BodyShop Business
  News
California DOI Proposes Revisions to Code of Regulations Relating to Collision Repair Quality, Aftermarket Parts
11/30/2011

The California Department of Insurance (DOI) met Nov. 16 with a select group of collision repairers, insurers, and OE and aftermarket parts representatives to discuss proposed revisions to the California Code of Regulations relating to repair quality and aftermarket part use.

Some of the key language the DOI is looking to add to the Code of Regulations includes:

• The estimate...shall include, but not be limited to, repair procedures performed in accordance with original equipment manufacturer service specifications or, if manufacturer specifications and procedures are not available, nationally distributed and periodically updated service specifications that are generally accepted by the auto body repair industry. No insurer shall willfully depart from or disregard accepted trade standards for good and workmanlike repair in the preparation of claim settlement offers or estimates prepared by or for the insurer. Insurers shall not prepare an estimate that deviates from the collision repair estimating software guidelines for use and repair.

• The insurer must disclose in writing, in any estimate prepared by or for the insurer, the fact that it will warrant that such parts are of like, kind, quality, safety, fit and performance as original equipment manufacturer replacement crash parts.

• Insurers specifying the use of non-original equipment manufacturer replacement crash parts that are found to be defective, unsafe or do not otherwise comply with this section, shall immediately cease requiring the use of these parts and shall notify the collision repair estimating software provider, or other estimating entity it contracts with, of the part and request this part be removed from the collision repair estimating software.

• Insurers specifying the use of non-original equipment manufacturer replacement crash parts, which are certified by the Certified Automotive Parts Association (CAPA) and are found to be defective or unsafe, shall file a Quality Complaint Report with CAPA.

• Insurers specifying the use of non-original equipment manufacturer replacement crash parts that are found to be defective, unsafe or do not otherwise comply with this section, shall pay for the costs associated with returning the part and the cost to remove and replace the non-original equipment manufacturer part with an original equipment manufacturer part.

• Insurers specifying the use of non-original equipment manufacturer replacement crash parts that are found to be defective, unsafe or do not otherwise comply with this section, shall pay for the costs associated with loss of use or rental car expenses caused by the use of such part.

 


More articles in News

Most Commented