Section 210-60-009 - Standards for prompt, fair and equitable settlements applicable to losses involving automobiles009.01 Where liability and damages are reasonably clear, insurers shall not recommend that third party claimants make claim under their own policies solely to avoid, delay or defer paying claims under such insurer's policy.009.02 Insurers shall not require a claimant to travel an unreasonable distance either to inspect a replacement automobile, to obtain a repair estimate or to have the automobile repaired at a specific repair shop.009.03 Insurers shall include the first party claimant's deductible, if any, in subrogation demands, unless requested not to by the first party claimant. Subrogation recoveries shall be shared on a proportionate basis no less than yearly with the first party claimant, unless the first party claimant has otherwise recovered the deductible amount. No deduction for expenses can be made from the deductible recovery unless an outside attorney is retained to pursue such collection and then the only expenses shared, on a pro rata basis, shall be legal expenses.009.04 If the insurer designates any repairer owned or affiliated with the insurer, it shall assure that the repairs are performed in a skillful manner and shall comply with this subsection. If non-total losses are settled on the basis of a written estimate prepared by or for the insurer, the insurer shall supply the claimant a copy of the estimate upon which the settlement is based. The estimate prepared by or for the insurer shall be reasonable, in accordance with applicable policy provisions, and of an amount which will allow for repairs to be made in a skillful manner. If the claimant subsequently claims, based upon a written estimate which was obtained, that necessary repairs will exceed the written estimate prepared by or for the insurer, the insurer may (1) pay the difference between the written estimate and a higher estimate obtained by the claimant, or (2) promptly provide the claimant with the name of at least one quality repair shop that will make the repairs for the amount of the written estimate, or (3) contact the repair shop of the claimant's choice for repair, to negotiate the amount of the written estimate for repair. The insurer shall maintain documentation of all such communications.009.05 When the amount claimed is reduced because of betterment or depreciation, all information for such reduction shall be contained in the claim file. Such deductions shall be measurable, discernable, itemized and specified as to dollar amount and shall be appropriate for the amount of deductions.009.06 When the insurer elects to repair and designates a specific repair shop for automobile repairs, the insurer shall cause the damaged automobile to be restored to its condition prior to the loss within a reasonable period of time, at no additional cost to the first party claimant other than as stated in the policy.009.07 Storage and Towing The insurer shall provide reasonable notice to the claimant prior to termination of payment for automobile storage charges and shall document same as is required by section 004. Such insurer shall provide reasonable time for removal of the vehicle from storage prior to the termination of payment. Unless the insurer has provided the first party claimant with the name of a specific towing company prior to the use of another towing company, the insurer shall pay any and all reasonable towing charges irrespective of the towing company used.
210 Neb. Admin. Code, ch. 60, § 009