An Act establishing the fair calculation of labor rates paid by insurance companies to auto repairers in the Commonwealth

This bill requires insurance companies in Massachusetts to pay auto repair shops a minimum hourly labor rate based on the actual rates charged to customers for repairs. Under the new rules, a repair shop can establish this rate by submitting data from 100 customer-paid orders or 60 consecutive days of work, whichever occurs first, to the insurance company. The insurance company must then audit the submitted data and either accept the proposed rate or propose a different one within 30 days, with the option for the shop to challenge the decision in court if they disagree. Additionally, the bill ensures that these labor rates are excluded from certain state programs designed to control insurance costs.