Hello everyone, This is Alan with my first post. Since one thing I'm tasked to write about is association activity, I wanted to highlight the following news from Nebraska.
The Nebraska Auto Body Association recently completed a survey of the top issues repairers believe to be of concern for 2009. I think the survey is reflective of concerns across the country with repairers and the changes that will affect the industry in the coming year.
The top concern of those surveyed, cited by 85% of participants, was the steering of claimants by insurance carriers. This, of course, helps validate the business model for SceneExchange which gives consumers a choice in their collision center selection--so we were glad to see the affirmation.
The other top issues reflected in the survey are:
74% - Technology changes that will effect repairing of vehicles - from composite changes made in the manufacturing of vehicles to the increase of electric vehicles, this is a valid concern that not only effects collision repair centers but also as an affect on first responders of an accident. The way we address vehicles in the future will be dramatically different than how we have in the past. Becoming familiar with and training your staff on these changes will help you move into the next generation of collision repair.
73% - Repair procedures issues - Same as above, you need to be aware of the many changes and implement training and other resources (there are many out there) to assist you with repair changes.
69% - 3rd party desk reviews - similar to the steering issues and for the same reasons, insurers are looking to cut costs.
68% - Labor rates - This is on the radar screen across the country, many states and the federal government are reviewing labor rates and processes... keep your eyes open for these changes...and stay posted here as I keep you abreast of these activities.
61% - DRP concessions - This has been around for some time and again is reflective of steering and desk reviews.
60% - State Legislative issues - some of the legislative issues are good for repair shops (and some are bad). Stay on top of what's happening in your state.
58% - Recycled parts quality
57% - Insurers and adjustors not adhering to P-Page published items - as chair of the estimating repair and procedures committee for CIC, our committee works hard to educate shop owners about how to use P-Page logic in your estimating. Knowing the information and how to use it is the best way to address this issue. Visit the CIC web site for our latest published training documents at www.ciclink.com
50% - Refusal by insurers to recognize OEM repair specifications - This goes hand-in-hand with issues three and four that relate to the changes in repair and vehicle manufacturing, not only are shops not well trained and informed, neither are the insurers and adjustors. All parties need to be informed and educated about the rapid changes that are occurring in the building of vehicles of the future. Again, there are resources available to help justify these changes.
You can view the whole survey and results at:
I encourage you to read the whole document--as this is a recent survey. More importantly, I believe it is reflective of concerns that we will all need to be prepared for in 2009.