CA AB2276

Requires auto body repair shops participating in labor rate surveys to declare they meet specified equipment standards, have proof of insurance, and possess capabilities for alignment, structural work, and air-conditioning service.

Establishes statistical requirements for labor rate surveys, including random sampling to achieve a minimum 90% confidence level and standard error of no more than 10%.

Eliminates the rebuttable presumption that insurers conducting compliant surveys have acted in good faith, instead allowing negotiation of labor rates above or below the prevailing rate by either insurers or repair shops.

Defines prevailing labor rate as the rate at or below which a simple majority of surveyed shops charge, excluding discounted direct repair program rates, and limits geographic survey areas to local workforce development boundaries but no larger than a county.

Clarifies that insurers are not required to conduct surveys and may use alternative methodologies to determine prevailing labor rates, and requires insurers to report survey results to the Department of Insurance for public disclosure.