Massachusetts 2025-2026 Regular Session

Massachusetts House Bill H1260 Compare Versions

Only one version of the bill is available at this time.

Old	New	Differences
1	1	1 of 1
2	2	HOUSE DOCKET, NO. 2518 FILED ON: 1/16/2025
3	3	HOUSE . . . . . . . . . . . . . . . No. 1260
4	4	The Commonwealth of Massachusetts
5	5	_________________
6	6	PRESENTED BY:
7	7	Paul McMurtry
8	8	_________________
9	9	To the Honorable Senate and House of Representatives of the Commonwealth of Massachusetts in General
10	10	Court assembled:
11	11	The undersigned legislators and/or citizens respectfully petition for the adoption of the accompanying bill:
12	12	An Act establishing the fair calculation of labor rates paid by insurance companies to auto
13	13	repairers in the Commonwealth.
14	14	_______________
15	15	PETITION OF:
16	16	NAME:DISTRICT/ADDRESS :DATE ADDED:Paul McMurtry11th Norfolk1/16/2025 1 of 2
17	17	HOUSE DOCKET, NO. 2518 FILED ON: 1/16/2025
18	18	HOUSE . . . . . . . . . . . . . . . No. 1260
19	19	By Representative McMurtry of Dedham, a petition (accompanied by bill, House, No. 1260) of
20	20	Paul McMurtry for legislation to authorize the Commissioner of the Division of Insurance to set
21	21	labor rates paid by insurance companies to auto repairers. Financial Services.
22	22	[SIMILAR MATTER FILED IN PREVIOUS SESSION
23	23	SEE HOUSE, NO. 1095 OF 2023-2024.]
24	24	The Commonwealth of Massachusetts
25	25	_______________
26	26	In the One Hundred and Ninety-Fourth General Court
27	27	(2025-2026)
28	28	_______________
29	29	An Act establishing the fair calculation of labor rates paid by insurance companies to auto
30	30	repairers in the Commonwealth.
31	31	Be it enacted by the Senate and House of Representatives in General Court assembled, and by the authority
32	32	of the same, as follows:
33	33	1 SECTION 1. Chapter 100A of the General Laws, as appearing in the 2020 Official
34	34	2Edition, is hereby amended by inserting after section 14 the following section:-
35	35	3 Section 15. The commissioner of insurance shall set the minimum hourly labor rate that
36	36	4insurers shall pay on insured claims for repairs made by registered motor vehicle repair shops.
37	37	5 In determining the minimum rate paid by insurers on all Massachusetts insured motor
38	38	6vehicle damage claims, the compensation for the minimum hourly labor rate that insurers shall
39	39	7pay on insured claims for repairs made by registered motor vehicle repair shops shall be
40	40	8calculated by utilizing the method described in this section. 2 of 2
41	41	9 The compensation for the minimum hourly labor rate that insurers shall pay on insured
42	42	10claims for repairs made by registered motor vehicle repair shops shall be established by the
43	43	11repair shop submitting to the insurer 100 sequential customer-paid collision repair orders or 60
44	44	12consecutive days of customer-paid collision repair orders, whichever is less, from which the
45	45	13repairer shall calculate the average customer paid hourly labor rate, which shall be declared the
46	46	14minimum hourly labor rate that the insurer will pay to the repairer. The minimum hourly labor
47	47	15rate shall go into effect 30 days following the declaration, subject to audit of the submitted
48	48	16collision repair orders by the insurer and a rebuttal of the declared rate. If the declared rate is
49	49	17rebutted, the insurer shall propose an adjustment of the minimum hourly labor rate based on the
50	50	18rebuttal not later than 30 days after submission. If the repairer does not agree with the minimum
51	51	19hourly labor rate proposed by the insurer, the repairer may file an action with the commissioner
52	52	20of insurance 30 days after receipt of the proposal by the insurer. In an action commenced under
53	53	21this section, the insurer shall have the burden of proving that the rate declared by the repairer was
54	54	22inaccurate or unreasonable.
55	55	23 SECTION 2. Section 113B of chapter 175 of the General Laws, as appearing in the 2020
56	56	24Official Edition, is hereby amended by inserting, after the word “commissioner” in line 14, the
57	57	25following:- “; provided, however, that collision repair hourly labor rates, set pursuant to section
58	58	2615 of chapter 100A, shall not be included when considering programs to control costs and
59	59	27expenses under this section or section 113H.”
60	60	28 SECTION 3. Within 90 days of the enactment of Section 1, the commissioner of the
61	61	29division of insurance shall promulgate regulations necessary to implement the provisions of
62	62	30Sections 1 and 2, inclusive.