On Tuesday, the Nevada Assembly passed A.B. 297, which would prevent insurance companies from acquiring or opening collision repair facilities and would place restrictions on pre-existing relationships between insurance companies and shops they own interest in, referred to as “tied shops.”
A.B. 297 would make the relationship between an insurer and a tied shop like that of an insurer and a DRP shop and would prohibit insurers from providing a competitive edge to tied shops.
Finally, the bill would require a notice posted in all tied shops that reads:
This body shop is owned in whole or in part by (Name of Insurer). You are hereby notified that you are entitled to seek repairs at any body shop of your choice.
The bill will now be considered by the Senate. Click HERE to read more about A.B. 297.