Report: Honda Failed To Report Fatality And Serious Injury Accidents

Honda started an audit last month to determine if the company failed to report some injury and fatality accidents to the U.S. Government. The Transportation Recall Enhancement Accountability and Documentation Act, passed back in 2000, requires automakers to report “defects, injures or fatalities related to their products.” The concern on the part of the NHTSA is Honda didn’t follow that “early warning law” which was aimed at quickly identifying vehicle defects.

A spokesman from the Tokai Tokyo Research Center told Bloomberg, “The damage to their reputation could be very big. Honda should take responsible action, especially in the U.S., because it’s their most important market.” Reports indicate Honda excluded verbal claims of serious injury accidents and deaths in their reports to the NHTSA, until last month. It’s a move some regulators are saying had a “hampering effect” on the governmental effort to “spot defects.” Specifically a 2009 car accident that left one dead and a 2012 incident that left another individual seriously injured were never reported to the NHTSA.

In 2013 Toyota sent 1,774 injury and death claims to the NHTSA. GM sent in 1,716, while Honda reported only 28. The blame for this round of investigations is being traced back to Takata corp. the company that supplies airbag inflators to Honda. The NHTSA is looking into the matter. According to an NHTSA spokesperson, the organization,” has started an aggressive investigation into Takata air-bag failures and urged automakers to immediately recall vehicles with the highest risk.”

For dealers this means it’s time to pay close attention to how this case shakes out. Just like consumers are concerned about the GM ignition recall when they buy used vehicles, they will likely ask about what’s going on with Honda. The report from the independent auditor will soon be shared with the NHTSA and thus, the general public. In an era of informed customers, it pays to know what’s happening.