Bray’s Report

In our new era of “Government Intervention”, Missouri just introduced HB 834 to regulate auto damage appraiser licensing, physical damage inspections, collision repair facilities and much more. Click here to read the full text of the bill.  

According to the latest news, AIG’s auto unit sale has stalled due to Zurich’s withdrawal. Click here for the full story.

According to an article in the Capitol Weekly,  California’s Prop 103 could be gutted as a move is being made toward federal regulation of the insurance industry. Click here for the article.

LKQ Corp, one of the largest auto parts recyclers and source for parts in the auto claims industry posted lower than expected results. Overall, however the company appears to have done well considering the current economic climate.  Click here for the release.

CA State Senator Leland Yee introduced SB 350 which would ban auto insurers from using any aftermarket parts that are not of like and kind quality to the parts being replaced.

(This is where a huge debate will be stirred.)

Click here for the full bill.

INTRODUCED BY   Senator Yee

                       

 FEBRUARY 25, 2009

   An act to amend Section 9875.1 of the Business and Professions
Code, and to amend Section 27317 of the Vehicle Code, relating to
motor vehicle insurance.

	LEGISLATIVE COUNSEL'S DIGEST

   SB 350, as introduced, Yee. Motor vehicle insurance: automobile
repairs: restraint systems.
   Existing law prohibits an insurer from requiring the use of
nonoriginal equipment manufacturer aftermarket crash parts in the
repair of an insured's motor vehicle unless the insured is advised in
a written estimate before repairs are made that nonoriginal
equipment manufacturer aftermarket crash parts will be used.
   This bill would, in addition to the advisement, prohibit the use
of the nonoriginal equipment manufacturer aftermarket crash parts
unless the parts are also at least of like kind and quality to the
parts being replaced, as specified.
   Existing law makes it a misdemeanor for any person to install or
reinstall for compensation any previously deployed air bag that is
part of an inflatable restraint system if the person knew that the
air bag had been previously deployed.
   This bill would, in addition, make it a misdemeanor for any person
to install or reinstall for compensation any previously damaged air
bag that is part of an inflatable restraint system if the person knew
that the air bag had been previously damaged. This bill would also
make it a misdemeanor for any person who has actual knowledge that
the airbag portion of an inflatable restraint system has been
previously deployed or damaged to cause another person to fail to
fully restore, arm, and return the airbag to original operating
condition, as specified.
   Because this bill would expand the definition of an existing
crime, it would impose a state-mandated local program.
   The California Constitution requires the state to reimburse local
agencies and school districts for certain costs mandated by the
state. Statutory provisions establish procedures for making that
reimbursement.
   This bill would provide that no reimbursement is required by this
act for a specified reason.
   Vote: majority. Appropriation: no. Fiscal committee: yes.
State-mandated local program: yes.

Safety groups are concerned about the safety and quality of auto parts imported from China. In this article link, the NHTSA documents faulty tires that has led to a host of accidents. Click here for more.

The National Highway Traffic Safety Administration conducted a study that revealed 20% of all fatal car accidents involve a vehicle that was missing an airbag. Click here for this story.

Ford Motor Co. has now opened a new auto body tech center to study vehicle impacts of their vehicles and reduce repair costs. Click here for the full story.

According to data pulled from the United Bureau of Labor and Statistics, auto body work CPI is on the rise. This has been a national trend.

According to TheStreet.com, USAA leads the way on the list of the top 25 Auto Insurers. Click here for the full article and breakdown….