ASA opposes Miss. auto repair labor rates bill

JACKSON, Miss. (June 13, 2016) — The Automotive Service Association (ASA) is urging its Mississippi members to write their state legislators in opposition to a bill that would cap auto repair labor rates within the state.

Mississippi House Bill 2187 would prohibit motor vehicle repair shops — including collision facilities — from charging labor rates above the national average for like-kind work, the ASA said in a press release.

Those facilities that seek to charge above-average rates must have the express approval of the state's Commission of Insurance, according to the association.

“This bill is an obvious attempt by the insurance industry to suppress labor rates and reduce their average severity,” said Dan Risley, ASA president/executive director. “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.”

Mississippi ASA members can find a letter opposing HB 2187 on the ASA legislative website that they can sign and send to state legislators.