Changes Total Loss Threshold to 90% On April 28 the Florida House and Senate voted to pass Senate Bill 754 (SB 754) making it a second-degree felony “... for any person to knowingly import, manufacture, purchase, sell, offer for sale, or install, or reinstall on a vehicle a fake airbag or junk-filled airbag compartment.” The bill defines a fake airbag to include both counterfeit and nonfunctioning airbags and specifically includes airbag covers. SB 754 also revises the required statement that is stamped on a certificate of title upon issuance of the certificate; requiring the Department of
Highway Safety and Motor Vehicles to provide a report regarding certificates of title for rebuilt motor vehicles; revising requirements for the department to declare certain mobile homes and motor vehicles unrebuildable and to issue a certificate of destruction; requiring an owner of, or an insurance company for, a motor vehicle that is worth less than a specified amount or is above a certain age to obtain a certificate of destruction under certain circumstances; providing a criminal penalty, etc. The process for applying for a
The owners of Coastal Collision Works, David and Susan Montanaro, filed suit on March 6 against State Farm in the SC Court of Common Pleas for defamation, unfair trade practices, breach of contract with their insureds and breach of agreement with Coastal Collision. The shop is located at 2543 Savannah Hwy, Charleston, SC, 29414. Becky Snelgrove and Steve Fields are named in the suit as State Farm representatives. Coastal Collision Works accuses State Farm of engaging in a course of action to artificially depress the price for the repair of damaged automo-
biles in the Charleston, SC, area. In addition it accuses State Farm of: ● Attempting to persuade Coastal Collision Works and other Charleston body shops to agree to repair automobiles for an amount less than they ordinarily charge in exchange for prompt adjustment of losses; for referral of business; and for being listed by State Farm as a “preferred” shop. ● Attempting to persuade Coastal Collision Works and other Charleston body shops to repair automobiles on the basis of the State Farm estimate of damage instead of
See Florida Bans, Page 17
South Carolina Shop Files Suit Against State Farm Citing Breaches of Contract and Defamation
See Suit Against State Farm, Page 22
VOL. 5 ISSUE 4 JUNE 2014
Florida Bill Amendments Outline “Unlawful Acts and Practices” for Auto Body Shops, Now Withdrawn Florida State Senator Jeremy Ring (D) plans to withdraw his proposed changes to HB 7005, which would have outlined “unlawful acts and practices” for body shops and automotive glass companies, according to Joel Ramos, a legislative assistant in the state senator’s Tallahassee office. The bill was being considered by the Florida State Senate—Florida HB 7005—outlining “unlawful acts and practices” for auto body shops and automotive glass companies. Originally the bill potentially impacted auto body shops only, but State Senator Ring amended it on April 29, 2014, to add automotive glass companies to the language. The proposed “unlawful acts and practices” were: Intimidating, coercing, or threatening a consumer into selecting a particular motor vehicle glass repair
facility. Waiving or offering to waive an applicable insurance deductible. Offering a rebate, gift, gift card, cash, coupon, or anything of value in exchange for a consumer making an insurance claim for motor vehicle glass replacement or repair. Performing a motor vehicle glass replacement, repair, or other services for which the facility will seek reimbursement from an insurer without first obtaining insurer approval. Failing to make the subject motor vehicle available for inspection before performing motor vehicle glass repair and replacement services to the applicable insurer if the insurer requests such inspection. The bill was referred to several committees, including Transportation;
The series of storms that wreaked havoc across much of the United States in April rank as the first billion-dollar economic loss event of 2014 that can
hundreds of millions of dollars, Aon Benfield said. Employees of Auto Glass Now in Jackson, MS, escaped serious injury or death just minutes before a tornado leveled the automotive glass company on April 28, according to regional manager John Ketchum. The shop was pretty much a total loss, but the company has already leased a new building and is back in business already, he says. “[Employees at the shop] called me as I was on my way,” Ketchum explains. “They were concerned because the weather was getting bad and tornado alerts were being issued. They were listening to the radio but none of us realized the severity of the storm. When the alarms [warning sirens] went off, I told them to leave. About 20 minutes later the building was gone. All we could salvage was a chair.” The employees are safe and their
See Amendments to 7005, Page 38
Deadly Tornados Caused by Massive Storm Hitting 20 States, At Least 40 Deaths, $1 Billion in Damages
be attributed to thunderstorms, according to Aon Benfield, the world’s leading reinsurance intermediary’s monthly Global Catastrophe Recap report. At least 40 people were killed by flash flooding and severe weather during the storms, which included nearly 70 confirmed tornadoes across more than 20 states in the Plains, Mississippi Valley, Southeast, Midwest and Mid-Atlantic regions. Insured losses due to the multiday outbreak will likely end up in the
See Deadly Tornados, Page 4
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