Bill > S658

This bill aims to reform the labor rates paid by insurance companies to auto repairers in the Commonwealth. The key provisions are: 1. The Commissioner of Insurance shall set the minimum hourly labor rate that insurers must pay on insured claims for repairs made by registered motor vehicle repair shops. The rate shall be the average of the hourly rates paid by insurers for motor vehicle damage repairs in Connecticut, New York, New Hampshire, Rhode Island, and Vermont, with the ability to adjust the rate by up to 3% higher or lower. 2. The Commissioner shall review and readjust the hourly labor rate every 3 years, but must provide a report of any proposed new rate to the Joint Committee on Financial Services 15 days before promulgation. 3. The collision repair hourly labor rates set by the Commissioner shall not be included when insurance companies consider programs to control costs and expenses under the relevant sections of the General Laws. 4. Sections 1 and 2 of the bill are repealed, and Section 3 shall take effect on August 1, 2026.

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https://malegislature.gov/Bills/191/S658