July 2021 Southeast Edition by Autobody News

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Auto Body Shops Asked to Submit Experiences with SRS Inspections by John Yoswick

I-CAR is seeking help from collision repairers as it reviews OEM safety inspections related to secondary restraint systems (SRS). Scott VanHulle, manager of I-CAR’s Repairability Technical Support and OEM Technical Relations, said the project grew out of a virtual summit the training organization held in March with 150 shops, insurers and automakers. The discussion centered around whether the industry had adequate information about what inspections

were required and when, what the inspections should “look like” and the “why” behind the inspections. The OEMs may not be aware of shortcomings in their procedures related to this, VanHulle said, because traditionally much of the feedback they receive is from dealership service departments that aren’t dealing with collision-damaged vehicles. I-CAR hopes to develop industry-vetted best practices related to the inspections, provide feedback to the automakers about any potential repair information improvements See SRS Inspections, Page 12

Marine Corps Officials Break Ground on New Welding and Auto Body Repair Shop in GA by FOX 31 News

Marine Corps Logistics Base Albany, Marine Corps Logistics Command and Marine Depot Maintenance Command leaders held a groundbreaking ceremony for a new $25.6 million welding and auto body shop June 16 in Albany, GA. “I am extremely proud of the team effort to bring this dream to reality,” said Leonard Housley, executive director, MCLB Albany. The construction of this new facility will support Production Plant Albany and provide both large and

small open bays for repairs to military tactical vehicles. This includes assault amphibious vehicles and light armored vehicles. Col. Wilfred Rivera, commander, MDMC, said the work to bring the project to fruition goes back several years and aligns the Marine Corps with the goal of maintaining pertinence in future generations. “This will open seeds at MARCORLOGCOM and MDMC to make sure a tree grows that takes us to 2030 and beyond,” Rivera said. See Marine Corps, Page 16

AUTOBODYNEWS.COM Vol. 12 / Issue 5 / July 2021

Toyota Says It’s Still Too Soon to Focus on Electric Cars by Steven Loveday, Inside EVs

Toyota continues to assert its vehicle lineup will offer a variety of options over the next 30 years, a stance it reiterated at the company’s annual shareholders meeting.

Toyota has been pushing hybrids and hydrogen for years, and it still insists it’s not time to focus on

electric cars. An investor asked during the meeting why Toyota, the world’s largest automaker, has a different view from that of Honda. The competing Japanese brand has set a goal to have a fully electric lineup by 2040. Toyota Director Shigeki Terashi, who joined the call from Toyota’s Aichi headquarters, reportedly replied, “It’s too early to concentrate on one option.” Terashi added between now and 2050, the brand needs to offer mulSee Focus on Electric Cars, Page 12

Allstate vs. AGA Lawsuit Continues Thousands of pages of documents have been filed with the U.S. District Court of the Middle District of Florida concerning more than 3,000 windshield damage claims in the case of Allstate Insurance and its related entities (Allstate) vs. Auto Glass America and its owner, Charles Isaly (AGA). In addition to building a case for each side, those documents provide interesting details about how each side functions and how it believes the other side does as well. For example, Allstate’s trial brief of March 8 contends that several years ago, Isaly decided AGA would no longer follow Allstate’s claims reporting procedures. Rather, the brief says, AGA calls either an Allstate agent or Allstate’s 800 customer service number to confirm the insured has comprehensive coverage. It also alleges AGA’s technicians request an insured’s signature on a work order that does not include the prices to be charged for parts or labor, but does include an assignment of benefits (AOB). Allstate also says AGA does not

currently nor has it performed windshield repairs since 2014, a fact later confirmed by Isaly. The brief goes on to say AGA charges Allstate more than it charges any other insurance company and AGA’s invoices to the insurer reflect a discount of -47% of the NAGS list price. A discount of a negative number is actually an upcharge, and Allstate’s brief argues “there is no viable argument that a 47% up charge for the windshield part is competitive, reasonable or market rate.” The trial brief filed by Allstate asks for more than monetary damages. It asks for equitable relief in the form of a declaratory judgement deploring AGA’s practices as deceptive, unfair, unconscionable and in violation of Florida law and FTC rules. It further asks the court to require AGA follow Allstate’s procedures by providing the first notice of loss to the insurer before repairing or replacing any windshield for its insured. Allstate also wants the court to require AGA refrain from telling See Allstate vs. AGA, Page 6

