§ 10-4-639 — Claims practices for property damage

Colorado § 10-4-639

• Jurisdiction: Colorado
• Title 10: Insurance
• Art.: Property and Casualty Insurance

Text

(1) An insurer shall pay
title fees, sales tax, and any other transfer or registration fee associated with the
total loss of a motor vehicle.

(2) An insurer shall clearly disclose to an insured or inform a third-party
claimant what benefits are provided related to towing and storage of a motor
vehicle that sustains property damage and shall specifically advise an insured or
third-party claimant concerning excess charges that may be incurred related to
towing and storage of a motor vehicle for which the insured or third-party claimant
may be responsible.

(3) An insurer shall establish a fair and consistent method for determining
total loss of a motor vehicle. Such method shall include consideration of unique
characteristics of the motor vehicle and a credible source of valuation. An insurer
shall maintain a record of its methodology for determining total loss evaluation and
provide such methodology to the commissioner upon request. The commissioner
may promulgate rules for the administration and enforcement of this subsection (3).
An insurer may not use different credible sources of valuation only to determine the
lowest amount payable for the total loss of the motor vehicle.

(4) The commissioner shall promulgate rules concerning when payments for
any applicable replacement motor vehicle shall be made by an insurer and collision
waivers for third-party claimant coverage.

Legislative History

Source: L. 2004: Entire section added, p. 895, � 4, effective May 21.