Can Your Insurer Make You Use Their Repair Shop in Kansas?

After a car accident, you have enough to worry about without feeling pressured by your insurance company. When it comes to repairs, a common source of stress is the choice of an auto body shop. You might wonder if you have to use the shop your insurer recommends. The answer in Kansas is a firm no. Kansas Administrative Regulation 40-1-34 prohibits an insurance company from requiring that a claimant's vehicle be repaired at a specific shop as this constitutes an unfair claims settlement practice. ¹.

This illegal practice is called "steering." It happens when an insurer tries to influence, coerce, or intimidate you into using a shop that it has a contractual relationship with, often to control costs ². Steering can take many forms. An adjuster might tell you that repairs will take longer at your chosen shop, that you will have to pay the difference in labor rates, or that the insurer will not guarantee the work unless it is done by a network facility. These are all tactics prohibited under the Kansas Unfair Trade Practices Act, which defines steering as an unfair claim settlement practice ¹. The history of auto insurance reform shows that debates over cost control, repair quality, and consumer choice have been ongoing for decades ³⁴.

Kansas law also addresses a related issue: the use of aftermarket parts. These are replacement parts not made by your vehicle’s original manufacturer ⁵. The use of such parts has been the subject of major legal challenges against insurers ⁶. An insurer might steer you to a shop that agrees to use these less expensive parts. While using them is not illegal, their use is regulated. Any written estimate must identify each non-OEM part and include a specific disclosure about the part's warranty, which comes from the part manufacturer, not the car maker ⁷⁸. A violation of this rule is also an unfair trade practice ⁹. The Kansas Insurance Commissioner is empowered to enforce these laws ¹⁰. Under Kansas law, if the insurance commissioner determines a person has engaged in an unfair method of competition or deceptive act, the commissioner may issue a cease and desist order and may impose a monetary penalty of not more than $1,000 for each act, or up to $5,000 for each act if the person knew or reasonably should have known they were in violation. ¹¹. Understanding these rules is the first step in protecting your rights during the repair process.

This guide provides general information, not legal advice.

Your fundamental right to choose a repair shop in Kansas

After your vehicle is damaged, you may feel pressured by an insurance company to use a specific auto body shop. It is essential to know that in Kansas, the choice of where to repair your vehicle belongs to you. This is not just a courtesy. It is a fundamental right protected by state law, ensuring you can select a facility you trust to restore your vehicle properly.

This right is codified in the Kansas Unfair Claims Settlement Practices Act. The law explicitly forbids an insurer from engaging in "steering," the illegal practice of coercing or misleading you into using a particular repair shop ¹. The statute, K.S.A. 40-2404(9), makes it an unfair practice for an insurer to "require that repairs be made by a particular contractor or repair shop." The law goes further, prohibiting any "act of coercion, intimidation or misrepresentation to secure the work" for that shop. This means an adjuster cannot legally tell you that your claim will be processed faster or that the repairs will be better guaranteed only if you use their "preferred" provider. Similarly, they cannot threaten delays or imply you will face extra costs for choosing your own independent shop.

This tension between insurer cost-containment and consumer choice has a long history, with debates and legal challenges shaping these protections over many years ³⁴. Major legal cases, like the landmark Avery V. State Farm suit, have centered on insurer practices and their impact on the quality of repairs, particularly concerning the use of certain parts ⁶. While an insurer must respect your choice of shop, they are only obligated to pay for the reasonable cost of repairs. This is a critical distinction. The insurer does not have to agree to any price a shop quotes. This is why, even if they cannot steer you to a shop, they can still heavily influence the repair process by disputing labor rates or, more commonly, by insisting on the use of non-original manufacturer parts to control costs ².

This guide provides general information, not legal advice.

The rules for using non-original (aftermarket) parts

One of the most common ways an insurer attempts to manage repair costs is by specifying non-original parts. The use of these parts has been a subject of debate for decades, with congressional hearings examining the topic as far back as the 1970s ³, ⁴. In Kansas, the law provides specific rules for when and how these parts can be used.

First, it is helpful to know what the law means by an "after market part." It is not just any part that does not come from your car's manufacturer. Under Kansas statute, the term specifically refers to replacement sheet metal or plastic parts that are not made by or for the original equipment manufacturer (OEM) ⁵. These are often the cosmetic parts damaged in a collision, like fenders, hoods, and bumper covers.

The most important rule is this: an insurer cannot require the use of non-original aftermarket parts unless you are advised in writing ⁷. This gives you the power to know exactly what is being put on your vehicle. This written notice, which is usually part of the repair estimate, must follow strict guidelines. It must clearly identify every single non-OEM part being used for the repair. It also must contain a specific disclosure, printed in at least 10-point type, explaining that any warranty for these parts comes from the part manufacturer, not from your vehicle's original manufacturer ⁸.

