Every motorist has the right to select his or her own repair facility. Some insurance companies will attempt to persuade them to take their car to a facility in a network of "approved" repair shops. These network shops are selected for their willingness to offer discounts in exchange for sales volume. The insurance company may require the repair shop to use after-market parts or otherwise compromise the quality of the repair. Do you want your car or truck repaired by a discount shop? One that is worried about how they will make a profit? Will they use less than the best parts?
If you think this "discount repair issue" is an overstatement, it is not!
The Virginia Assembly had to pass an amendment to the law to stop this type of action. Read the amendment to the law shown below.
Be it enacted by the General Assembly of Virginia: - 1992 General Assembly Act
1. That the code of Virginia is amended by adding in Chapter 5 Title 38.2 a section numbered 38.2-517 as follows:
38.2-517. Unfair settlement practices; replacement and repair; penalty.-
A. No person shall:
1. Require an insured or claimant to utilize a specified replacement or repair facility or service, or the products of a specified manufacturer, as a prerequisite to settling or paying any claim arising under a policy or policies of insurance; or
2. Engage in any act of coercion or intimidation causing or intended to cause an insured or claimant to utilize a specified replacement or repair facility or service, or the products of a specified manufacturer, in connection with settling or paying any claim arising under a policy or policies of insurance.
B. Any person violating this section shall be subject to the injunctive, penalty, and enforcement provisions in Chapter 2 (38.2-200 et seq.) of this title.