The Rhode Island Supreme Court will hear an appeal regarding whether auto insurers in the state must conduct a "labor rate survey," and use the results as the sole factor in determining prevailing auto body labor rates.
As reported on Aug, 15 by NU Online, the Rhode Island Superior Court ruled in Auto Body Association of Rhode Island (ABARI) vs. State of Rhode Island Department of Business Regulation (DBR) that the legislative intent of a 2006 statute was unambiguous when it stated, "Each insurer must conduct an auto body labor rate survey, in writing, annually to determine a prevailing auto body labor rate for fully licensed auto body repair facilities."
In developing a regulation on the statute, the DBR had said it did not interpret the legislative intent to mean that the survey should be used as the sole factor in determining and setting the prevailing auto body labor rate.
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