Don’t be bullied by your insurance company!!!
Insurance companies are bullying their insured’s by using scare tactics to force you to use their direct repair facilities. In the auto collision industry this is known as steering.
Section 2610 of the New York State Insurance Law provides that the insurance carrier shall not require that repairs be made in a particular place or shop or by a particular concern.
The Law further provides that the Insurance Company shall not recommend or suggest repairs be made in a particular place or shop or by a particular concern, unless expressly requested by you.
Steering
This is the biggest problem auto body shops face and it’s killing the industry.
Shops all over the country are fighting this battle by educating customers about it.
What is Steering?
Steering is when your insurance company directs you to a specific body shop they choose and AWAY from the shop of you choose.
Steering is the act of directing a claimant to or away from any specific repair shop or requiring that repairs be made by a specific repair shop or individual. Steering is illegal in New York.
Section 2610 of the New York State Insurance Law provides that the insurance carrier shall not require that repairs be made in a particular place or shop or by a particular concern.
The Law further provides that the Insurance Company shall not recommend or suggest repairs be made in a particular place or shop or by a particular concern, unless expressly requested by you.
Why do they steer?
- They steer in an attempt to cut repair costs at your expense:
- They offer shops VOLUMES of work with strict guidelines only to perform quantity of repairs not quality repairs.
- They control what types of parts are put on the vehicle. (the cheapest available)
- They control what vendors get parts from. (the cheapest available)
- They control Rental Company to use
- They control the amount of days it should take to repair a vehicle.
When do they steer?
Steering begin within moments of your claim report.
They will immediately try to persuade to you use their repair shops with the reasons I stated below.
How They Steer? They use scare tactics.
When you report your claim they will ask if your car is drivable.
By the way you do not have drive your vehicle after being involved in an accident.
After an accident most vehicles are drivable, but are they safely drivable?
Are you at risk of doing further damage?
How do I know if I am being steered?
If you are told that it will take longer to get your car repaired or cost more if you choose your own shop, BEWARE. You are probably being steered. Comments such as, “They’re not on our list,” “It may take longer if you use this shop,” “We won’t guarantee the work if you bring the car there,” or “We won’t pay the difference” are misleading and usually untrue.
New York has strong consumer protection laws that require insurance companies to expedite appraisals within specific time frames. Insurance companies are required to negotiate in good faith with any registered collision repair facility on the proper cost to repair the vehicle to pre-accident condition. You pay insurance premiums and contract to pay a specific deductible in the event repairs are required. In effect, you’ve already paid for proper repairs. Don’t be intimidated. Steering is illegal in NEW YORK.
Here are some FALSE things you may hear when you report a claim:
- We will not pay for your rental.
- It will take a longer time to inspect your vehicle.
- We can NOT guarantee the repairs.
- Your warranty will be void.
- You may have to pay extra money for the claim.
- We (the insurance company) have had problems with that shop before.
They will say anything that may make you think you are making the wrong decision by NOT choosing and insurance repair shop.
How to avoid being steered?
Steering can be avoided by simply knowing your rights after an accident.
- Call a body shop that you trust.
- Be adamant about having your vehicle repaired at the shop of your choice.
- Bring your car to the shop of your choice and report the claim from their office.
Click here to find the Difference between independent shop and Insurance controlled shops.