Mississippi bill would cap labor rates

Feb. 22, 2016
Mississippi Rep. Videt Carmichael, R-33, has introduced House Bill (HB) 2187, which would prohibit motor vehicle repair shops from charging labor rates above the national average for like-kind work. 

Mississippi Rep. Videt Carmichael, R-33, has introduced House Bill (HB) 2187, which would prohibit motor vehicle repair shops from charging labor rates above the national average for like-kind work.

The bill also stipulates that shops that seek to charge above the average must have the express approval of the Commissioner of Insurance.

Dan Risley, ASA president/executive director, said, “This bill is an obvious attempt by the insurance industry to suppress labor rates and reduce their average severity. Attempting to classify all collision shops as equal demonstrates a lack of understanding of the collision repair industry and the cost of running an actual business.”

ASA opposes House Bill 2187. ASA asks Mississippi collision shops to go to ASA’s legislative website, www.TakingTheHill.com, and send a letter to their state legislators in opposition to the legislation. 

The Automotive Service Association is the largest not-for-profit trade association of its kind dedicated to and governed by independent automotive service and repair professionals. ASA serves an international membership base that includes numerous affiliate, state and chapter groups from both the mechanical and collision repair segments of the automotive service industry.

ASA advances professionalism and excellence in the automotive repair industry through education, representation and member services. To take advantage of the many benefits of membership in ASA, please visit www.ASAshop.org or call (817) 514-2900.

For additional information about ASA, including past news releases, go to www.ASAshop.org, or visit ASA’s legislative website at www.TakingTheHill.com.

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