CNN: Are cheap repairs part of an insurance scheme?

Lawsuits against insurers span more than 30 states are making national headlines this week.

Widespread allegations against insurance companies claim they steer customers to specific repair shops to knowingly make cheap, unsafe repairs.

CNN just reported on lawsuits being filed on behalf of consumers and collision repair shops.

While the practice known as “steering” is illegal, it is still a common tactic. Through one means or another, many insurance companies strike deals with repair shops to cut costs and undermine the safety of customers. An excerpt from CNN’s report:


(CNN) – Car repair shops say auto insurance companies are coercing them to use cheap parts and sometimes dangerous practices to fix vehicles involved in accidents.

Headlights held together by glue, dented rims and a new hood that’s already coming apart are among the kinds of parts allegedly being pushed to go into cars as part of the repairs, according to some repair shops and attorneys general.

Owners say the insurance companies steer their policy holders toward body shops that follow their rules, providing a vital source of business. And they add, if a body shop refuses to make the suggested repairs because of quality issues, the insurers steer their clients elsewhere.

More than 500 garages from 36 states are joining in a lawsuit against the top insurance companies, and states like Louisiana, Mississippi and Oklahoma are also getting involved.

The issue is a nationwide one, said John Eaves, the lead attorney for the body shops involved in the lawsuit.

“It involves people from Maine to Mississippi to California. Every state in the Union has experienced the same sort of struggle here between the body shops trying to do the work the right way, and the insurance companies trying to cut corners and force them to use unsafe parts and unsafe methods on their cars,” he said.


Pruitt Auto Collision has a reputation built on using only quality OEM parts. We stand up to insurance companies to ensure your car is repaired properly with the correct parts. We do the right thing so you can drive safely.

For a free repair estimate, call Pruitt’s Auto Collision at (918) 274-4499.