05/07/2024 | Press release | Distributed by Public on 05/07/2024 15:14
After the Committee on Public Safety concluded its hearing, Passmore met with Alderman Gilbert Villegas (36th Ward) to emphasize the need for a towing rotation system to better protect residents from being victimized by rogue tow truck drivers. Alderman Villegas pledged to working closely with insurance industry leaders like the APCIA and the Illinois Insurance Association to work on finding a solution to combat rogue tow truck drivers that incorporates a robust towing rotation system.
Auto insurers often become involved in towing issues when a policyholder's vehicle is not drivable and has to be towed from the scene of an accident or when a vehicle has been stolen and later recovered. While the Chicago City Council took important steps in 2021 to curb the abusive practices of rogue tow truck drivers by adopting a municipal ordinance to put important regulations in place, Passmore emphasized that the ordinance did not go far enough. As a result, insurers are now pushing for a towing rotation system to further reduce abusive towing practices.
"In a survey of APCIA members, Chicago is the city most often cited for abusive towing practices," said Passmore. "When a shady towing company gets a vehicle on its hook, the owner and insurer may face staggering bills and confusing rules to reclaim the vehicle. Outrageous bills from abusive towing companies can drive up out-of-pocket expenses for consumers and impact auto insurance costs. While most towing firms are honest, well-intentioned operators, a few bad players have created widespread problems and cast the entire industry in a negative light."
APCIA is part of a large statewide coalition that includes the Illinois Insurance Association, an organization dedicated to protecting consumers while preserving an open and competitive property and casualty insurance marketplace in Illinois.
"Rogue towing is an outrageous and reprehensible practice that victimizes the most vulnerable in our communities," said Kevin Martin, Executive Director of the Illinois Insurance Association. "The Illinois Insurance Association is proud to support efforts to protect consumers and crack down on shady tow truck operators that prey on the helpless who need help. I urge the Committee on Public Safety to adopt a towing rotation system to combat rogue towers and protect our policyholders."
Scams often occur when a tow truck just shows up at the scene of an accident. Consumers should exercise their rights and options.
Consumers have the following rights:
Steps consumers can take to protect themselves from towing abuses: