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NCOIL Takes No Final Action on Model Parts Bill

Property-Casualty Insurance Committee moves to consider proposed model act at Fall Meeting.

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The National Conference of Insurance Legislators (NCOIL) Property-Casualty Insurance Committee took no final action on its proposed Motor Vehicle Crash Parts and Repair Model Act at the NCOIL summer meeting in Boston on July 8. The committee will continue discussing the Model Act at its annual meeting this fall in Austin, Texas.

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ASA says it opposes the NCOIL Motor Vehicle Crash Parts and Repair Model Act because of concerns about the provisions regarding aftermarket part certification, the lack of a written consent process for the use of replacement crash parts by consumers and the equating of certified parts to original equipment manufacturer (OEM) parts.

ASA says it had been particularly concerned about the certification process and what standards would be in place to certify aftermarket parts as equivalent to OEM parts. Another of ASA’s concerns is the language used in the Model Act to ensure that consumers will be aware of what types of parts were being used to repair their vehicles.

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ASA says it supports formal written consent, as to the replacement crash parts used in the repair, by the consumer to ensure that the consumer is fully aware of the parts being used to repair their vehicle.

The Property-Casualty Insurance Committee did approve a provision for the Model Act that differentiates certified aftermarket crash parts from aftermarket crash parts. ASA opposed this provision.


More information:

Full text of the model act is available at www.takingthehill.com.

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