SCRS Supports Disclosure by Insurers that Damage Assessment is Not Estimate - BodyShop Business

SCRS Supports Disclosure by Insurers that Damage Assessment is Not Estimate

The Society of Collision Repair Specialists (SCRS) says it supports any
effort that would require first- or third-party claimants to receive
written disclosure that any damage assessment provided by the insurer
is not a written estimate of repair costs, as California’s A.B. 1179
would require.

“We believe this is in the best interest of the consumer because
currently, the insurer damage assessments are based only on a ‘visual
inspection’ of the damage, and in many cases, a visual inspection alone
cannot identify the full extent of actual damage and cost of the
repair,” an SCRS release stated. “We contend that only the auto body
professional performing the repair is in a position to thoroughly
inspect, diagnose and identify the methodology and true cost of the
vehicle damage repair.”

A.B. 1179 would require insurers to
disclose in writing to claimants that any damage assessment made by the
insurer is not a written estimate of repair costs and that only
facilities licensed by the state Board of Autobody Repair can write an
estimate.

The California Autobody Association (CAA) and Collision Repair
Association of California (CRA) both support the bill, which is
opposed by several insurance groups.

“Studies show that nearly half of claimants will take the insurer’s
damage assessment as reflective of what it costs to repair a damaged
vehicle,” said CRA Executive Director Allen Wood. “Unfortunately, one
study revealed that the costs on the final invoices were an average 100
percent higher than the guesses by insurers. Too many claimants took
the insurer’s check that was based on an insurer’s visual inspection,
not one where experts removed parts of the vehicle to identify the full
extent of damage.”

A second hearing for A.B. 1179 is slated for next week. Click HERE for more information about the bill.

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