What the law says
California Insurance Code § 758.5 says an insurer can't require you to have your car repaired at a specific shop. They can recommend shops, but only if you ask for a recommendation or after you've been told you're free to choose.
Why insurers recommend their own shops
Direct repair program (DRP) shops have agreements with the insurer — often discounted labor rates and faster approvals in exchange for a steady flow of cars. That can work fine, but the shop's first customer is the insurance company.
What happens if you choose another shop
Nothing bad. The insurer still has to pay a reasonable cost for a proper repair. Your shop writes the estimate, the insurer reviews it, and any differences are negotiated between them — usually without you in the middle.
How to tell your adjuster
Just say: "I'd like my car repaired at NewGen Auto Repair, 818 E Walnut St, Santa Ana." Give the shop your claim number and they'll take it from there.
Watch out for pressure
If anyone tells you the repair 'won't be guaranteed' or 'will take longer' unless you use their shop, write down who said it and when. Steering customers is something the California Department of Insurance takes seriously.
FAQ
Will my insurance still pay if I don't use their preferred shop?
Yes. The insurer must pay a reasonable cost for a proper repair, whichever licensed shop you choose.
Can my insurer refuse to pay a supplement because I chose my own shop?
No. Supplements for documented hidden damage are reviewed the same way regardless of shop.
This article is general information, not legal or insurance advice. Rules and policies change — check your policy and the official source, or ask us.