HOUSE BILL No. 4841

 

June 12, 2003, Introduced by Reps. Smith, Clack, Phillips, McConico, Stallworth, Tobocman, Accavitti, Vagnozzi, Minore, Zelenko, Reeves, Plakas, Condino and Hardman and referred to the Committee on Insurance.

        

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                

                                                                                 A bill to amend 1956 PA 218, entitled                                             

                                                                                

    "The insurance code of 1956,"                                               

                                                                                

    (MCL 500.100 to 500.8302) by adding section 2026a.                          

                                                                                

                THE PEOPLE OF THE STATE OF MICHIGAN ENACT:                      

                                                                                

1       Sec. 2026a.  (1) It is an unfair method of competition and                  

                                                                                

2   an unfair or deceptive act or practice in the business of                   

                                                                                

3   insurance for a private passenger nonfleet automobile insurer or            

                                                                                

4   the insurer's agent to solicit, offer, pay, or receive a kickback           

                                                                                

5   or bribe in connection with the process of adjusting, resolving,            

                                                                                

6   denying, or litigating a claim for automotive repair.                       

                                                                                

7       (2) An insurer or an insurer's agent who violates this                      

                                                                                

8   section is guilty of a felony punishable by imprisonment for not            

                                                                                

9   less than 1 year or more than 5 years, or a fine of not more than           

                                                                                

10  $50,000.00, or both, and in addition, the insurer is subject to             

                                                                                

11  the certificate of authority revocation proceedings of this                 

                                                                                


                                                                                

1   chapter.