US Lawmakers are proposing legislation directing the National Highway Traffic Safety Administration to disclose more information about vehicles that have been damaged due to accidents, or other problems. The concern is that consumers are not made fully aware of the extent of damage to the vehicle, and therefore cannot make an accurate assessment of it’s safety, and value.
The bill is being called the “Damaged Vehicle Information Act.” It will require greater disclosure of vehicles damaged by accidents, floods or fire, and other typical incidents that will effect it’s value. If a car has been on an Automotive Lift due to a collision, the authorities want it to be known to all potential buyers.
Legislators hope to protect consumers with this proposed legislation, but critics complain that it will be yet another layer of bureaucracy for merchants and resellers to wade through, once again stepping in the way of economic activity. The responsibility will be on the owners of the vehicle, insurance companies and automotive recyclers and repair facilities to provide this information to any potential buyers.
What do you think? Is this type of regulation a good idea? What potential problems do you foresee?