Mich. Bill Could End Insurers Parts Process Directives

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April 6, 2017—A Michigan bill barring insurers from specifying a parts procurement setup is back at the 2017 Michigan legislative session. Senate Bill 291 has been sponsored by Sen. Joe Hune, R-Hamburg.

Senate Bill 291 would add to existing law the stipulation that an insurer shall not require a shop operator to use a specific vendor or process for the procurement of parts or other materials. It would take effect 90 days after being signed by Michigan’s governor, Rep. Rick Snyder.

Snyder vetoed a similar bill in 2015. No companion House bill yet exists in 2017.

Senate Bill 291 was sent to the Senate Insurance Committee on Thursday, the day it was introduced. Hune is serving as the committee’s chairman.

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