LRBs0344/1
PJK:jlg:km
1999 - 2000 LEGISLATURE
SENATE SUBSTITUTE AMENDMENT 1,
TO 1999 SENATE BILL 63
March 14, 2000 - Offered by
Committee on Judiciary and Consumer Affairs.
SB63-SSA1,1,8
1An Act to repeal 632.38 (2) (b), 632.38 (3) (c), 632.38 (3) (d) and 632.38 (4);
to
2renumber 100.44 (4);
to amend 100.44 (4) (title), 632.38 (1) (c), 632.38 (1) (e),
3632.38 (2) (intro.), 632.38 (2) (a), 632.38 (3) (title), 632.38 (3) (a) and 632.38 (3)
4(b); and
to create 100.44 (1) (am), 100.44 (3m), 100.44 (4) (b), 632.38 (2) (c),
5632.38 (2) (d), 632.38 (2) (e), 632.38 (2m) and 632.38 (5) of the statutes;
relating
6to: authorization for or acknowledgment of the use of nonoriginal
7manufacturer replacement parts in the repair of a motor vehicle, granting
8rule-making authority and providing a penalty.
The people of the state of Wisconsin, represented in senate and assembly, do
enact as follows:
SB63-SSA1, s. 1
9Section
1. 100.44 (1) (am) of the statutes is created to read:
SB63-SSA1,1,1210
100.44
(1) (am) "Nonoriginal manufacturer replacement part" means a
11replacement part that is not made by or for the manufacturer of an insured's motor
12vehicle.
SB63-SSA1, s. 2
1Section
2. 100.44 (3m) of the statutes is created to read:
SB63-SSA1,2,72
100.44
(3m) Unauthorized use of nonoriginal manufacturer replacement
3parts. No person may use a nonoriginal manufacturer replacement part in the repair
4of an insured's motor vehicle to which s. 632.38 (2) applies, unless the insurer paying
5for the repair has received authorization for the use of the nonoriginal manufacturer
6replacement part on the form described in s. 632.38 (2) and exhibits proof of the
7authorization to the person making the repair.
SB63-SSA1, s. 3
8Section
3. 100.44 (4) (title) of the statutes is amended to read:
SB63-SSA1,2,99
100.44
(4) (title)
Penalty
Penalties.
SB63-SSA1, s. 4
10Section
4. 100.44 (4) of the statutes is renumbered 100.44 (4) (a).
SB63-SSA1, s. 5
11Section
5. 100.44 (4) (b) of the statutes is created to read:
SB63-SSA1,2,1412
100.44
(4) (b) Any person who violates sub. (3m) may be required to forfeit not
13more than $1,000 for each violation. Each day of violation constitutes a separate
14offense.
SB63-SSA1, s. 6
15Section
6. 632.38 (1) (c) of the statutes is amended to read:
SB63-SSA1,2,2016
632.38
(1) (c) "Motor vehicle" means any motor-driven vehicle required to be
17registered under ch. 341 or exempt from registration under s. 341.05 (2), including
18a demonstrator or executive vehicle not titled or titled by a manufacturer or a motor
19vehicle dealer. "Motor vehicle" does not mean a moped,
as defined in s. 340.01 (29m), 20semitrailer or trailer designed for use in combination with a truck or truck tractor.
SB63-SSA1, s. 7
21Section
7. 632.38 (1) (e) of the statutes is amended to read:
SB63-SSA1,2,2422
632.38
(1) (e)
"Replacement Subject to sub. (5), "replacement part" means a
23replacement for any of the nonmechanical sheet metal or plastic parts that generally
24constitute the exterior of a motor vehicle, including inner and outer panels.
SB63-SSA1, s. 8
25Section
8. 632.38 (2) (intro.) of the statutes is amended to read:
SB63-SSA1,3,12
1632.38
(2) Notice of intended use and authorization for use; newer or lower
2mileage vehicles. (intro.) An insurer or the insurer's representative may
not require
3directly or indirectly the use of a nonoriginal manufacturer replacement part in the
4repair of an insured's motor vehicle
, unless if the model year of the motor vehicle is
55 years old or less or the actual mileage of the motor vehicle is 50,000 miles or less,
6only if the insurer or the insurer's representative provides to the insured the notice
7and authorization form described in this subsection in the manner required in sub.
8(3)
or (4) and receives written authorization from the insured before any nonoriginal
9manufacturer replacement part is installed on the insured's motor vehicle. The
10notice
shall be in writing and shall include all of
must be given, and authorization
11must be obtained, on a form that is entitled "Replacement Parts Notice and
12Authorization Form" and that includes only the following information:
SB63-SSA1, s. 9
13Section
9. 632.38 (2) (a) of the statutes is amended to read:
SB63-SSA1,3,1614
632.38
(2) (a) A clear identification of each nonoriginal manufacturer
15replacement part that
is intended for use will be used in the repair of the insured's
16motor vehicle
if the insured provides authorization for the part's use.
