Local news stories affecting the auto body industry in California, Nevada, Oregon, Washington, Idaho, Montana, Hawaii, Alaska and Wyoming
State Farm and several smaller Northwest-based auto insurers continue to be among the best at taking care of their customers after an accident. And some of the other larger, best-known insurers---including Progressive, Allstate, Safeco and Farmers Insurance -- are among the worst. That was the finding of a new survey of businesses that interact with auto insurers on behalf of vehicle-owners every day: Oregon collision repair shops.
The bill would have required insurers to spell out the use of aftermarket parts in insurance policies written on vehicles three-years-old or less, but it did not make it off the CA Senate floor last week. The bill was approved to be heard before the Senate adjourned at the end of this month---however, it was not brought up again, killing it for this legislative session.
A class action lawsuit (Case #CV08-03184), was filed today in United States Federal Court, Central District, alleging that State Farm Mutual Automobile Insurance Company is enriching itself with payments rightfully belonging to its insureds in violation of California law, particularly the "Make Whole Rule."
Assembly Bill 594, revolutionary new legislation in Nevada, has quietly been enacted and implemented. The bill creates a Class A certification designation for body shops that meet certain criteria.
Seven individuals have been arrested for their alleged involvement in automobile arson and insurance fraud. The arrests are the result of two automobile “give-up” investigations.
The Economic Employment Enforcement Coalition (EEEC) investigators issued 41 citations for labor violations – with fines totaling more than $226,000 – in a recent sweep of 28 San Diego auto body businesses, according to the Labor and Workforce Development Agency.
Senate Bill 1371, carried by Senator Lou Correa and sponsored by the California Autobody Association (CAA), was unanimously (11-0) supported by the members of the Senate committee on Banking, Finance, and Insurance on April 16. There is currently no opposition to this bill.
Despite howls of protest from lobbyists representing insurers and aftermarket companies, the California Senate Judiciary Committee not only approved the CRA-sponsored SB 1059, it also added new muscle to the bill. By a 3-2 vote the committee agreed to add the following provision to the bill: “At the time of sale, the insurer shall specifically notify the insured whether the insurance contract allows for the use of aftermarket parts, and that such use may affect the insured's vehicle manufacturer's warranty. The required use of aftermarket parts must also be clearly and conspicuously disclosed in bold type in the front declaration page of the policy."