WASHINGTON, D.C. — The Michigan House of Representatives voted 61 to 40 to pass House Bill 4778, which bans insurance companies from owning repair shops in the state. It also prohibits insurers from developing a list of preferred shops or conveying to vehicle policyholders information regarding which repair facility the insured should seek for repairs.
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The bill, which the Automotive Service Association (ASA) supports, will move to the state Senate.
“Michigan legislators have heard the concerns of collision shop owners,” says Bob Redding, ASA’s Washington, D.C., representative. “Insurer-owned shop legislation has been tested all the way to the U.S. Supreme Court with the Texas insurer-owned shop law. This bill is good for consumers, small businesses and jobs in local communities.”
Redding encouraged Michigan repairers to contact their state senators and encourage them to support HB4778 and work to ensure it is considered on the floor of the Senate. They can go to www.TakingTheHill.com to contact them.
