South Australia has the potential to enact nation leading reforms for the collision repair industry, following the Member for Waite and former Presiding Member of the Economic and Finance Committee, Sam Duluk, introducing his Bill in Parliament to mandate the national and currently voluntary Motor Vehicle Insurance and Repair Industry Code of Conduct in South Australia, with a robust mediation process and penalties for breaches.
The Bill makes good on the findings and recommendations of the Economic and Finance Committee’s inquiry into the motor vehicle insurance and repair industry, which uncovered evidence of insurers steering customers with choice of repairer policies to their partnered repair networks, dictating terms through the quoting process such as pushing to use non-approved parts and repair methods which compromise the safety of repairs, as well as the vehicle's resale value.
The Bill is written to give teeth in bringing insurers to the table when negotiations break down, as well as issuing penalties for clear breaches of the code, leading to fairer outcomes for small business, as well as transparency and choice for consumers.
To become law, the Bill will need to be supported by a majority of MPs in both houses of South Australian Parliament. And what really catches the eye of local MPs is small businesses in their local area telling them how important this is!
You can easily find out who your local member is by searching online or calling us to help you find out – we’ve even drafted a template you can use to have your voice heard, which you can find here.
The MTA is working hard behind the scenes to push for all MPs to support the Bill, with progress already made as Labor recently advised us they will get behind the changes.