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Bill > H4868

MA H4868

To establish minimum reimbursement rate to insurance claimants

summary

Introduced
06/15/2022
In Committee
06/15/2022
Crossed Over
Passed
Dead
12/31/2022

Introduced Session

192nd General Court

Bill Summary

To establish minimum reimbursement rate to insurance claimants

AI Summary

This bill establishes a minimum reimbursement rate for labor by insurers to claimants for first- or third-party auto insurance claims in the Commonwealth of Massachusetts. The minimum rate will be determined by identifying the rate at the time of the Insurance Reform Act of 1988, adjusted for inflation up to the time this bill becomes law. The new minimum rates will be phased in over a two-year period, with the first increase of half the difference between current and new rates happening within 30 days, and the remaining half increase, including the previous year's inflation, coming at the end of the next 12 months. After the two-year period, the minimum rates will be adjusted annually based on the Consumer Price Index (CPI) for the Northeast region. Insurers are prohibited from refusing to negotiate above the minimum rates based on their ability to secure a lower price from another repair facility, and they are also prohibited from steering claimants to specific repair shops, except as allowed by current laws and regulations.

Sponsors (38)

Donnie Berthiaume (R),  Tony Cabral (D),  Dan Cahill (D),  Pete Capano (D),  Dan Carey (D),  Rob Consalvo (D),  Brendan Crighton (D),  Josh Cutler (D),  Angelo D'Emilia (R),  Mindy Domb (D),  Peter Durant (R),  Jamie Eldridge (D),  Ryan Fattman (R),  Carole Fiola (D),  Susan Gifford (R),  Anne Gobi (D),  Tami Gouveia (D),  Rich Haggerty (D),  Sheila Harrington (R),  Jim Hawkins (D),  Natalie Higgins (D),  Steven Howitt (R),  John Keenan (D),  Kathy LaNatra (D),  David LeBoeuf (D),  Jack Lewis (D),  Marc Lombardo (R),  Christopher Markey (D),  Paul McMurtry (D),  Susan Moran (D),  Matt Muratore (R),  Brian Murray (D),  Kelly Pease (R),  Dave Robertson (D),  Mike Rush (D),  Lindsay Sabadosa (D),  Jon Santiago (D),  Adam Scanlon (D), 

Other Sponsors (1)

Joint Committee on Financial Services (J)

Last Action

No further action taken (on 01/03/2023)
(2 Companion Bills)

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Document Type Source Location
State Bill Page https://malegislature.gov/Bills/192/H4868
Bill https://malegislature.gov/Bills/192/H4868.pdf
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