The new regulations will take effect on July 1. Here are some key highlights to the Bureau of Automotive Repair’s updated guide for repairers.
Sacramento, Calif.—The Bureau of Automotive Repair (BAR) is updating the Write it Right guide to include new requirements and will provide a Q&A section to help the auto repair community stay compliant, according to the Automotive Service Councils of California (ASCCA).
The new regulations will take effect on July 1. Here are some key highlights as outlined by ASCCA:
Separate Estimate and Invoice for Towing Charges
Authorization for towing fees must be obtained separately from any authorization for repair work. This means shops will need to create separate estimates and invoices for any towing charges that they intend to bill the customer for towing their vehicle to your shop.
Accepting Payment from Third-Party Payor (e.g. Insurer or Extended Car Warranty)
If shops accept payment for repairs from a third-party payor, shops must, prior to obtaining authorization from the customer, do one of the following:
(1) If the amount of the payment to be made by the third-party payor is known, shops must include the amount approved to be paid by the third-party payor on their estimate.
(2) If the amount of payment to be made by the third-party payor is not known, shops must include the following disclosure on their estimate:
“This estimate is for repairs to meet vehicle manufacturer and industry standards. As the customer, it is your responsibility to contact the third-party payor for approval of payment.”
Estimates Must be Free of Technical Terms and Clearly Describe Each Repair
Estimates must include a statement of each repair to be performed, along with a description written in plain language — free of technical or industry-specific terms — so that a person without professional or specialized knowledge can understand it.
Tear Down or Disassembly Estimate
The tear down estimate must include the portion(s) or area(s) of the vehicle or vehicle component(s) necessary to assess the extent of the damage or evaluate the condition of the vehicle or vehicle component(s).
Using an Estimate Prepared by Third-Party Payor (e.g.. Insurer or Extended Car Warranty)
Shops that choose not to create their own estimate but use a third-party payor estimate must meet stringent requirements including notifying the customer that the third-party estimate is subject to the Fair Claims Settlement Practice Regulations. And the estimate must also include:
- A statement of intent to repair the vehicle according to the third-party estimate.
- The name of the third-party payor.
- The unique identifier from the third-party estimate.
- The total repair cost listed on the third-party estimate.
Shops must also attach the third-party estimate (original, duplicate, or printout) to the estimate provided to the customer. If the customer approves changes to the repair before proceeding, shops must notify the third-party payor of these customer-approved changes in the estimate, which could alter the specified payment amount in the third-party estimate.
To view the final regulatory text and materials, visit www.bar.ca.gov/regulatory-actions.
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