AB6902 Summary:

BILL NOA06902
 
SAME ASNo Same As
 
SPONSOREnglebright
 
COSPNSRMagnarelli, Montesano, Cook, Colton, Zebrowski, Weprin, Gunther, Abinanti, Jean-Pierre, Steck
 
MLTSPNSRDiPietro, McDonough, Peoples-Stokes, Rivera J, Thiele
 
Amd §2610, Ins L
 
Prohibits insurers, providing collision or comprehensive coverage of motor vehicles, from requiring repair shops to use specific vendors or processes for acquisition of vehicle repair parts and materials.
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AB6902 Actions:

BILL NOA06902
 
04/13/2021referred to insurance
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AB6902 Committee Votes:

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AB6902 Floor Votes:

There are no votes for this bill in this legislative session.
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AB6902 Memo:

NEW YORK STATE ASSEMBLY
MEMORANDUM IN SUPPORT OF LEGISLATION
submitted in accordance with Assembly Rule III, Sec 1(f)
 
BILL NUMBER: A6902
 
SPONSOR: Englebright
  TITLE OF BILL: An act to amend the insurance law, in relation to collision and compre- hensive coverage on motor vehicles   PURPOSE OR GENERAL IDEA OF BILL: Amends the insurance law directing that no insurer providing collision or comprehensive loss shall require a repair facility to use a specific vendor or process for the procurement of parts or other materials neces- sary for the repair of a motor vehicle.   SUMMARY OF PROVISIONS: Section 1 amends Subsection (a) of section 2610 of the insurance law.   DIFFERENCE BETWEEN ORIGINAL AND AMENDED VERSION (IF APPLICABLE):   JUSTIFICATION: Currently, insurance companies have been directing auto repair busi- nesses to procure their parts from an online source and will only reim- burse the repair shop if they do so. The online source only provides the repair shop with the lowest priced replacement part, often times from out of state. These replacement parts are most often not Original Equip- ment Manufactured (OEM) parts and therefore are of sub-quality and not up to the most stringent safety standards. This bill simply allows auto repair shops to continue to procure replacement parts from local suppli- ers and to ensure that these parts are of OEM quality.   PRIOR LEGISLATIVE HISTORY: 2013-14 A7234 referred to insurance 2015-16 A6684 advanced to third reading 2017-18 A6861 referred to insurance 2019-20 A5698 referred to insurance   FISCAL IMPLICATIONS FOR STATE AND LOCAL GOVERNMENTS: None.   EFFECTIVE DATE: This act shall take effect immediately.
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AB6902 Text:



 
                STATE OF NEW YORK
        ________________________________________________________________________
 
                                          6902
 
                               2021-2022 Regular Sessions
 
                   IN ASSEMBLY
 
                                     April 13, 2021
                                       ___________
 
        Introduced by M. of A. ENGLEBRIGHT, MAGNARELLI, MONTESANO, COOK, COLTON,
          ZEBROWSKI,  WEPRIN,  GUNTHER,  ABINANTI,  JEAN-PIERRE, STECK -- Multi-
          Sponsored  by  --  M.  of  A.  DiPIETRO,  McDONOUGH,   PEOPLES-STOKES,
          J. RIVERA, THIELE -- read once and referred to the Committee on Insur-
          ance

        AN  ACT to amend the insurance law, in relation to collision and compre-
          hensive coverage on motor vehicles
 
          The People of the State of New York, represented in Senate and  Assem-
        bly, do enact as follows:
 
     1    Section  1.  Subsection  (a)  of  section 2610 of the insurance law is
     2  amended to read as follows:
     3    (a) Whenever a motor vehicle collision  or  comprehensive  loss  shall
     4  have  been  suffered  by  an  insured, no insurer providing collision or
     5  comprehensive coverage therefor shall require that repairs  be  made  to
     6  such  vehicle  in a particular place or shop or by a particular concern,
     7  nor require a repair facility to use a specific vendor  or  process  for
     8  the  procurement of parts or other materials necessary for the repair of
     9  a motor vehicle.
    10    § 2. This act shall take effect immediately.
 
 
 
 
 
         EXPLANATION--Matter in italics (underscored) is new; matter in brackets
                              [ ] is old law to be omitted.
                                                                   LBD10821-01-1
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AB6902 LFIN:

 NO LFIN
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AB6902 Chamber Video/Transcript:

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