SB63-SSA1, s. 11
18Section
11. 632.38 (2) (c) of the statutes is created to read:
SB63-SSA1,3,2119
632.38
(2) (c) A statement that the insured may choose to have replacement
20parts made by or for the manufacturer of the insured's motor vehicle used in the
21repair of the insured's motor vehicle.
SB63-SSA1, s. 12
22Section
12. 632.38 (2) (d) of the statutes is created to read:
SB63-SSA1,3,2423
632.38
(2) (d) A statement that the insurer's obligation to cover repairs to the
24insured's motor vehicle will not be affected by the insured's choice under par. (c).
SB63-SSA1, s. 13
25Section
13. 632.38 (2) (e) of the statutes is created to read:
SB63-SSA1,4,7
1632.38
(2) (e) Two signature lines for the insured's signature, with one line
2designated as authorizing the use of nonoriginal manufacturer replacement parts in
3the repair and the other line designated as requiring the use of only original
4manufacturer replacement parts in the repair. In addition, the form shall allow the
5insured to authorize the use of a nonoriginal manufacturer replacement part or to
6require the use of an original manufacturer replacement part with respect to each
7replacement part to be used in the repair.
SB63-SSA1,4,209
632.38
(2m) Notice and acknowledgment of use; older and higher mileage
10vehicles. An insurer or the insurer's representative may require the use of a
11nonoriginal manufacturer replacement part in the repair of an insured's motor
12vehicle if the model year of the motor vehicle is more than 5 years old and the actual
13mileage of the motor vehicle is more than 50,000 miles, only if the insurer or the
14insurer's representative provides to the insured the notice and acknowledgment
15form described in this subsection in the manner required in sub. (3) and receives
16written acknowledgment from the insured before any nonoriginal manufacturer
17replacement part is installed on the insured's motor vehicle. The notice must be
18given, and acknowledgment must be obtained, on a form that is entitled
19"Replacement Parts Notice and Acknowledgment Form" and that includes only the
20following information:
SB63-SSA1,4,2221
(a) A clear identification of each nonoriginal manufacturer replacement part
22that will be used in the repair of the insured's motor vehicle.
SB63-SSA1,4,2423
(b) A signature line for the insured's signature, designated as acknowledging
24the use of nonoriginal manufacturer replacement parts in the repair.
SB63-SSA1, s. 15
25Section
15. 632.38 (3) (title) of the statutes is amended to read:
SB63-SSA1,5,2
1632.38
(3) (title)
Delivery of notice and authorization or acknowledgment
2form.
SB63-SSA1, s. 16
3Section
16. 632.38 (3) (a) of the statutes is amended to read:
SB63-SSA1,5,114
632.38
(3) (a) The notice
and authorization form described in sub. (2)
or the
5notice and acknowledgment form described in sub. (2m), whichever is appropriate, 6shall
appear on or be attached to the estimate of the cost of repairing the insured's
7motor vehicle if the estimate is based on the use of one or more nonoriginal
8manufacturer replacement parts and is prepared by the insurer or the insurer's
9representative. The insurer or the insurer's representative shall deliver the
10estimate and
the notice
and authorization form or notice and acknowledgment form 11to the insured before the motor vehicle is repaired.
SB63-SSA1, s. 17
12Section
17. 632.38 (3) (b) of the statutes is amended to read:
SB63-SSA1,5,2013
632.38
(3) (b) If the insurer or the insurer's representative directs the insured
14to obtain one or more estimates of the cost of repairing the insured's motor vehicle
15and the estimate approved by the insurer or the insurer's representative clearly
16identifies one or more nonoriginal manufacturer replacement parts to be used in the
17repair, the insurer or the insurer's representative shall
assure delivery of the notice
18described in sub. (2) deliver the estimate approved by the insurer or the insurer's
19representative, with the notice and authorization form or notice and
20acknowledgment form attached, to the insured before the motor vehicle is repaired.
SB63-SSA1,6,3
1632.38
(5) Rules for motorcycle parts. The commissioner shall promulgate
2rules that specify the parts of a motorcycle that are replacement parts, as defined in
3sub. (1) (e).
SB63-SSA1,6,85
(1)
Rules. The commissioner of insurance shall submit in proposed form the
6rules required under section 632.38 (5) of the statutes, as created by this act, to the
7legislative council staff under section 227.15 (1) of the statutes no later than the first
8day of the 6th month beginning after the effective date of this subsection.
SB63-SSA1,6,1110
(1) This act first applies to claims under motor vehicle insurance policies issued
11or renewed on the effective date of this subsection.
SB63-SSA1, s. 24
12Section
24.
Effective dates. This act takes effect on the first day of the 3rd
13month beginning after publication, except as follows:
SB63-SSA1,6,1514
(1)
The treatment of section 632.38 (1) (e) and (5) of the statutes and
Section
1522 (1
) of this act take effect on the day after publication.