PCI Rejects Attorney General Blumenthal’s Call for Federal Oversight in Auto Body Repairs

HARTFORD – The following statement by Paul Magaril, regional manager for the Property Casualty Insurers Association of America (PCI) is in response to Connecticut Attorney General Richard Blumenthal’s press conference today regarding auto body repair issues.

“The Property Casualty Insurers Association of America (PCI), which represents over 1,000 insurance companies, flatly denies Attorney General Blumenthal's allegations.  They are patently false and are being ginned up by a special interest group using the Attorney General to line their own pockets at the expense of hard working consumers seeking to get their vehicles repaired after an accident. It is puzzling that Attorney General Blumenthal is promoting action that suppresses competition.  This will hurt, not help consumers. 

“Following an accident, consumers and insurers have the same goals: a quality repair, a swift return of the vehicle to the road, an easy and hassle-free experience. Consumers always have the right to take their vehicles to the shops they choose and we believe consumers should have the ability to make an informed decision when selecting their auto repair facility. Consumers benefit from more, rather than less, information! 

“Direct repair programs simply offer consumers additional options in selecting an auto body repair facility. They provide consumers with access to information about facilities that provide quality repairs, comprehensive guarantees and an overall improved auto body repair experience.

“It is disappointing that Attorney General Blumenthal would seek to prevent consumers from benefiting from programs offering auto body repairs, good customer service and a process that can help lower costs.  This seems motivated by a lobbying campaign by disgruntled auto body shops who are only concerned about their own bottom lines, and not about consumers.”

PCI is composed of more than 1,000 member companies, representing the broadest cross-section of insurers of any national trade association.  PCI members write over $180 billion in annual premium, 37.4 percent of the nation’s property casualty insurance.  Member companies write 44 percent of the U.S. automobile insurance market, 30.7 percent of the homeowners market, 35.1 percent of the commercial property and liability market, and 41.7 percent of the private workers compensation market.