Friday, 18 September 2009 11:03

CRA ASKS Gov. Schwarzenegger to “Terminate” AB 1200

The Assembly approved AB 1200 (Hayashi) 42-19 on September 9, 2009. The bill now goes to the Governor for his consideration. The CRA will ask him to veto the measure because it will hurt the independent collision repair shops that already suffering during the economic downturn while depriving claimants the benefits of a repair analyses based on the right thing to do, not the cheapest way to go.

CRA president Lee Amaradio stated, “AB 1200 is a misleading proposal that allows an insurer to keep the details of DRPS secret while it badgers claimants into selecting a repair shop favored by the insurer.  We will ask the Governor to send AB 1200 back to the Legislature where it needs to be reworked into a measure that is fair to claimants, shops and insurers.

The CRA has posted the votes on AB 1200 so that members can see for themselves how their representative in the State Legislature responded to an insurance industry-backed bill.

By way of contrast the Legislature approved the anti-steering law, Senator Jackie Speier’s SB 551, by a vote of 114-1 in 2003 while AB 1200, which undoes SB 551, received 36 “no” votes and 63 “aye” votes. AB 1200 won approval by the bare minimum in the State Senate while it only received 42 out of 80 votes in the Assembly.

“The vote totals for AB 1200 raise the notion that a significant number of lawmakers don’t think the bill is ready to become law,” stated Richard Steffen, CRA’s lobbyist.

CRA members are encouraged to write Governor Schwarzenegger to ask that he veto the bill. Letters should be mailed during the week of September 14 and should be addressed as follows:

The Honorable Arnold Schwarzenegger
Governor, State of California
State Capitol
Sacramento, CA 95814
Attn: Legislative Unit, AB 1200

The CRA board urges members to tell the Governor how AB 1200 will hurt their business and their customers. If enacted, AB 1200 will help insurers send more claimants to DRP shops. Under AB 1200 California will be riddled with “company” stores, competition will be decreased and the benefits of an open marketplace will be curtailed.

When the Governor reviews a bill, he is told how many people wrote him about the measure and in what part of the state the letter writers reside. It’s important to participate.

How They Voted

MEASURE:      AB 1200
AUTHOR:      Hayashi
TOPIC:      Motor vehicle insurance: direct repair progra
DATE:      09/09/2009
MOTION:      AB 1200 HAYASHI  Concurrence in Senate Amendments
(AYES  42. NOES  19.)  (PASS)



Adams      Anderson      Bill Berryhill      Tom Berryhill
Blakeslee      Buchanan      Caballero      Charles Calderon
Carter      Conway      Cook      Coto
De Leon      DeVore      Emmerson      Fletcher
Fuller      Gaines      Galgiani      Garrick
Gilmore      Hagman      Harkey      Hayashi
Hernandez      Huber      Jeffries      Knight
Lieu      Logue      Miller      Nestande
Niello      Nielsen      V. Manuel Perez      Silva
Smyth      Solorio      Audra Strickland      Tran
Villines      Bass



Ammiano      Arambula      Beall      Block
Blumenfield      Brownley      Chesbro      Feuer
Hill      Huffman      Jones      Ma
Monning      Nava      John A. Perez      Salas
Skinner      Swanson      Torres



Davis      De La Torre      Duvall      Eng
Evans      Fong      Fuentes      Furutani
Hall      Krekorian      Bonnie Lowenthal      Mendoza
Portantino      Ruskin      Saldana      Torlakson
Torrico      Yamada      Vacancy



MEASURE:      AB 1200
AUTHOR:      Hayashi
TOPIC:      Motor vehicle insurance: direct repair progra
DATE:      09/04/2009
MOTION:      Assembly 3rd Reading AB1200 Hayashi By Calderon
(AYES  21. NOES  17.)  (PASS)


Aanestad      Benoit      Calderon      Cedillo
Cogdill      Correa      Cox      Denham
Dutton      Harman      Hollingsworth      Huff
Kehoe      Negrete McLeod      Price      Runner
Strickland      Walters      Wright      Wyland


Alquist      Ashburn      Corbett      DeSaulnier
Ducheny      Florez      Hancock      Leno
Liu      Lowenthal      Maldonado      Oropeza
Pavley      Romero      Simitian      Wiggins


Padilla      Steinberg

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