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Wednesday, 03 August 2016 17:36

New York Governor Signs Consumer Disclosure Bill

The New York Auto Collision Technicians Association (NYSACTA) has announced that Governor Andrew Cuomo has signed A7738 into law.

The bill supports and reinforces NYS Ins Regulation 2610.

Insurance company influence of network or program-preferred shops has some consumers confused as to their rights following an accident, especially when they find themselves directed to take a vehicle to a drive-in facility that is housed in a repair shop. This bill requires insurers to notify consumers--in writing on the appraisal--that it is up to the consumer to decide which shop repairs their vehicle.

In response, NYSACTA executive director Ed Kizenberger said, “The passage of this bill is the culmination of 4 years of conversations and meetings with the NYS Assembly and Senate members to garner support and understanding of the issues facing consumers when filing and processing a claim with their insurance company for property damage to their vehicle.”

NYSACTA president Mike Orso said, “This bill, now law, goes a long way to protect and inform consumers. They need to know they have the right to take their vehicles to the shop of THEIR choice. Some tactics being used by some insurers direct consumers to drive-in network locations, which may indeed be body shops, where consumers may get the impression they are required to have the vehicle repaired at that shop.

“Insurers will be required to inform consumers in writing they have the ultimate choice. Regulation currently provides that even the inspection is 'at the convenience of the consumer,' meaning they can meet the appraiser at the shop or location of their choice as to avoid further pressure,” Orso said.

A7738 Was sponsored by Syracuse Assemblyman (D) William Magnarelli and Syracuse area Senator (R) John DeFrancisco.

To read the bill in its entirety, click here.

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