If an insurer fails to provide this specific written disclosure, it is not just a simple oversight. It is considered an unfair trade practice ⁹. These violations are enforced by the Kansas Insurance Commissioner ¹. The commissioner has the authority to issue a cease and desist order and can impose significant monetary penalties against the insurer. Fines can be up to $1,000 for each violation, or as high as $5,000 per violation if the insurer's actions were found to be knowing ¹⁰, ¹¹. This ensures that your right to be informed about the parts used in your car's repair is taken seriously.

This guide provides general information, not legal advice.

How to read your written estimate for aftermarket parts

When your car is being repaired, you have the right to know exactly what kind of parts are being used. Kansas law is very specific about this, especially concerning "aftermarket parts." These are new replacement parts, typically sheet metal or plastic, that were not made by or for your vehicle’s original manufacturer ⁵. The debate over using these parts, weighing cost savings against potential quality differences, has been the subject of congressional hearings and major court cases for decades ³, ⁴, ⁶. Because of this, the law requires transparent disclosure.

If an insurer or repair shop plans to use non-original equipment manufacturer (non-OEM) parts for your vehicle's repair, the written estimate they provide must meet two clear requirements. First, the estimate must individually identify each aftermarket part being used ⁸. It cannot simply list "new bumper"; it must specify if the part is from the original manufacturer or from an aftermarket source.

Second, and most importantly, the estimate must contain a specific written notice, printed in a type size no smaller than 10-point font ⁸. This notice must clearly state the following: "This estimate has been prepared based on the use of aftermarket parts. The parts used in the repair of your vehicle by the insurer are warranted by the manufacturer or distributor of such parts rather than the original equipment manufacturer of your vehicle" ¹², ⁸. An insurer is not allowed to even specify the use of non-OEM parts unless it is certain you will receive this written disclosure from the repair facility ⁷.

This notice is for your protection. It confirms that the warranty for any aftermarket part comes from the company that made that specific part, not from Ford, Honda, or whichever company made your car. Carefully reviewing your estimate is a key step in managing your claim, a point emphasized in guides for navigating the insurance process ². Make sure your estimate clearly lists each part and includes this exact warranty disclosure if aftermarket parts are planned for your repair.

This guide provides general information, not legal advice.

Enforcement and penalties for insurer violations

If you believe an insurer has violated Kansas law by improperly steering you to a specific repair shop or by mishandling the use of aftermarket parts, you are not without recourse. The Kansas Insurance Commissioner has the authority to enforce these consumer protection laws ¹⁰. The Commissioner's office acts as the primary regulator, investigating complaints and taking action against insurance companies that engage in unfair or deceptive practices.

The Commissioner's enforcement powers are substantial. After an investigation and a hearing, the Commissioner can order an insurer to stop its illegal behavior through a cease and desist order ¹⁰. More significantly, the Commissioner can impose financial penalties. For each instance of an unfair trade practice, an insurer can be fined up to $1,000. This "per act" penalty means that if an insurer has a policy that affects many customers, the fines can accumulate quickly. The penalty increases significantly if the insurer's violation was committed knowingly. In such cases, the fine can be as high as $5,000 for each act ¹¹. A knowing violation implies the insurer was aware its conduct was prohibited but proceeded anyway.

These penalties are not just for general misbehavior. They apply directly to the rules about aftermarket parts. State law specifically defines a violation of the aftermarket parts disclosure requirements by an insurer as an unfair trade practice ⁹. Therefore, if your insurer requires the use of non-OEM parts but fails to ensure you receive the proper written disclosure from the shop, it has committed a punishable offense. The Insurance Commissioner can then apply these enforcement tools, including the $1,000 or $5,000 per-violation fine, to hold the insurer accountable ¹⁰¹¹. This enforcement structure provides a strong incentive for insurance companies to follow the law and respect your right to a proper and transparent repair process.

This guide provides general information, not legal advice.

What an insurer can and cannot legally do

After an accident, your first conversations with your insurer will likely involve where to get your vehicle fixed. It is critical to understand the distinction between a helpful recommendation and illegal "steering." In Kansas, the law firmly protects your right to choose your own repair facility.

An insurance company is legally permitted to recommend a shop. They can provide a list of their "preferred" or "direct repair program" (DRP) facilities. These are shops with which the insurer has a pre-existing relationship, often involving agreed-upon labor rates, procedures, and billing practices. An adjuster can explain the potential benefits of using a DRP shop, such as direct payment from the insurer to the shop or a lifetime warranty on the repair work. Offering this list and explaining its benefits is not illegal.

However, the insurer crosses a clear legal line when a suggestion becomes a demand. Under Kansas law, it is an unfair claims settlement practice for an insurer to require, coerce, or intimidate you into using a particular repair shop ¹. This illegal practice, known as steering, has been a persistent consumer issue for decades ³⁴. An insurer cannot condition the full payment of your claim on you using their preferred shop ¹⁶.

