A proposed Ohio budget amendment would place the burden on repair shops, instead of auto insurers, to notify customers of the use of non-OEM parts in a repair.
Most insurers require used parts or non-OEM parts during a repair.
In 2015, the Ohio Supreme Court ruled that interactions between insurers and customers were not covered under the Ohio Consumer Sales Practices Act. The ruling came despite the fact that the act addresses non-OEM parts on insurers’ estimates.
Ohio revised code 1345.81 requires written estimates clearly identify non-OEM parts with the disclaimer specified in the code. Repair shops providing verbal estimates must also notify customers by reading the disclaimer.
“And a policy holder is not without remedy against an insurer who violates R.C. 1345.81 simply because no remedy is provided by R.C. 1345.81(E),” Chief Justice Maureen O’Connor said. “A ‘consumer may seek a declaratory judgment, an injunction, or other appropriate relief against an act or practice that violates’ R.C. Chapter 1345. … The CSPA also permits consumers to bring a cause of action ‘under any other theory of law’ that would be applicable to the transaction.”
The Automotive Service Association opposes the budget amendment and encourages repair shops to contact state legislators to voice disapproval.