Relating to use of aftermarket crash parts by repair shops
Impact
The bill is designed to enhance consumer protection by ensuring that vehicles repaired within the critical years post-manufacture are done so with parts that maintain warranty standards. Proponents argue that it will lead to safer vehicle repairs and greater consumer trust in automotive services. However, it may also increase repair costs as genuine parts are often more expensive than their aftermarket counterparts. This could lead to higher insurance premiums and repair bills for consumers, raising concerns about the economic implications of such mandates on those seeking affordable repair options.
Summary
Senate Bill 62 (SB62) seeks to amend existing laws regarding the use of aftermarket crash parts in motor vehicle repairs. Specifically, it mandates that motor vehicle body shops use genuine new original equipment parts for repairs covered by insurance within the first three years of a vehicle's manufacture. This requirement is established to ensure that repairs maintain the manufacturer's warranty, which covers aspects such as fit, finish, structural integrity, and crash performance. The passage of this bill would affect the operations of repair shops and the practices of insurance companies related to repair negotiations.
Sentiment
The sentiment around SB62 is mixed among stakeholders. Supporters, including some automotive specialists, view the bill as essential to ensuring high standards for vehicle repairs and consumer safety. They believe that genuine parts are critical for maintaining the integrity of the vehicle and protecting consumer rights. Conversely, opponents, including advocates for lower repair costs and aftermarket standards, criticize the bill for potentially limiting choices for consumers and driving up costs during a time when many are looking for more affordable vehicle maintenance options.
Contention
Notable points of contention include concerns regarding the implications for aftermarket parts manufacturers and the auto repair market. Critics argue that the bill could create a monopoly in the parts market, making it difficult for consumers who prefer more budget-friendly options to find suitable repairs. Additionally, there are discussions around transparency in repair processes and the need for consumer consent when it comes to the use of parts, which some believe should be emphasized more in the legislation.
Provides for the prohibition of the use of non-OEM aftermarket parts at the direction of an insurer when such parts affect the safe operation of the vehicle or otherwise endanger the health, safety and welfare of the public
Prohibits insurance companies from refusing to use after market parts that are greater than 48 months and less than 72 months from the date of manufacture, provided the repairer has written consent from the owner of the vehicle.
Prohibits insurance companies from refusing to use after market parts that are greater than 48 months and less than 72 months from the date of manufacture, provided the repairer has written consent from the owner of the vehicle.
Provides for the prohibition of the use of non-OEM aftermarket parts at the direction of an insurer when such parts affect the safe operation of the vehicle or otherwise endanger the health, safety and welfare of the public