Two Collision Repair Association of California (CRA) members had an article published in a recent edition of Capitol Weekly that expressed their views on OEM and aftermarket parts as a way to educate consumers and protect them during the auto claims process.
Richard Steffen and Allen Wood, who, along with other members of the CRA, have been active in trying to get legislation passed they feel will protect consumers, said it was up to legislators to “warn car owners about insurance companies that hide certain collision repair practices from their policyholders” in their article titled, “ Drivers Beware: Insurers Often Cloak Their Collision-Repair Practices.”
“Here is what most consumers don’t know: To save money, insurers compel collision repairers to sign secret agreements that spell out what make of parts are to be used to fix damaged vehicles,” the article in the newspaper of California government and politics said.
Steffen and Wood also explained why they believe some insurers prefer aftermarket parts and why some body shops use them: “Aftermarket costs a little less than OEM. But why do repairers agree to use these less desirable parts? Well, if you want the insurer to refer claimants to your repair shop, or if you don’t want them steered away, concessions are required.”
The article then summarized Senate Bill 1059, which would make it unlawful for an insurer to require that aftermarket parts replace key components of a vehicle under warranty during the vehicle’s first three years as a new car.
To view the article in its entirety, click HERE.