The California Department of Insurance and the Attorney General's Office held joint meetings on June 24th and 25th with insurers, suppliers, manufacturers and trade associations that are a part of the supply chain for aftermarket parts specified during the settlement of insurance claims.
CRA has challenged the insurance industry's compliance with regulations that call for aftermarket parts specified in the claims process to be at least equal to the original equipment manufacturer parts in terms of kind, quality, safety, fit and performance.
California Repair Association President Lee Amaradio stated, "It is encouraging to see the Department of Insurance and the Attorney General's office showing interest in the is important consumer issue, though the outcome is uncertain . We hope their involvement will result in permanent change and a fair and compliant claims process. All most all insurers have recognized the issue and stopped specifying non-compliant parts and they should be commended for that. We now need a permanent solution."
Amaradio added "this all started when Toby Chess demonstrated differences between OEM and non-original equipment manufacturer aftermarket crash parts. CRA recognized the importance of his demonstration and moved the issue forward putting pressure on CDI to fulfill its regulatory mandate. It appears they may now be doing so."
CRA Executive Director Allen Wood added, "vehicles should not be reengineered as part of the claims process. The regulations governing these issues deal with insurance not auto repair. We want to insure that consumers (claimants) receive high quality, competent, safe repairs. The evolution of this issue is a graphic example of how a trade association that is responsive to the issues and is willing to step up can promote change. This is not over. However, with the Attorney General involved, we are extremely encouraged."