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REGIONAL

to Powertrains ��39

Amelia Island Auctions: Promising Signs for Collector Car Market ��20 CARSTAR Myrtle Beach Opens in the Grand Strand ��6 Classic Car Museum Owner Sentenced in Wire Fraud Scheme ��14 Classic Collision Continues Expansion in Florida with Another Multi-Shop Acquisition ��18 Classic Collision Expands with Florida Repair Center Acquisition ��18 Farm Bureau Insurance of Tennessee is Southeast Region’s Best in J.D. Power Customer Satisfaction Study ��22 FDP Presents Scholarships to High School Students in Honor of Longtime Employees ��22 Holman Motorcars in FL Hosts Rolls-Royce Enhanced by Contemporary Artist ��10 Marine Corps Officials Break Ground on New Welding and Auto Body Repair Shop in GA ��1 NABC F.R.E.E. Program, WIN Showcase Female-Led Extrication Education Team ��14 Sedgwick Grows Automotive Claims Solutions with Two Strategic Acquisitions ��21 Steve’s Paint and Body Shop in Bessemer City, NC, Celebrates 50 Years of Business ��8 Tesla Lawsuit Filed Over Death of Naibel Benavides Leon ��20 Total Car Franchising Corporation Opens New CarLove Franchise in Atlanta ��10

NATIONAL Allstate vs. AGA Lawsuit Continues ��1 asTech Acquires Mobile Tech RX ��21 Auto Body Shops Asked to Submit Experiences with SRS Inspections ��1 Auto Care Association’s Auto Care Caucus Renewed with 117th U.S. Congress ��30 Average Age of U.S. Cars Reaches All-Time Record of 12.1 Years ��42

Explosive Airbags ��44 Boyd Group Has Slower Start to 2021 ��42

Despite $18 Billion in Premium Relief, J.D. Power Finds ��4

Cox Automotive Study Examines Best Practices of Dealerships Thriving in

Driverless Cars Make People Feel Less Safe:

Repair Diagnostics ��28 Sisk - Collision Training on ADAS, EVs, Total Losses and Phone Skills at ASA’s X50 Conference ��34 Yoswick - HLDI Shows Impact on Claims from Auto-Emergency Braking, Changes

American Icon Automotive Finishes �� 18

Insta Finish �� 11

AutoNation Collision Parts �� 9

Jim Cogdill Chrysler-Dodge-Jeep-Ram �� 16

AutoNation Ford-Lincoln �� 37

John Heister Automotive �� 36

AutoNation Ford-Memphis �� 32

Kia Motors Wholesale Parts Dealers �� 43

Axalta Coating Systems �� 6

Landers Chrysler-Dodge-Jeep-Ram �� 20

BMW Wholesale Parts Dealers �� 44

LKQ Corporation �� 5

Car-O-Liner �� 13

Mazda Wholesale Parts Dealers �� 44

Certified Automotive Parts Association �� 30

Mercedes-Benz of Cutler Bay �� 33

City Kia of Greater Orlando �� 38

Mercedes-Benz Wholesale Parts Dealers �� 42

Classifieds �� 46

Miami Lakes Automall �� 27

Study ��4

Colad/EMM Specialties �� 48

MINI of Charleston �� 38

Eckler’s Automotive �� 8

MINI Wholesale Parts Dealers �� 44

Equalizer Industries Inc. �� 12

MOPAR Wholesale Parts Dealers �� 31

Florida Filtration & Spray Booth Services �� 14

Pro Spot International �� 17

Ford Wholesale Parts Dealers �� 45

Rick Hendrick Chevrolet Naples �� 33

GM Wholesale Parts Dealers �� 40

Riverside Ford-Lincoln �� 28

Gus Machado Ford �� 26

SATA Dan-Am Company �� 19

Harper Volkswagen �� 22

Sherwin-Wiliams Automotive Finishes �� 2

Hendrick Automotive Group �� 35

Sorbothane Soft-Blow Mallet �� 10

Hendrick BMW/MINI �� 7

Southside Kia �� 29

Hendrick Honda Pompano Beach �� 36

Spanesi Americas �� 15

Hendrick Kia Cary �� 21

Subaru Wholesale Parts Dealers �� 39

Hendrick Kia Concord �� 21

Tameron Hyundai �� 32

Hendrick Volvo Cars of Charleston �� 38

Volkswagen Wholesale Parts Dealers �� 47

Ford Partners with Mile Auto ��37 Ford Reports Huge Growth in EV Sales, Best May for SUV Sales Since 2003 ��37 GM Vehicles Recalled for Airbag Warning Lights ��30 Hertz’s Reorganization Plan OK’d by Bankruptcy Court ��47 I-CAR Supports Inter-Industry’s First OEM

