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Consumer Union Calls for Auto Safety Reforms, Toyota Controversy Heats Up Consumers Union, the nonprofit publisher of Consumer Reports, has issued a call Feb. 23 for urgent changes to strengthen U.S. auto safety regulation in the wake of the massive recall by Toyota. The influential consumer advocacy group said that the U.S. safety regulatory system should be reformed to become more transparent and that the National Highway Traffic Safety Administration should have more funding and the ability to impose tougher sanctions. The group also urged a number of safety mandates it said should be imposed on all automakers to address the risk of unintended acceleration of the kind now under investigation for Toyota. U.S. safety regulators should require that all cars have brake override systems, simple controls that turn off the engine in
an emergency, clear and simple labels on transmission shifters and a minimum clearance between floor panels and accelerator pedals, Consumers Union said. Toyota has faced criticism on all of those points in the run-up to a sweeping recall for accelerator-related problems that totals over 8 million vehicles globally. NHTSA says five deaths have been linked to the risk of loose floormats trapping accelerator pedals in Toyota vehicles. Another 29 fatality reports are under investigation. “Much of the ongoing debate and public outcry has centered on why these issues weren't caught or acted upon earlier,” Consumers Union said in its report on the Toyota recalls and proposed reforms.
In November of last year and January of this year, SCRS National Director and Autobody News columnist, Toby Chess, performed several demonstrations outlining comparative studies he had conducted between randomly selected OEM and Aftermarket Structural Replacement parts. See Hey Toby column last issue. The parts reviewed included items such as Front and Rear Bumper Reinforcement Beams, Radiator Core Supports, Bumper Brackets and Bumper Energy Absorbers. In every example tested, there were significant differences in both the construction of, and materials used, in the aftermarket replacement part
which can significantly impact the roles that these parts serve in the transfer of energy resulting from a collision. Each of these parts also directly relates to the functionality and response of the vehicle Safety Restraint System (SRS), and could have a resulting affect on how the airbag functions in the event of a loss. The presentation also detailed that in other instances where the manufacturer had paid particular attention to utilizing the same materials as the OEM, and employed credible third-party testing, the parts appeared to perform much better in subsequent crash test video demonstrations.
See AUTO SAFETY REFORMS, Page 6
SCRS and Others Alert Industry to Concerns Over Aftermarket Structural Parts, Insurers Act
See AFTERMARKET PARTS, Page 56
VOL. 28 ISSUE 3 MARCH 2010
Unintended Loophole—California’s SB 350 by F. Edie Mermelstein, Attorney at Law
California Senate Bill 350, which was introduced last year by Senator Yee, is another attempt by auto insurance carriers and their lobbyists to insulate insurers from financial liability and shield insurers from class action suits. In summary, SB 350, which was last amended on January 12, 2010 and re-referred to the Assembly Business and Professions Committee, removes important consumer protections that will open the door for insurers to require aftermarket crash parts to be used in the repair of a policyholder’s auto without the prior consent of the policyholder. The insurance industry lobby is strong and financially powerful. California legislators have been seduced by the power of money. However, in the present struggling economy, insurance companies
remain profitable and able to contribute to political campaigns. According to the Department of Insurance most recent market share report, California’s estimated annual personal auto insurance premium revenue was $19.9 billion dollars. The amount insurance companies paid out during the same period were estimated at $11.5 billion dollars leaving the personal auto insurers with $8.4 billion dollars in gross profits. It is clear from these numbers that California auto insurers have the upper hand over consumers and the dollars to manipulate the system. In order to keep the losses incurred as low as possible, insurance companies regularly manipulate pricing of car repair by establishing direct repair programs (“DRP”) with area body shops. Typically in these DRP arrangements, the insurance company dictates the labor rate the shop See UNINTENDED LOOPHOLE, Page 6
We continue our Special Paint Technology issue this month with articles on:
Part 2
BASF on Newer Refinish Processes Federal Government Pays For Shops To Go Green
FAQs on EPA’s Paint Stripping and Coating Operations
Compressors Affect your Spray Gun and your Paint
Technological Advancements In Overspray Collector Dan Am-SATA & Jobbers Provide EPA Painter Spray Gun Training Understanding the Waterborne Spray Booth
We conclude our special coverage in next months Autobody News
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