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Indiana Body Shops Encouraged to Contact State Representative in Regards to Parts-Related Bill
originally introduced in January by House Representative Matt Pierce, After an Indiana parts-related D-Bloomington, would have bill failed to receive a comextended this right to thirdmittee hearing by the legislaparty claimants. tive deadline, body shops and “The bill would have other interested parties across helped protect consumers,” said Doug Martin, president of the state are being encouraged the Indiana Auto Body Assoto get involved and contact ciation. “Instead of having to their state representatives. House file a claim through their own According to current InRepresentative Matt Pierce, insurance company, the thirddiana law, insureds have the D-Bloomington right to approve the type of party carrier would have had body parts used to repair their vehicles to abide by the same rules as they would for up to six years—the model year of as if it were their own policyholder.” the car plus five. House Bill 1559, See Indiana Parts Bill, Page 24 by Stacey Phillips
Michigan Looks to Kill 7-Day Car Insurance
See MI Insurance, Page 28
P.O. BOX 1516, CARLSBAD, CA 92018
Michigan is attempting to end sevenday auto insurance policies popular with cash-strapped drivers in Detroit and other urban areas, arguing the “jump start” policies undermine state law requiring continuous no-fault coverage. The policies effectively allow motorists to skirt the law by obtaining insurance needed to renew their vehicle registration and license plate tabs each year without committing to keep coverage beyond seven days. But supporters argue the weeklong policies are a “last resort” for motorists who simply cannot afford
high-cost insurance in Michigan and might otherwise resort to more drastic measures to renew their plates, including attempts to purchase fake insurance cards. “Unfortunately, we have the highest auto insurance rates in the country, with Detroit being probably the highest on earth,” said state Sen. Joe Hune, R-Fowlerville, who chairs the Senate Insurance Committee. “So that’s the problem. The economic issue has caused people to find some creative solutions.” The Michigan Department of Insurance and Financial Services last month informed Integon National Insurance Company of North Carolina,
Change Service Requested
by Jonathan Oosting, Detroit News Lansing Bureau
VOL. 6 ISSUE 9 JUNE 2017
CIC Task Force Explores What “Secure Share” Will Mean for Exchange of Estimate Data
ing system, or third-parties like CSI providers, parts locating services, rental CCC Information Services’ newly- car companies, etc. launched “Secure Share” generated Under the current data-exchange both questions and criticisms at the method, a CCC ONE user can transfer Collision Industry Conference (CIC) that data to others using a standardheld in Pittsburgh, PA, in late April, ized “Estimate Management Standard although no company representative (EMS)” file. In many cases, those third-parties have—with a was there to respond. shop’s permission—placed a A new CIC task force “data pump” on the shop’s held a panel discussion related server to automatically pull to the new data-sharing systhe EMS files the shop has tem, and though CCC chose agreed to share. not to attend (citing antitrust concerns), it did send a fourCCC’s “Secure Share” changes this arrangement in page response to questions Frank Terlep several key ways. First, it posed by the task force. “Secure Share” went “live” in early will transfer the data using a “Business Message Suite (BMS)” file, viewed by April (www.cccsecureshare.com), representing a significant change in terms many in the industry as a positive of how shops using CCC’s estimating change. The industry-developed BMS system can share estimate information standard in theory gives users more See CIC Task Force, Page 32 with a shop management or paint mixby John Yoswick
Automotive Attorney Erica Eversman Discusses Shop Liability and Protection by Chasidy Rae Sisk
On Tuesday, April 18, AASP-PA hosted a presentation during CIC Week in Pittsburgh, PA, featuring Vehicle Information Services Chief Counsel Erica Eversman. Her presentation focused on the liabilities shops are exposed to currently, how shops can protect themselves and tips on getting paid for proper repairs. Eversman took time to discuss some of the key points of her presentation with Autobody News. “The most important thing for shop owners to remember is that they are the professionals. They are responsible for making decisions, and they are subject to the burden of resolving issues with the consumer or insurance companies, whether it’s related to imitation parts or something else. If it’s not a safety concern; the
customer can make some decisions, but shops need to stand firm on safety issues,” Eversman said. Referring to Berg v. Nationwide Insurance, a 2012 Superior Court of Pennsylvania case that handed down a sweeping decision that broadly interprets insurance bad faith under Section 8371, Eversman recounted the horrific tale of a newly leased Jeep Cherokee which the shop declared a total loss; however, the claim representative argued and coerced a repair since the insurer would lose money on the total loss. The repair took four months, but the insurance company only paid for 30 days of the customer’s rental car. Eventually, the vehicle was returned to the consumers, but the shop was concerned about it being unsafe, and one of their technicians called the customer to warn them. See Erica Eversman, Page 15
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