What is SB 988?
SB 988 is a new California law that sets rules for auto glass shops and insurers on glass claims paid by your own policy. Senator Tim Grayson authored it, Governor Newsom signed it on September 27, 2026, and it was chaptered as Chapter 666, Statutes of 2026.
It adds Civil Code sections 1784.50 through 1784.58, a new title called the California Motor Vehicle Glass Act. Sources: LegiScan bill record, Autobody News and CollisionWeek.
When does the Motor Vehicle Glass Act take effect?
January 1, 2027. The bill has no urgency clause, so it takes effect on the normal start date for new California laws. Work done before then follows the old rules.
What does the law require of glass shops?
According to the law as signed, a covered glass shop working on a first-party insurance claim must:
| Requirement | What it means for you |
|---|---|
| Wait for a claim or referral number | The shop can't contract for insurance-paid work until a claim is filed and it has the number |
| Good-faith estimate | You get an estimate, and an updated one before work begins if it changes |
| ADAS disclosure before work | The shop tells you whether your car has driver assistance systems, whether the automaker calls for calibration, and whether the shop will do it or refer it |
| Written calibration result | After calibration, you get written notice of whether it succeeded |
| Failed-calibration warning | If calibration failed, the shop must warn you not to rely on those systems until a successful calibration is done |
| Itemized invoice and receipt | You get a line-by-line invoice and proof of payment |
| No inducements | No rebates, gift cards, cash or other rewards for filing or directing a glass claim |
The ADAS rules matter because many newer cars have a camera behind the windshield. If that camera isn't calibrated, lane keeping and automatic braking may not see the road correctly. Read static vs. dynamic calibration for how it's done.
What can insurers still do, and what can't they do?
Insurers can still recommend glass shops, explain your coverage and run shop networks. They may not purposefully mislead, threaten or coerce you about where to get the work done, and benefits can't depend on using a particular shop.
This builds on an older rule. California Insurance Code 758.5 already bars insurers from requiring a specific repair shop. Autobody News reports the provision on insurer shop networks does not create a private right to sue.
What is the assignment of benefits ban?
Assignment of benefits (AOB) is when you sign over your insurance rights to the shop, which then deals with the insurer, sometimes including disputes or lawsuits. The new law bans AOB on windshield and calibration coverage. According to reporting on the law, such contracts signed on or after January 1, 2027 are unenforceable.
You can still authorize your insurer to pay the shop directly. That is how most glass claims are paid today, and it doesn't change.
What should I expect at a glass shop after January 1, 2027?
Expect more paperwork, in a good way. A shop following the law will:
- Ask if you're using insurance and, if so, wait for your claim or referral number.
- Give you an estimate.
- Tell you whether your car has ADAS and whether the automaker calls for calibration.
- Tell you whether the shop will calibrate or where you should go to have it done.
- Hand you a written calibration result and an itemized invoice.
If a shop offers a gift card or cash to file a claim through them, that's a red flag under the new law.
Does SB 988 apply if I pay cash?
The claim-number, inducement and assignment rules are tied to work paid by your own insurance policy. If you pay out of pocket with no claim, those parts don't come into play. A good shop will still tell you about calibration and give you an itemized invoice either way.
What are the penalties?
Civil penalties of up to $500 for a first violation and up to $2,000 for each later violation. Autobody News reports that the state attorney general, a city attorney or county counsel can bring enforcement actions.
How does The Windshield Co. handle these rules?
We already do the things the law will require. We check your VIN, tell you before work whether your car needs calibration, calibrate in-house, and give you a printed result with an itemized invoice. Read about our ADAS calibration and insurance claims.
Need help?
Questions about a claim under the new rules? Get a quote or see how insurance covers windshields in California.