The Australian Competition and Consumer Commission (ACCC) says it is investigating allegations of bullying and harassment against NRMA Insurance.

The IAG-owned insurer has hit back at the allegations from several panel beaters, saying it had to blacklist some repair shops over fears for the safety of its staff, poor-quality work and, in some cases, outright fraud.

Despite claims that NRMA Insurance “bullied” customers into choosing authorised repairers from its network, the repairers’ representative, the Motor Traders’ Association (MTA), has backed the insurer, and says it has a good working relationship with it.

The ACCC says several issues have been raised by car repairers and it is “considering those concerns with reference to the Competition and Consumer Act, which incorporates the Australian Consumer Law”.

MTA CEO James McCall says the association backed NRMA Insurance’s conduct during its annual approved network intake, labelling it “open and transparent”.

NRMA Insurance received more than 400 applications and now has a network of about 180 panel beaters.

In response to claims of bullying, NRMA Insurance says its employees have been victims of intimidation and it is protecting customers from fraudulent and unqualified panel beaters.