Recognizing illegal steering can be tricky, as it often involves subtle pressure. An insurer cannot:

• Tell you that you must use one of their network shops to get your vehicle repaired.
• Threaten to significantly delay your claim or create burdensome paperwork if you use a non-preferred shop ¹².
• State that they will not "guarantee" the repairs from your chosen shop. The repair facility itself, not the insurer, provides the warranty on workmanship.
• Warn that you will have to pay the difference if your chosen shop's hourly rate is higher than the insurer's "prevailing" or "market" rate, especially if that rate is artificially low. This can be a form of financial intimidation.

These tactics are designed to make it impractical for you to exercise your right to choose. The law is specific: Kansas Statute 40-2404(9) prohibits requiring a person to have repairs made at a specific location ¹. A violation can result in significant penalties for the insurer, including fines of up to $1,000 per violation, or up to $5,000 if the act was committed knowingly, enforced by the Insurance Commissioner ¹⁰¹¹.

This guide provides general information, not legal advice.

Practical steps to take if you suspect steering

If you believe an insurer is illegally pressuring you, your first step is to create a detailed record of your interactions. Documentation is your most powerful tool. Start a log immediately. For every phone call or conversation with an adjuster or representative, write down the date, time, the person’s full name, and their title.

Most importantly, write down exactly what they say. Use quotation marks for their precise words if possible. Did they say you would have to pay out of pocket if you used your shop? Did they warn of delays? Did they suggest your shop's work would not be guaranteed by the insurer? Any statement that makes it seem difficult, expensive, or risky to use your preferred repair facility is potential evidence of steering. Keep all emails, text messages, and any written communications from the insurer. As claims experts have long advised, a consumer’s own detailed records can be the deciding factor in a dispute ².

Once you have gathered your evidence, you can file a formal complaint. The state agency responsible for investigating these matters is the Kansas Insurance Department. This department and its Commissioner have the authority to enforce fair trade practices and investigate consumer complaints against insurance companies ¹⁰. You can typically file your complaint online through the department's website or by mail. Be sure to include copies of your documentation, providing a clear timeline of events and the specific statements made by the insurer's representatives.

Filing a complaint triggers a formal process. The Insurance Department will review your case, and if they find evidence of a violation, they can take significant action. The Kansas Insurance Commissioner has the power to issue a cease and desist order to stop the illegal practice. The Commissioner may also impose a monetary penalty against the insurer of up to $1,000 for each violation. If the department determines the insurer knowingly violated the law, that penalty can increase to $5,000 per act ¹¹. Your complaint helps not only your own case but also holds the insurer accountable and protects other Kansas consumers.

This guide provides general information, not legal advice.

Sources

1. Kansas Secretary of State, K.A.R. 40-1-34, 1999 - https://www.kssos.org/rules_and_regs/K.A.R._40-1-34.pdf

2. Auto Accident Personal Injury Insurance Claim by Dan Baldyga (2002, AuthorHouse) - https://play.google.com/store/books/details?id=R8M3AgAAQBAJ

3. Automobile Insurance Reform and Cost Savings: Hearings, Ninety-second Congress, First Session... by United States. Congress. Senate. Committee on Commerce (1971) - https://play.google.com/store/books/details?id=UxM3ZkDwTx8C

4. Automobile Insurance Reform and Cost Savings, Hearings Before by United States. Congress. Senate. Commerce (1971) - https://play.google.com/store/books/details?id=zdNFAQAAMAAJ

5. K.S.A. 50-660(a) - https://www.ksrevisor.org/statutes/chapters/ch50/050_006_0060.html

6. Avery V. State Farm Mutual Automobile Insurance Company (2001) - https://play.google.com/store/books/details?id=IqmdYTKyGckC

7. K.S.A. 50-661(a) - http://www.kslegislature.org/li_2020/b2019_20/statute/050_000_0000_chapter/050_006_0000_article/050_006_0061_section/050_006_0061_k/

8. K.S.A. 50-662 - https://www.ksrevisor.org/statutes/chapters/ch50/050_006_0062.html

9. 16 CFR 429.1 - The Rule - https://www.ecfr.gov/current/title-16/chapter-I/subchapter-D/part-429/section-429.1

10. K.S.A. 40-2407(a) - http://www.kslegislature.org/li_2020/b2019_20/statute/040_000_0000_chapter/040_024_0000_article/040_024_0007_section/040_024_0007_k/

11. Kansas Legislature, 1997 - http://www.ksrevisor.org/statutes/chapters/ch40/040_024_0007.html

12. K.S.A. 50-662 - http://www.kslegislature.org/li_2020/b2019_20/statute/050_000_0000_chapter/050_006_0000_article/050_006_0062_section/050_006_0062_k/