Arizona bill strikes unlawful practices language for repair shops

Jan. 1, 2020
A proposed bill that would have changed the way collision repair shops in Arizona do business has been held over to the next legislative session. House Bill 2394, introduced by state Rep. Nancy McLain (R-3) in the Arizona House of Representatives, wo
A proposed bill that would have changed the way collision repair shops in Arizona do business has been held over to the next legislative session. House Bill 2394, introduced by state Rep. Nancy McLain (R-3) in the Arizona House of Representatives, would have had a negative impact on auto body shops throughout the state with the original text.

Supporters of the language sought to stop shops from charging storage fees at the same time collision shops were being paid for teardown to complete an estimate. This bill would have forced shops, in many situations, to absorb the costs associated with vehicle storage or bill it to the vehicle owner. The harmful language is not included in the current bill being considered.

ASA-Arizona opposed the bill with the unlawful practices language. ASA alerted member shops about the proposed language and worked with the legislature to ensure the bill did not move through the legislative process as introduced. H.B. 2394 passed the House Committee on Banking and Insurance as a “Strike Everything” amended bill.

ASA supports legislation that protects the consumer’s right to be fully indemnified under the terms of their insurance policy and is opposed to any type of fraud whether it is initiated by a repair shop or an insurer. The vehicle owner has a right to know all charges that he or she may be responsible for in the repair process.

ASA believed the proposed legislation overreached, harming both consumers and repairers.

Arizona repairers are encouraged to join ASA’s effort to ensure their voice is heard at the state capital and in Washington, D.C.

To view the full text of this legislation, visit ASA’s legislative website at www.TakingTheHill.com.

For additional information about ASA, including past news releases, go to www.ASAshop.org.

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