New Law Curbs Fraudulent Activities and
Ensures Transparency in Auto Glass Repair Process
FRANKFORT, Ky.,
May 8,
2024 /PRNewswire/ -- In response to rising concerns
about auto glass repair fraud in the Bluegrass State,
the National Insurance Crime Bureau (NICB), the nation's
premier non-profit association dedicated to combating and
preventing insurance fraud, worked closely with
Kentucky state lawmakers on
legislation aimed at addressing this issue and protecting consumers
from deceptive practices in the auto glass repair industry. The
measure, S.B. 29 sponsored by Kentucky Senator Brandon Storm (R-KY) and recently signed
into law, seeks to implement stricter regulations and oversight
measures to curb fraudulent activities and ensure transparency and
fairness in the auto glass repair process. The law is similar to
legislation enacted in Florida
last year that prohibits auto glass companies from engaging in
various fraudulent practices.
"This law will help weed out unscrupulous operators who engage
in fraudulent practices, such as overcharging, unnecessary repairs,
and using substandard materials," said Eric De Campos, NICB's Senior Director of
Government Affairs. "By implementing critical consumer
protections, as well as enhancing consumer education, the measure
aims to create a more transparent and accountable auto glass repair
industry that prioritizes the interests of consumers."
"This new law in Kentucky
represents a significant step forward in addressing auto glass
repair fraud and protecting consumers from
deceptive practices," said Senator Storm. "The measure would
also impose stiff new penalties and fines for violations of the law
and repair shops found guilty of engaging in fraudulent activities
would face license revocation, and possible criminal charges."
The law includes provisions to enhance consumer education and
awareness about auto glass repair services and requires repair
shops to provide clear and detailed estimates to customers,
disclose all fees and charges upfront, and obtain written consent
before proceeding with any repairs. Additionally, it would
establish a mechanism for consumers to report suspected instances
of fraud or misconduct, enabling authorities to
take swift action against offending repair shops.
About the National Insurance Crime Bureau: Headquartered in
Oak Brook, Ill., the National
Insurance Crime Bureau (NICB) is the nation's leading
not-for-profit organization exclusively dedicated to combatting and
preventing insurance crime through Intelligence, Analytics, and
Operations; Education and Crime Prevention; and Strategy, Policy,
and Advocacy. NICB is supported by more than 1,200 property and
casualty insurance companies and self-insured organizations. To
learn more, visit NICB.org.
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SOURCE National Insurance Crime Bureau