Car Insurers Investigate Misrepresentation Of Car Parts

The Insurance Council of New Zealand and its members have recently been made aware of a car part supplier allegedly misrepresenting car parts as genuine to New Zealand repairers.

Tim Grafton, Chief Executive ICNZ, says; "We understand that since late last year a supplier has provided car parts as car manufacture branded when they are not. The matter is naturally of concern to insurers who have established dedicated teams to investigate the situation."

As part of their investigation insurers are working to ascertain if any of their customers’ vehicles have been fitted with parts from the identified supplier, and whether any misrepresentation has occurred.

"Affected customers will be proactively contacted by their insurer if there is anything that needs to be addressed. We understand many customers have been contacted already, and we expect more may be contacted as the investigation continues in the coming weeks.

ICNZ says the sector is working with affected repairers nationwide to rectify the problem for their customers.

"If you are contacted, your insurer will provide you with clear instructions on what you need to do to have your vehicle assessed and if subsequent actions or repairs are needed.

"It’s important to note the use of non-branded parts that meet recognised standards to carry out vehicle repairs is not unusual and wouldn’t in and of itself present any quality concerns."

ICNZ can confirm it has informed the Commerce Commission and other necessary government agencies to address the issue.

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