It is in the interests of government, Insurers, Policyholders and Repairers to promote the efficient operation of, and consumer confidence in, professional and competitive Motor Vehicle insurance and repair industries in Australia.
The economic activity created by a competitive Motor Vehicle insurance market and repair Industry market will create and maintain skilled employment, efficient customer service and viable and cost effective Motor Vehicle repair and insurance industries.
The content of the Code and matters covered by it have been guided by the Australian Government's requirements and response to the Productivity Commission and the Terms of Reference, set by the Australian Government, for the Smash Repair and Insurance Industry Implementation Taskforce.
Repairers and Insurers acknowledge that for the purposes of promoting an efficient and competitive Industry:
- In recognition of Repairers right to freely structure their business arrangements, this Code provides for minimum, Industry-wide, standards in matters such as:
- Transparency, disclosure and fairness in relation to Insurers’ NSR schemes;
- Transparency, disclosure and fairness in relation to quotation processes, times and rates, Repairer choice and use of parts;
- Responsibility for quality, safety and warranties;
- Minimum terms of payment; and
- An independent external dispute resolution mechanism.
- In recognition of Insurers’ right to freely structure their business arrangements, and as required by the Government Response to the Productivity Commission’s recommendations, this Code does not specify, on an Industry-wide basis, matters such as:
- Minimum hourly rates or prices;
- ‘standard’ hours for repair jobs;
- Types of parts to be used;
- Industry-wide PSR selection criteria and/or weightings for PSR criteria;
- Compulsory choice of Repairer;
- Requirements to spread work among Repairers; or
- Particular conditions of guarantees.