HOUSE DOCKET, NO. 1540        FILED ON: 1/19/2017

HOUSE  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  No. 546

 

The Commonwealth of Massachusetts

_________________

PRESENTED BY:

Louis L. Kafka

_________________

To the Honorable Senate and House of Representatives of the Commonwealth of Massachusetts in General
Court assembled:

The undersigned legislators and/or citizens respectfully petition for the adoption of the accompanying bill:

An Act reforming labor rates paid by insurance companies to auto repairers in the Commonwealth.

_______________

PETITION OF:

 

Name:

District/Address:

Date Added:

Louis L. Kafka

8th Norfolk

1/19/2017

Paul A. Schmid, III

8th Bristol

2/1/2017

Michael D. Brady

Second Plymouth and Bristol

2/1/2017

Thomas J. Calter

12th Plymouth

2/1/2017

Jason M. Lewis

Fifth Middlesex

2/1/2017

Tricia Farley-Bouvier

3rd Berkshire

 

Gailanne M. Cariddi

1st Berkshire

 

John W. Scibak

2nd Hampshire

 

F. Jay Barrows

1st Bristol

 

Joseph F. Wagner

8th Hampden

 


HOUSE DOCKET, NO. 1540        FILED ON: 1/19/2017

HOUSE  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  No. 546

By Mr. Kafka of Stoughton, a petition (accompanied by bill, House, No. 546) of Louis L. Kafka and others for legislation to authorize the Commissioner of the Division of Insurance to set labor rates paid by insurance companies to auto repairers.  Financial Services.

 

[SIMILAR MATTER FILED IN PREVIOUS SESSION
SEE HOUSE, NO. 883 OF 2015-2016.]

 

The Commonwealth of Massachusetts

 

_______________

In the One Hundred and Ninetieth General Court
(2017-2018)

_______________

 

An Act reforming labor rates paid by insurance companies to auto repairers in the Commonwealth.

 

Be it enacted by the Senate and House of Representatives in General Court assembled, and by the authority of the same, as follows:
 

SECTION 1. Chapter 100A of the General Laws is hereby amended by inserting after section 14 the following section:-

Section 15. The commissioner of insurance shall set the minimum hourly labor rate that insurers shall pay on insured claims for repairs made by registered motor vehicle repair shops. The rate shall be the minimum rate paid by insurers on all Massachusetts insured motor vehicle damage claims and shall be the average of the hourly rates paid by insurers for motor vehicle damage repairs in Connecticut, Maine, New Hampshire, Rhode Island and Vermont. In determining the average of rates, the commissioner shall utilize data available from independent collision repair estimating services. Upon setting the rate, the commissioner shall have the discretion to adjust the hourly rate by not more than 3 per cent greater or 3 per cent less than said average. The commissioner shall review the hourly labor rate once every 3 years to make readjustments as necessary; provided, however, that the commissioner shall provide a report of any proposed new rate to the joint committee on financial services 15 days before promulgation. The commissioner shall adopt regulations for the administration and enforcement of this section. 

SECTION 2. Section 113B of chapter 175 of the General Laws, as appearing in the 2010 Official Edition, is hereby amended by inserting, after the word “commissioner” in line 14, the following:- ; provided, however, that collision repair hourly labor rates, set pursuant to section 15 of chapter 100A, shall not be included when considering programs to control costs and expenses under this section or section 113H.