Rep. Bill Owens says motor vehicle insurance cost booklets will not longer be needed.
The bill, which passed the House in July of 2012 and passed the Senate in December of 2012 removes what Ownes calls an obsolete federal mandate requiring the distribution of a booklet on motor vehicle insurance costs.
"Eliminating this obsolete requirement will cut federal spending and reduce burdens on small businesses," said Owens.
"Today's announcement is a good step towards making government work better for businesses and families, and an example of how working across the aisle can drive real change here at home."
Under current law, the National Highway Traffic Safety Administration’s (NHTSA) is required to print an annual booklet entitled, “Relative Collision Insurance Cost Information." They are then required to send this information in hardcopy to auto dealers around the country, who in turn are required to make it available to consumers or face penalties of $1,000 per violation.
According to NHTSA, the information is “rarely used” and “not useful." At the same time, a survey conducted by the National Association of Auto Dealers found that for 96 percent of dealers, no customer had ever asked to see the information.
"H.R. 5859 repealed an unnecessary regulatory burden on small business that did not benefit consumers and helps reduce my cost of doing business here in Plattsburgh,” said Bill McBride, President of Bill McBride Chevrolet and Subaru in Plattsburgh, New York. “New York's franchised new car dealers commend Congressman Owens for successfully rooting out this government waste.”
H.R. 5859 also requires the Department of Transportation to reconsider what data should be made available, and how best to do so.
“We can do more to streamline government, find efficiencies within existing programs and eliminate regulations that just don’t make sense,” Owens said. “As Congress looks to cut federal spending in the months ahead, I am committed to working across the aisle to do exactly that.”