FI showroom red and grey logo
MenuMENU
SearchSEARCH

Insurance Booklet Mandate Eliminated

This week, President Obama put his signature on legislation that eliminates the insurance booklet mandate that dealers have had to comply with since the 1970s.

by Staff
January 15, 2013
2 min to read


WASHINGTON — New-car dealerships are no longer required to provide printed copies of the Relative Collision Insurance Cost Information brochure to car and truck buyers upon request. President Barack Obama signed legislation this week that repeals the outdated mandate and eliminates the $1,000 fine dealerships face for failing to comply with the 1970s-era law.

“This bill removes a regulatory burden from dealerships that helps reduce our cost of doing business,” said Bill Underriner, chairman of the National Automobile Dealers Association (NADA) and a multi-franchise dealer from Billings, Mont.

The booklet was originally designed to provide car buyers with information on the different insurance costs to repair vehicles, but was not helpful to consumers in the showroom. The Obama administration, in a 2011 submission to Congress, said that “a prospective buyer does not need a brochure from the federal government to obtain this information, since insurance agents are trained to provide advice on how model selection affects insurance premiums.”

“For all of the years I’ve been in business, I cannot recall that a customer has ever asked to see the booklet,” Underriner added. “Printing and mailing this booklet has simply been made obsolete by technology.”

In an NADA survey of its members, 96 percent of new-car dealers reported that none of their customers had ever asked to see the brochure in the 21 years dealers were required to stock it. 

The federal government and the Insurance Institute for Highway Safety, which compiles the data, can still make the information available to the public online or by other means. 

Underriner commended the leadership of House sponsors Reps. Gregg Harper (R-Miss.) and Bill Owens (D-N.Y.), as well as Sens. Amy Klobuchar (D-Minn.) and Roger Wicker (R-Miss.), who directed the bill through the Senate.

More F&I

Woman in casual clothing sitting at a desk
F&Iby Rick McCormickMarch 31, 2026

Curb The Confusion

Talk to F&I customers like you’d talk to a friend, without industry lingo or sales-like questions, and use hard proof to show, not tell, them about a need.

Read More →
Photo of man's hand on laptop computer keyboard with blank screen
F&IMarch 16, 2026

There Is Always one More Product

Helping F&I customers understand complementary offerings is likely to lead to more sales, based on the success of a high-performing practitioner of the philosophy.

Read More →
REGISTER FOR EFI 2026
F&Iby Kate SpataforaMarch 16, 2026

EFI Conference Extends Early Bird Discount as Room Block Nears Capacity

Ethical F&I Manager's Conference will take place at The Cosmopolitan Las Vegas on April 13–15, 2026.

Read More →
Ad Loading...
Industryby StaffMarch 6, 2026

Explore the 12 Rules for an F&I Life at EFI

EFI 2026 will take place April 13–15 at The Cosmopolitan Las Vegas.

Read More →
F&IMarch 4, 2026

Creating Your Own Economy

In this video, Reese Dailey explains how effective follow-up drives better results across the dealership, including increased sales, higher F&I penetration, and stronger customer retention.

Read More →
Industryby StaffMarch 2, 2026

Prove You Can Do F&I at EFI

‘So You Think You Can Do F&I’ is a live role-play contest taking place at the 2026 Ethical F&I Managers Conference.

Read More →
Ad Loading...
Image of two human hands, one holding the word yes, the other the word no
F&Iby Hannah MitchellMarch 1, 2026

Expect Yes in the F&I Office

It may be human nature to back off when a customer seems to say no to a product or service. But experts say F&I managers should operate as though the answer will be the opposite.

Read More →
Industryby Lauren LawrenceFebruary 25, 2026

Report Finds Year-End F&I Strength

Deal volume ebbed and flowed throughout 2025, but product performance remained steady, according to automotive technology and data intelligence solutions provider StoneEagle.

Read More →
Industryby Hannah MitchellFebruary 23, 2026

Some Auto Brands Cheaper to Insure

A new top 10 list ranks the least expensive for average full insurance coverage on a clean driving record and high driver credit scores.

Read More →
Ad Loading...
F&IFebruary 13, 2026

Business Office Blueprint

Try following these 20 steps to greater success in the dealer F&I office this year.

Read More →