Mass. Auto Coalition: So-Called 'Right to Repair' Bill Would Increase Auto Theft, Raise Insurance Rates
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BOSTON--The Massachusetts Auto Coalition reports today that data and security information of all vehicles would be compromised if the so-called ‘Right to Repair’ Bill (H.102 / S.104) is passed. Passage of the bill would make key codes and other security information widely available, which is why the Massachusetts Police Association, the National Insurance Crime Bureau, and the Highway Loss Data Institute all opposed this legislation last session.
“A system is currently in place that works well for automakers, dealers, independent repair technicians, the insurance industry, law enforcement, and car owners. Right to Repair is wrong for anyone interested in vehicle security and for Massachusetts families concerned about rising auto insurance rates.”
‘The release of this information would allow persons considerable advantage when stealing not only Massachusetts vehicles, but any vehicle utilizing this technology,’ wrote the National Insurance Crime Bureau in its letter of opposition submitted to the Legislature.
The advent of electronic keys and alarm systems over the past three decades has made car theft more difficult. According to the Federal Bureau of Investigation, the number of car thefts each year is declining. At its highest level in 1975, Massachusetts posted 91,563 vehicle thefts. In 2009, 11,735 vehicles were stolen in the state, and Massachusetts currently ranks 36th in the nation in vehicle theft rates.
Experts credit new technology and the increasing number of electronic anti-theft systems for this long-term decline in Massachusetts and across the country. Ongoing research by the Highway Loss Data Institute concludes that the decrease in auto theft is attributed to the growing use of new, factory-installed, passive immobilizing anti-theft devices. Right to Repair -- if passed -- would reverse that progress by making valuable software and immobilizer information underlying those systems more readily available.
The Commonwealth of Massachusetts recognizes the value of factory-installed anti-theft technology. Massachusetts is one of only a handful of states in the U.S. that requires insurance companies to provide auto insurance discounts to owners of cars equipped with electronic anti-theft devices and/or auto recovery systems. In fact, Massachusetts drivers are eligible for a minimum 25 percent discount if they have both an anti-theft device and an auto recovery system--some combinations can result in up to a 36 percent discount.
Earlier this month on May 4th, Collision Week ranked Massachusetts the most affordable state in the country for car insurance, reporting that Massachusetts residents currently spend only 2.09 percent of their household income on car insurance -- the lowest in the nation. That could change for the worse under Right to Repair.
Passage of this legislation would lead to increased thefts and higher insurance premiums for everyone, not just those who fall victim. According to the Insurance Information Institute, about one-fourth of a typical comprehensive auto insurance premium goes to pay for auto theft claims. So as a region’s rate of auto theft increases, car insurance premiums would rise concurrently.
There is presently a secure system in place for providing this sensitive information to repair shops, locksmiths and other professionals who need it for legitimate vehicle repairs. The Secure Data Release Model (SDRM) was developed years ago by automakers, the independent repair community, insurance industry, and law enforcement to allow secure access to key codes, PIN numbers and immobilizer reset information, while protecting the safety of consumers and integrity of vehicle security architecture. Right to Repair would upend this secure system currently in place in all 50 states, 4 main U.S. territories, and the District of Columbia.
‘We hope that the State House will listen to the experts on the front lines of vehicle security who have voiced their opposition to this legislation,’ said Dan Gage, spokesman for the Massachusetts Auto Coalition. ‘A system is currently in place that works well for automakers, dealers, independent repair technicians, the insurance industry, law enforcement, and car owners. Right to Repair is wrong for anyone interested in vehicle security and for Massachusetts families concerned about rising auto insurance rates.’
About the Mass Auto Coalition
The Massachusetts Auto Coalition is an expansive group of automobile industry organizations -- including automakers, dealers, and independent service and repair technicians -- and local business, regional commerce, labor, insurance, and law enforcement entities dedicated to explaining why the so-called ‘Right-to Repair’ legislation is wrong for Massachusetts. Find out more at Mass Auto Coalition.
