After a collision, your insurance company will often suggest — or even strongly push — you toward one of their "preferred" or "direct repair program" (DRP) shops. It can feel like a requirement. It isn't. In California, you have the legal right to choose any licensed repair facility you want.
The short answer: No. Your insurer cannot legally force you to use a specific shop. If they imply otherwise, they are misrepresenting your rights under California law.
What California Law Says
California Insurance Code §758.5
California law prohibits insurers from requiring policyholders to use a specific auto repair shop. An insurer may recommend a shop, but must inform you that you are not required to use it. The insurer is responsible for the cost of restoring your vehicle to its pre-loss condition regardless of which licensed shop you choose.
This means that if your chosen shop performs the repair correctly and to a reasonable standard, your insurance company must pay — they cannot deny or reduce your claim simply because you didn't use their preferred vendor.
Why Do Insurers Have Preferred Shops?
Insurance companies build networks of "preferred" or "direct repair" shops for their own operational convenience and cost management. These shops agree to:
- Accept pre-negotiated (lower) labor rates
- Use aftermarket or recycled parts instead of OEM where possible
- Complete repairs within target timeframes to reduce rental car costs
- Allow the insurer to audit their work and pricing
None of this is inherently bad — but the shop's primary relationship is with the insurer, not with you. That changes whose interests come first when decisions are made about your repair.
What's the Difference in Practice?
When you choose your own independent shop:
- The shop works for you — their loyalty is to you, not the insurer
- You're more likely to get OEM (original manufacturer) parts, not aftermarket substitutes
- The shop can advocate more aggressively for full coverage of all damage
- You have a direct relationship and can ask questions freely
At Genesis Collision Center, we work directly with all insurance companies on your behalf. We know how to document damage thoroughly, negotiate supplements, and get your vehicle restored to pre-loss condition — using quality parts.
What If the Insurer Lowballs the Repair Cost?
This is common. The insurer's first estimate is often lower than what the repair actually requires — especially once the vehicle is disassembled and hidden damage is found. This additional damage is called a supplement.
A good shop handles supplements routinely. They document the additional damage with photos, submit the supplement to the adjuster, and wait for approval before proceeding. In most cases, insurers approve legitimate supplements — they're legally required to pay for a proper repair.
If an insurer refuses a reasonable supplement, you have the right to:
- File a complaint with the California Department of Insurance
- Request an independent appraisal
- Consult an attorney if necessary
What About Aftermarket Parts?
Some insurers specify aftermarket (non-OEM) parts to reduce costs. In California, insurers must disclose when non-OEM parts are being used and the parts must be of like kind and quality to the original. You have the right to request OEM parts — though the insurer may only pay the aftermarket price, leaving you responsible for the difference.
We'll walk you through your options and help you decide what makes sense for your vehicle's age, value, and situation.
YOUR CAR. YOUR CHOICE.
We handle all insurance companies. You choose us — we do the rest.