36 YEARS
NORTHEAST E DI TIO N
AUTOBODY CT / DE / ME / MD / MA / NH / NJ / NY / PA / RI / VT
AUTOBODYNEWS.COM
Vol. 9 / Issue 2 / May 2018
AASP/NJ’s NORTHEAST 2018, Debut of WMABA’s P.R.E.P. Yield Huge Successes
MSO Drops Use of PartsTrader, Remains on State Farm’s ‘Select Service’ Program
by Chasidy Rae Sisk
by John Yoswick
AASP/NJ hosted its 2018 NORTHEAST Automotive Services Show during the weekend of Friday, March BASF hosted an ‘Industry Innovators Luncheon’ at the 16 through Sunday, March neighboring Embassy Suites, featuring KC Mathieu of 18 at the Meadowlands Ex- KC’s Paint Shop, Jonathan Goolsby of Goolsby Customs, position Center in Secaucus, and Troy Spackman of Legacy Innovations who discussed their careers and experiences with a room filled with NJ. collision repair students This was the first year that the association collaborated with was a huge success, drawing some of the Washington Metropolitan Auto the industry’s favorite speakers and Body Association (WMABA), which seeing a 20 percent increase in attenfacilitated the training portion of the dees compared to last year. See WMABA’s P.R.E.P., Page 18 event: WMABA P.R.E.P. The event
State Farm is allowing Caliber Collision centers participating in the “Select Service” program to remain on the program without using PartsTrader for State Farm claims. Caliber’s corporate office declined to comment on the change, but sources have told CRASH Network that Caliber CEO Steve Grimshaw announced at a company gathering in February that Caliber was curtailing its use of PartsTrader. “We’re now using PartsTrader only for The Hartford,” a source at a Caliber location in North Carolina confirmed. “I’m not sure if it’s a pilot for [State Farm] dropping PartsTrader, or what.” It is unclear whether the change was initiated by State Farm or Caliber. One source within Caliber said
State Farm Responds to Claims of Influencing Non-OEM Auto Repair by Katherine Coig, glassBYTEs.com
A jury recently found Texas-based John Eagle Collision Center liable for injuries sustained by Matthew and Marcia Seebachan following a 2013 crash because a repair was not done according to OEM specifications, according to the verdict. Now, State Farm is in the spotlight for its alleged role in influencing that repair. The couple is suing for negligence and breach of warranty. The lawsuit stems from a non-OEM roof repair, which used an adhesive instead of being welded as Honda’s
specifications outlined. According to John Eagle’s director Boyce Willis, State Farm wouldn’t pay the shop unless the repair was done according to its specifications as opposed to Honda’s. “No insurance company should ever dictate to a collision repair center or body shop how to repair a vehicle. To do so is extremely negligent, and shows a wanton disregard for human life and the safety of others,” said Todd Tracy, attorney for the plaintiffs. “John Eagle did not repair the subject 2010 Honda Fit to Honda’s See State Farm Responds, Page 69
that he expects the company’s use of PartsTrader for The Hartford to end in the near future as well. An estimator at a Caliber location in Georgia said he was happy with the change. “You still have to do your due diligence in searching for alternative parts [for State Farm claims],” he said. “But this saves us a lot of time. I’m not a PartsTrader fan myself. They say there’s some of those out there—PartsTrader fans—but I don’t know any.” Caliber locations in at least three other states also confirmed they are no longer using PartsTrader for State Farm claims, yet remain on the Select Service program. A State Farm spokeswoman said the company considers its agreements with repair facilities to be “confidential and therefore we will not be providing any comment.”
Todd Tracy’s 10 Ways to Avoid a $42 Million Verdict by Gene Bilobram and Todd Tracy
Attorney Todd Tracy’s recent lawsuit against a dealership body shop marks the start of a profound shift for collision repairers. Below is his list of 10 Ways to Avoid a $42 Million Verdict, co-authored by Gene Bilobram, who wrote “The Pre and Post Scan Revolution” featured in Autobody News last spring. 1) Always Follow OEM Repair Specifications Refer to vehicle-specific (year, make, model) and repair-specific OEM repair manual information on every repair. Follow up by seeking any OEM position statement, Technical Service Bulletin (TSB), recall or general procedure applicable to the OEM and its vehicles.
2) Always Follow I-CAR OEM repair procedures do not always exist in a particular vehicle repair situation. In those cases, published I-CAR best practices should be sought out and followed to assure an industry best practices repair. After OEM procedures, always follow I-CAR. 3) Remember Who Your Customer Is The vehicle owner and future owners will live with the consequences of the repairs you make. Keep the customer informed about the high standard of repairs the shop is striving to provide with any insurer resistance to same. It’s the shop’s duty to involve the customer rather than make unilateral decisions which can compromise repairs. The shop’s overriding duty is to provide the safest repair See 10 Ways, Page 12
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