Thursday, January 1, 2009 3:12 AM EST

Law says insurers must make repair choice clear

BY PAUL HUGHES REPUBLICAN-AMERICAN

HARTFORD — If you bang up your wheels in the New Year, insurance companies must inform you of your right to use a repair shop of your choice.

A new state law that takes effect Jan. 1 reinforces the right of consumers to choose a licensed repair shop to fix their cars, trucks or motorcycles.

The new law requires the following statement appear in repair shops, on repair appraisals and estimates, and on auto insurance identification cards:

"Notice: The customer has the right to choose the licensed repair shop where the damage to his or her motor vehicle will be repaired." Before any work is done, the law requires that consumers sign a written acknowledgement that they had been given that option

"This law is a direct response to allegations that some insurance companies were steering customers to preferred repair shops," said state Sen. Joseph J. Crisco Jr., D-Woodbridge, co-chairman of the legislature's Real Estate and Insurance Committee. "It will directly benefit consumers across Connecticut because it prohibits an insurer from requiring a person to use a certain repair shop if their car was involved in an accident."

The Insurance Association of Connecticut opposed the legislation because state law already guaranteed consumers the right to choose repair shops. It also argued the disclosure requirement would cost insurers more.