08 LC 28
3984
House
Bill 1315
By:
Representatives Holmes of the
61st,
Thomas of the
55th,
Gordon of the
162nd,
and Marin of the
96th
A
BILL TO BE ENTITLED
AN ACT
AN ACT
To
amend Chapter 34 of Title 33 of the Official Code of Georgia Annotated, relating
to motor vehicle accident reparations, so as to provide that each policy of
motor vehicle liability insurance issued in this state on and after July 1,
2008, shall provide that, when a motor vehicle accident results in liability
under such policy for property damage to a motor vehicle and such damaged motor
vehicle is capable of being repaired and restored to the condition such vehicle
was in prior to such accident, the owner of such damaged motor vehicle shall
have the option of receiving the fair market value of such vehicle or the cost
of such vehicle being repaired and restored to the condition such vehicle was in
prior to the motor vehicle accident notwithstanding that such repairs and
restoration exceed the fair market value of such motor vehicle; to provide that,
if the cost of such repairs and restoration is less than the fair market value
of such motor vehicle, the owner of such motor vehicle shall receive only the
cost of such repairs and restoration along with any diminution in value of such
vehicle as a result of such damage; to provide that no such payment shall exceed
the limits of such motor vehicle liability insurance policy for property damage;
to provide for related matters; to provide for an effective date and
applicability; to repeal conflicting laws; and for other purposes.
BE
IT ENACTED BY THE GENERAL ASSEMBLY OF GEORGIA:
SECTION
1.
Chapter
34 of Title 33 of the Official Code of Georgia Annotated, relating to motor
vehicle accident reparations, is amended by revising Code Section 33-34-3,
relating to requirements for issuance of policies, by adding a new subsection to
read as follows:
"(f)
Each policy of motor vehicle liability insurance issued in this state on and
after July 1, 2008, shall provide that, when a motor vehicle accident
results in liability under such policy for property damage to a motor vehicle
and such damaged motor vehicle is capable of being repaired and restored to the
condition such vehicle was in prior to such accident, the owner of such damaged
motor vehicle shall have the option of receiving the fair market value of such
vehicle or the cost of such vehicle being repaired and restored to the condition
such vehicle was in prior to the motor vehicle accident notwithstanding that
such repairs and restoration exceed the fair market value of such motor vehicle.
In the event that the cost of such repairs and restoration is less than the fair
market value of such motor vehicle, the owner of such motor vehicle shall
receive only the cost of such repairs and restoration along with any diminution
in value of such vehicle as a result of such damage. Nothing in this subsection
shall require that any such payment exceed the limits of such motor vehicle
liability insurance policy for property damage."
SECTION
2.
This
Act shall become effective on July 1, 2008, and shall apply to all motor vehicle
liability insurance policies issued in this state on and after such
date.
SECTION
3.
All
laws and parts of laws in conflict with this Act are repealed.