Md. bill would require OE repair parts for first 2 years

The recurring debate over the use of original-equipment vs. aftermarket parts for vehicle repairs has taken a new twist in Maryland. A proposed state law there would mandate the use of original equipment parts for the first two years of a vehicle’s life.

The bill would require auto body repairers to use OE parts exclusively for the first two years after a vehicle’s date of manufacture, and would also require insurance companies that pay for repairs to approve only OE parts. For older vehicles, the bill would limit repairs to either OE parts or “certified” replacement parts.

The Maryland Automobile Dealers Association supported the proposed law in a letter submitted Thursday to the state House Economic Matters Committee.

‘May void’ warranty

“Customers often choose cars for the length and coverage of the warranty, so the original warranty should be preserved by insurers unless the customer agrees to a non-compliant part,” the dealers association said in the letter. The association, of Annapolis, Md., had voiced its support of the bill in a hearing earlier this week.

“The crux of our concern is that aftermarket parts may void certain provisions of a manufacturer’s original equipment warranty,” Travis Martz, special counsel for the dealer association, told Automotive News today.

Aftermarket parts could also diminish trade-in values, the dealers association said.

The Washington Metropolitan Auto Body Association also backs the proposal, House Bill 1258, which it calls the “Better Parts for Consumers Bill.”

Limit choice

In opposition, the Automotive Body Parts Association, of Smithfield, R.I., said in a written statement that the Maryland bill would limit consumer choices when having their vehicle repaired, and would likely raise consumer costs.

“Bill 1258 is only good for the car companies, giving them a virtual monopoly on parts for the first two years of the vehicle’s life,” ABPA Executive Director Edward Salamy said in a statement. “We also have concern about the limits this bill places on a consumer’s desire to use alternative parts and how this would affect them financially.”

The bill could also potentially exclude NSF-certified parts. This would further limit choice in the marketplace by eliminating a large portion of the certified parts inventory, the association said. NSF International is a global independent public health and safety organization that writes standards and tests and certifies products.

ABPA President Jim Smith said in the statement: “If this anti-competitive legislation is passed, insurance premiums will be in jeopardy of being raised and more vehicles will be totaled by insurance adjusters because the cost of repairs would become too expensive.”