ASA News Release
Contact:

Clarence Mills
(202) 543-1440
c.mills@att.net
For Release:


Immediate
News Bulletin PR-62
September 17, 2009

New Co-Sponsors Sign On to Repeal
McCarran-Ferguson Act

ASA Encourages More House Members to Support H.R. 1583

WASHINGTON, D.C., September 17, 2009 — U.S. Rep. Louise McIntosh Slaughter, D-N.Y., chairwoman of the Rules Committee, and U.S. Rep. Eric Massa, D-N.Y., have signed on as co-sponsors to House Bill 1583, legislation that would repeal the McCarran-Ferguson Act.

Since 1945, insurance companies have had a "limited" exemption from federal antitrust laws that apply to most other industries assured to them through an act of Congress. The McCarran-Ferguson Act provides that federal antitrust law applies to the "business of insurance" only to the extent that such business is not regulated by state law. The anti-competitive consequences of McCarran impact both consumers and small businesses that have to deal with insurers.

The Automotive Service Association (ASA) hosted a Capitol Hill Fly-In in July to show support for this bill. ASA leaders from across the United States met with their representatives to discuss the benefits of repealing the McCarran-Ferguson Act.

ASA supports H.R. 1583 because:

    • A competitive marketplace would only enhance consumers' options.

    • The state insurance regulatory structure has failed for consumers and collision repairers. After years of complaints, many states lag in addressing important consumer and small-business property and casualty issues: i.e., consumer steering, insurer pressure to use inferior auto parts, paint caps, etc. These problems are increasing for consumers and repairers, not decreasing.

To view the text of this legislation, visit ASA's legislative Web site at www.TakingTheHill.com.

The Automotive Service Association is the largest not-for-profit trade association of its kind dedicated to and governed by independent automotive service and repair professionals. ASA serves an international membership base that includes numerous affiliate, state and chapter groups from both the mechanical and collision repair segments of the automotive service industry. ASA's headquarters is in Bedford, Texas.

ASA advances professionalism and excellence in the automotive repair industry through education, representation and member services. For additional information about ASA, including past news releases, go to www.ASAshop.org, or visit ASA's legislative Web site at www.TakingTheHill.com.

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