Automobile insurance; provisions governing claims handling and settlement offers and agreements modified.

HF 1322 modifies Minnesota's auto insurance rules for total loss claims. It requires insurers to offer a replacement vehicle option (with all taxes, fees, and license costs paid by the insurer, except the insured's deductible) when settling a total loss under a policy using actual cash value or replacement with like kind and quality, and the insured is not an auto dealer. This directly affects individual vehicle owners and non-dealer businesses who experience a total loss. The bill ensures insureds have a clear choice for a replacement vehicle without additional out-of-pocket costs beyond their deductible.