New York Assembly Bill Aims to Boost Consumer Transparency in Collision Repairs

The bill would regulate the use of replacement parts and set disclosure requirements, but parts distributors warn it will increase costs.

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Under the proposed legislation, shops would have to disclose the type of parts used to replace doors, fenders, bumpers and panels made from “sheet metal, plastic, fiberglass or similar materials.”

New York’s State Assembly is considering a measure to improve transparency for vehicle owners navigating collision repairs. Assembly Bill 75, sponsored by Assemblyman William Magnarelli, a Syracuse Democrat and chair of the Committee on Transportation, seeks to regulate the use of replacement parts and ensure consumers are fully informed before repairs are made.

If enacted, AB. 75, which currently remains In Committee Assembly, would require repair shops to disclose the type of replacement parts they intend to use. Shops must use new original equipment manufacturer (OEM) parts for the “first year of its manufacture and for the two years following.” The bill also mandates that repair shops provide a standardized disclosure form for all collision repairs to safeguard consumer awareness.

Magnarelli told Autobody News the bill was initially introduced in 2019 after a New York State Auto Collision Technicians Association request.

“The purpose of this bill is two-fold,” he said in a prepared statement. “To ensure customers are aware when aftermarket parts are being used on their vehicles and to ensure that insurance companies are paying for repairs on newer vehicles using OEM parts. The overall goal is to ensure that insurance companies are not forcing substandard repairs on customers.”

Under the proposed legislation, “replacement crash parts” include commonly repaired or replaced components in collision shops, such as doors, fenders, bumpers and panels made from “sheet metal, plastic, fiberglass or similar materials.” Items such as windows and hubcaps are specifically excluded.

External groups, advocating for parts distribution in the state, opposed the legislation, claiming the proposed rules inhibit the use of aftermarket parts despite rigorous safety standards and potential warranties.

Edward Salamy, executive director of the Automotive Body Parts Association (ABPA), wrote a letter to Magnarelli expressing concern the legislation could “confuse and mislead consumers.”

“This legislation, if enacted, will have significant negative consequences for New York drivers by increasing vehicle repair costs, raising insurance premiums, and limiting consumer choice in automotive repairs,” Salamy wrote.

In New York’s Consumer Bill of Rights, part of the state’s Repair Shop Act, collision technicians must provide written estimates for parts and labor costs before fixing a vehicle. Businesses must specify in invoices which replacement parts are not “original quality.”

The proposed legislation would expand the Consumer Bill of Rights. It also comes amid ongoing debates in the auto repair industry over the role of aftermarket parts and increasing car insurance premiums. Several OEMs are still replenishing parts inventories after supply chain disruptions caused by strikes. Concurrently, dozens of U.S. states are proposing legislation to curtail historically inflated vehicle insurance premiums.

A few states over, Maine officials recently held a meeting to grapple with language that could similarly regulate independent repair shops. The Maine Automotive Right to Repair Working Group debated adding language to an approved November 2023 ballot initiative that requires manufacturers to provide the tools, parts, and information needed to repair vehicles independently. A recent stipulation in Maine’s bill would also require shops to inform customers about OEM parts used in repairs.

Ben Shimkus

Writer
Ben Shimkus has been a freelance reporter for Autobody News since June 2024, covering the Northeast. He has written investigative pieces at Rolling Stone,... Read More

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