ADALB Slides Down a Slippery Slope Away From Consumer Protection

by Chasidy Rae Sisk

Seated under the Division of Insurance (DOI), the Auto Damage Appraiser Licensing Board (ADALB) shares the DOI’s supposed mission of protecting consumer interests and is specifically charged with “adopt[ing] rules and regulations governing licenses under this section in order to promote the public welfare and safety.” 

At least that’s what the DOI’s website and Massachusetts General Laws Chapter 26 Section 8G (MGL c. 26 § 8G) assert, but at each gathering to review complaints and regulatory amendments, the blatant bias of the Board’s insurance representatives – as well as Chairman Michael Donovan – serves as a reminder that they are no longer merely dangling on the precipice of indifference to consumers’ concerns; the apathy they exhibit indicates an abject abhorrence and callous disdain for the public welfare they’re sworn to secure.  

Early in the June 25 meeting, the Board voted on a request to approve a course for motor vehicle damage appraisals, which was submitted by AASP/MA Executive Director Lucky Papageorg on behalf of the Alliance. Board member Bill Johnson (Pleasant Street Auto; South Hadley/Belchertown) observed that the course had previously been approved in 2017 for Springfield Technical College and pointed out that the ADALB merely needed to provide approval for the association to use the course and its materials to prepare students for the Part-I and Part-II portions of the examination for motor vehicle damage appraiser. 

After Board member Peter Smith (MAPFRE) clarified that AASP/MA’s version did not include “anything materially different versus what was previously approved,” a motion was filed, and the ADALB unanimously approved the AASP course. (More information on the course offering can be found on page 16.)

Moving on to the review of proposed amendments to the ADALB’s Regulation, 212 CMR 2.00 et seq., Board member Peter Smith (MAPFRE) began with the review of 2.01(4) Definitions, debating the need to revise the following words: appraisal, appraiser, independent appraiser, insurer, repair shop and staff appraiser.

Amid the debates about verbiage, Johnson warned his peers, “There’s no one fix for it all. It’s a slippery slope.” Based on the Board’s discussion, Smith offered to make some minor updates to the definitions to be reviewed at the next meeting before the ADALB moves on to its review of amendments for the next section. 

A review of eight complaints – some filed by consumers, others filed by shops – further demonstrated certain members of the Board’s lack of concern for consumer safety, not to mention an alarming tolerance for appraisers who disregard the Regulations the ADALB is sworn to uphold. One unanimous vote to dismiss a complaint was the only time the group agreed. 

Votes cast on six complaints (75 percent of the time!) resulted in an unsurprising sequence of events: the ADALB’s insurance representatives did not believe there was cause to move forward, while the shop owners moved to further investigate the complaints. With the votes tied, Chairman Michael Donovan repeatedly aligned himself with insurer interests. Only one complaint will move forward. 

At several points during the discussion of disputes, Johnson and Board member Carl Garcia (Carl’s Collision Center; Fall River) lauded the benefits of balance-billing the consumer when the insurer under-indemnifies their policyholder. Chairman Donovan objected to their suggestion. “We’re here to protect the consumer!” he asserted, to which Garcia pointed out, “We’re not doing a great job.” 

“You just voted against moving forward with a complaint where the consumer paid $678.45 to get their vehicle out of the shop,” Johnson reminded Chairman Donovan, highlighting the extent of the Board’s failure to protect consumers. 

The ADALB is scheduled to reconvene on September 19. Don’t miss detailed coverage of the June meeting, only available in the August issue of Damage Report, AASP/MA’s members-only newsletter.

AASP/MA members are strongly encouraged to listen to the recording of the June 25 meeting in the Members Only section of aaspma.org for a glimpse into the inner workings of the ADALB. View the meeting agenda at bit.ly/ADALB62524. 

Want more? Check out the August 2024 issue of New England Automotive Report!