LANSING, Mich. (July 2, 2015) — Senate Bill 430, which would forbid insurers from specifying the vendors auto repairers may use to procure parts and other materials, has been introduced in the Michigan Senate.
Sen. Joe Hune, R-22nd District, introduced SB 430 July 1, according to the Automotive Service Association (ASA). The bill was assigned to the Michigan Senate Committee on Insurance.
SB 430 addresses the ASA's specific concerns about Michigan's current insurance code, according to an ASA press release. The legislation, which would go into effect 90 days after enactment, would effectively end the practice of vendor specification under Michigan's direct repair program agreements.
“When you allow repairers the freedom to choose the best means to efficiently operate and manage their business and the claim, it benefits all the stakeholders — insurer, repairer, and the consumer,” said ASA President Dan Risley.
For more information about SB 430 and other bills of interest to auto repairers, go to the ASA's legislative website.