Some practices raise concerns; consumers’ right to choose where to have cars repaired must be protected, Superintendent says

“We are grateful the insurance department took the matter seriously enough to look into to it on behalf of NY insurance consumers,” said NYSACTA President, Mike Orso. The NYS Ins. Department had been looking into complaints of illegal steering by various insurance companies across NY State. The report went on to acknowledge,“ some practices raised concerns,” said Superintendent, Eric Dinallo.

 

While the report stated, the insurance department could not find evidence of a systematic violation of the regulation it did show, “that some insurance companies did engage in practices that could be considered violations of the regulation by providing improper or inaccurate information said Dinallo”

 

“We supplied hundreds of pages of documentation to the department said, Ed Kizenberger, NYSACTA Executive Director. He went on to say, “this report reflects the fine line of how a consumer complaint factors into a statistic the department might look at. Some attempts at steering go unrecognized because savvy consumers are informed enough to make their own choice or may just not file a complaint.” “We felt the sheer numbers and frequency of complaints and calls we were receiving from consumers and shops especially with certain companies, caused us to act. Lets say our alert level was raised to red,” said Orso.

 

Eric Dinallo said, “Consumers have the right to choose where they want their cars repaired after an accident. Companies are allowed to discuss the benefits of their programs, but they are not allowed to use the claims process to lead or mislead consumers into making a particular choice at what is usually a stressful time.”

 

Orso went on to say, “What consumers need to know is that the shop on that program is still controlled by the sponsor insurance company. That control determines the parts used in the repair, the labor and procedures approved and the cost allowances for paint and materials. All of those items effect the end product and ultimately the safety of vehicles that return to the highways of NY.”

 

“It is and will always be our goal to make sure a level playing field is preserved. There may be pockets where violations occur and there is a reason for diligence. We recommend consumers and body shops stay vigilant and file complaint as they see fit. We have a an Ins department willing to assist us. They can’t help us without  knowledge of what is going on in the field everyday, we’ll be watching” said Orso

 

“Consumers need to know their rights, and know that the Insurance Department stands ready to protect them,” Dinallo said. “If your insurer tells you that you need to get your car inspected or repaired at a particular place, call the Insurance Department at 1-800-342-3736.

 

Contact  Edward Kizenberger Executive Director 631-941-9647

Below is NY Ins Dept press release: