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Bill > H546


MA H546

Reforming labor rates paid by insurance companies to auto repairers in the Commonwealth


summary

Introduced
01/23/2017
In Committee
01/23/2017
Crossed Over
Passed
Dead
12/31/2018

Introduced Session

190th General Court

Bill Summary

For legislation to authorize the Commissioner of the Division of Insurance to set labor rates paid by insurance companies to auto repairers. Financial Services.

AI Summary

This bill aims to authorize the Commissioner of the Division of Insurance to set the minimum hourly labor rate that insurers must pay on insured claims for repairs made by registered motor vehicle repair shops. The rate will be based on the average of the hourly rates paid by insurers for motor vehicle damage repairs in the surrounding states of Connecticut, Maine, New Hampshire, Rhode Island, and Vermont, with a discretion to adjust the rate by up to 3% higher or lower. The Commissioner will review and readjust the hourly labor rate every 3 years, while providing a report to the joint committee on financial services 15 days before any new rate is promulgated. Additionally, the bill specifies that the collision repair hourly labor rates set by the Commissioner shall not be included when considering programs to control costs and expenses under the relevant insurance laws.

Committee Categories

Business and Industry

Sponsors (10)

Last Action

Accompanied a study order, see H4785 (on 07/19/2018)

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