Currently in California, insurers must inform consumers in writing that non-OEM crash parts will be used in the repair before work begins. Estimates must have the following disclosure attached:
S.B. 1460 would eliminate this requirement. Instead, the bill would require that insurers disclose that "the insurer may use parts other than OEM crash parts to determine the amount to be paid to repair a damaged motor vehicle in a manner sufficient to restore the vehicle to its pre-loss condition. Non-OEM crash parts may be used to determine the amount to be paid to repair a damaged motor vehicle to its pre-loss condition."
The bill also includes requirements for certified aftermarket parts distributors, including written consumer warranties equal to OEM part warranties, an electronic tracking system for recalls, and a requirement for reporting defective parts to both the certifying entity and the California Bureau of Automotive Repair. The bill also requires distributors to provide the body shop with a service guarantee on defective parts that includes a full refund within 60 days.
The final invoice provided to consumers by shops must identify the supplier providing the warranty for each certified new non-OEM crash part and the tracking information.
Read the full text of S.B. 1460