The Automotive Service Association (ASA) recently hosted the second Replacement Crash Parts Summit in Washington, D.C. The focus of this meeting, as well as the previous summit meeting in Dallas, Texas, earlier this summer, was to develop some uniformity in industry positions regarding the use of replacement crash parts. The consensus bill as agreed requires that the types of replacement parts to be used for the repair of damaged vehicles be disclosed to vehicle owners and that written authorization to use the specified replacement crash parts be obtained from vehicle owners before those parts are installed.

Attendees at both meetings included independent repairers, automobile dealers, aftermarket manufacturers, recyclers and original equipment manufacturers. Representatives from the insurance industry were invited to both meetings but did not attend.

The summit participants agreed on model bill language as well as language for a notice and authorization form to be signed by the customer. Overall, emphasis in the bill is on notice as to what type of part is being used (OEM, aftermarket, recyclable or remanufactured). The authorization form allows for what ASA has felt should be the centerpiece of any crash parts initiative - customer consent.

Why model legislation? ASA members have voiced concern about the quality of aftermarket crash parts. Although ASA has been an active participant in the Certified Automotive Parts Association (CAPA), shop owners have not been satisfied with the current state of some parts that are required by insurers.

In recent years, shop owners have pursued legislation around the country in an effort to deal with the parts issue. Beginning in West Virginia, state legislatures have attempted to implement policies to correct the problems. Unfortunately, many of the bills have taken forms that do not necessarily solve the problems, and quite possibly create new problems. Bills in South Carolina, Connecticut, Georgia and other states have also included language directed at mechanical parts being included in the replacement parts legislation. The summit group was very direct about limiting its draft initiative to crash parts only.

The automotive industry has been very divided as to what particular initiative was best. Mechanical aftermarket representatives have been concerned about legislation that moves into their area of products. Consumer groups want to make sure that the consumer's rights are protected and that insurance rates don't increase. The insurance industry has opposed legislation in the past that called for notice and written consent.

ASA wants this model bill to be used as a draft that is supported by the entire industry. All groups insist that the consumer has a right to know what kind of parts are used on the vehicle. The method and timing of notice and consent are the real questions. Is notice included in the original insurance policy sufficient? Is written consent at the time of the repair or estimate necessary? The summit attempted to address these issues. All groups will not agree with the bill, but if those in opposition think about the summit's intent - enhancing the rights of the consumer - they might view the proposal in a different light.

What happens now? The summit group would like to see the model bill used at the state and/or federal levels. Independent repairers from around the country have requested assistance in their attempts to persuade state legislators to address the replacement crash parts problem. Many used the West Virginia bill as a model, but clearly there are other options. This past year, several new bills became law. ASA has been active in trying to make sure that new state legislation includes a notice and written consent requirement. The Model Notice and Authorization Form will enhance these efforts.

The summit proved that an open industry exchange of ideas can produce a common solution. Many involved have disagreed on a variety of issues over the years, including replacement crash parts, but this effort's sole purpose was to develop an equitable policy that moves the collision repair industry forward.

Bob Redding is the Automotive Service Association's Washington, D.C., representative. He is a member of several federal and state advisory committees involved in the automotive industry. For more information about the legislative activities of ASA, visit www.TakingTheHill.com.

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