Bill
Bill > H3559
MA H3559
Reforming labor rates paid by insurance companies to auto repairers in the Commonwealth
summary
Introduced
01/22/2019
01/22/2019
In Committee
01/22/2019
01/22/2019
Crossed Over
Passed
Dead
12/31/2020
12/31/2020
Introduced Session
191st General Court
Bill Summary
Relative to the minimum hourly labor rate for repairs made by registered motor vehicle repair shops by insurers on insured claims. Financial Services.
AI Summary
This bill aims to reform the labor rates paid by insurance companies to auto repairers in the Commonwealth of Massachusetts. 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. This rate shall be the average of the hourly rates paid by insurers for motor vehicle damage repairs in the surrounding New England states, with the Commissioner having discretion to adjust the rate by up to 3% above or below this average.
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 it is finalized.
3. The hourly labor rates set under this new law shall not be included when insurance companies are considering programs to control costs and expenses under existing laws.
Committee Categories
Business and Industry
Sponsors (4)
Last Action
Accompanied a study order, see H5160 (on 12/01/2020)
Official Document
bill text
bill summary
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bill summary
| Document Type | Source Location |
|---|---|
| State Bill Page | https://malegislature.gov/Bills/191/H3559 |
| Bill | https://malegislature.gov/Bills/191/H3559.pdf |
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