Generic Auto Crash Car Parts
Village Soup brings up a vital discussion concerning generic auto crash parts. I happily save on generic medications I buy, which are the equivalent of brand-names medicines. For new medicines that aren’t available in generic versions, I understand that I have no choice.
I think auto insurance carriers ought to allow the consumers to choose generic parts and get a break on their premiums.
Crash parts, also referred to as cosmetic parts, are the sheet metal components of vehicles; the outside “skin� most frequently damaged in auto accidents, such as fenders, hoods and doors panels. There are two sources for crash parts: auto manufacturers, who sell them under their own names, also known as original-equipment manufacturers (OEMs), and generic or aftermarket crash parts suppliers. Before generic parts existed, creating competition in the marketplace, OEMs were able to sell their parts at much higher prices than they can today. The introduction of aftermarket parts forced down the price of OEM parts by an average of 30 percent. After a lawsuit against State Farm Insurance Co. for using generic parts, however, many insurers limited their use or stopped using them altogether.
In the continuing debate about whether generic parts are as good as parts from OEMs, the issue of safety is in the forefront. Critics claim that using parts from sources other than OEMs could compromise safety. However, the Insurance Institute for Highway Safety (IIHS) says that with the possible exception of hoods, there are no safety implications of using cosmetic crash parts from any source. This has been demonstrated by crash tests conducted at the IIHS. In addition, an independent, third-party nonprofit organization, Certified Automotive Parts Association (CAPA), rigorously inspects generic automotive parts and guarantees the quality of those that meet its high standards. Generic crash parts do not interfere with a vehicle’s existing warranty and are often manufactured by the same supplier and in the same manner as OEM parts.
RECENT DEVELOPMENTS
Lawsuits: In March 2007, a county court in Missouri awarded $17 million to 315,000 state residents in a class-action suit against American Family Mutual Insurance Company concerning aftermarket auto parts. The lawsuit stated that the insurer used inferior aftermarket parts, among other charges related to repairing damaged vehicles. The insurer, which does not use aftermarket parts on vehicles that are less than three model years old or to replace safety-related parts such as air bags, plans to appeal the verdict.
In December 2006, an administrative law judge of the United States International Trade Commission issued a preliminary ruling that, if upheld, could halt imports of certain aftermarket parts that the Ford Motor Company claims infringe on its patents. The judge found that some patents were not infringed, but that others were. The ruling will be reviewed by the International Trade Commission, which must issue its decision before March 5, 2007. In December 2005, Ford filed a design patent infringement complaint against Keystone Automotive Industries and other suppliers of aftermarket automotive parts. Advocates of the use of aftermarket parts fear that if this case succeeds, although few parts will be affected, success could lead other automobile manufacturers to employ similar tactics and ultimately reduce the availability of non-OEM parts.
The use of aftermarket parts of the same or higher quality than those from OEMs is credited with keeping down the cost of car repairs.
Prior to 1970, auto body repair shops could only buy replacement parts like fenders, door panels and grilles from auto manufacturers. Original-equipment manufacturers had no competition in this market, a monopoly they fight to preserve. When independent manufacturers in several countries, including the United States, began making sheet metal replacement parts, OEMs found themselves facing tough competition.
I’ll happily buy my generic Tylenol, Advil, Claritin and other meds. Ditto for allowing my insurance company to buy car parts if it will help me keep my premiums in check.
What do you think?
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