Lamborghini Outlines Massive $1.8 Billion

Vehicle Tech’s Relation to Collision

Hyundai Wholesale Parts Dealers �� 45

an Accelerated Digital Landscape ��47

Anderson - Scanning—It’s Not Just for

Produces a Podcast and Creates a Brand ��32

Audi Wholesale Parts Dealers �� 41

Autobody News P.O. Box 1516 Carlsbad, CA 92018 (800) 699-8251 (760) 603-3229 Fax www.autobodynews.com editor@autobodynews.com

CIF Announces Axalta as Annual Donor ��20

Jaguar XE Recalled for Missing Welds ��42

Phillips - Jake Rodenroth of asTech on

Serving Florida, Georgia, Alabama, Mississippi, Virginia, West Virginia, Tennessee, North Carolina, South Carolina and adjacent metro areas. Autobody News is a monthly publication for the autobody industry. Permission to reproduce in any form the material published in Autobody News must be obtained in writing from the publisher. ©2021 Adamantine Media LLC.

Car Insurance Customer Satisfaction Stalls

COLUMNISTS

Attanasio - Painter/Car Restorer Miguel Perez

Publisher & Editor: Jeremy Hayhurst General Manager: Barbara Davies Contributing Writers: John Yoswick, Janet Chaney, Toby Chess, Ed Attanasio, Chasidy Sisk, Stacey Phillips Advertising Sales: Joe Momber, Norman Morano, Johnny Barrett (800) 699-8251 Office Manager: Louise Tedesco Digital Marketing Manager: Bryan Malinski Art Director: Rodolfo Garcia Graphic Designer: Vicki Sitarz Online and Web Content Editor: Abby Andrews Accounting Manager: Heather Priddy Permissions Editor: Randi Scholtes Office Assistant: Dianne Pray

BMW 3-Series Vehicles Recalled Over

Glass Repair Certification Program ��44

DTCs Anymore (And Never Was) ��38

INDEX OF ADVERTISERS

CONTENTS

Plan to Shift to Electrification ��46 Lordstown Motors Explains It Has a Lot of Real Orders Too ��36 Registration Open for 2021 AWDA Conference ��41 Research Shows Auto Care Industry Expected to Reach $477B by 2024 ��45 Toyota Says It’s Still Too Soon to Focus on Electric Cars ��1 USAA to Acquire Noblr, Inc. ��4 Will We Have Enough Juice to Get Us to an All-EV World by 2035? ��26

Honda-Acura Wholesale Parts Dealers �23, 24-25

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Car Insurance Customer Satisfaction Stalls Despite $18 Billion in Premium Relief, J.D. Power Finds The auto insurance industry voluntarily returned more than $18 billion in auto insurance premiums to customers in 2020 to address the sharp decline in miles driven during the COVID-19 pandemic. Despite the magnitude of this historic relief effort, the J.D. Power 2021 U.S. Auto Insurance Study, released June 15, finds overall customer satisfaction with auto insurers is flat, following four consecutive years of improvement. “What we’re seeing in this year’s study is a case of insurers delivering with their actions but missing the mark on effective communication to their customers,” said Robert Lajdziak, senior consultant for insurance intelligence at J.D. Power. “The refunds provided to customers during the pandemic were significant, representing nearly 7% of total industry premiums, but only half of customers were even aware of them. “Worse, when customers needed to communicate with their insurers, either via phone, website or chat, many came away feeling less satisfied with the result than in the past.” Following are some of the key

findings of the 2021 study: Overall satisfaction stagnates: Overall customer satisfaction with auto insurance providers is 835, on a 1,000-point scale, this year, unchanged from a year ago. This is the first time since 2017 that auto insurance customer satisfaction has not improved year over year. Insurers miss the mark in communication: While price is the lowest-scoring factor in the study, it has seen the greatest improvement year over year. This improvement is overshadowed by significant declines in satisfaction with interaction. Satisfaction with the assisted online channel, which is comprised of chat and e-mail functions, declined 12 points from a year ago, with decreases also seen in contact center (-5), website (-3) and local agent (-1). Customer awareness of COVID-19 relief efforts boosts brand perception: As of March, just 52% of auto insurance customers were aware of their insurer’s COVID-19 premium relief efforts. Overall brand impressions are significantly higher among customers who were aware of these relief efforts, which was also

reflected in their intent to renew their policy. Pandemic as catalyst to telematics growth: More than one-third (34%) of auto insurance customers say they are willing to try usage-based insurance (UBI), which uses telematics technology to track customer driving patterns and includes discounts based on safe driving and fewer miles driven. Currently, 16% of customers say they are already using the technology, which is double the volume seen just five years ago and is the largest year-over-year increase to date. Ready to switch at hint of a premium increase: Nearly half (45%) of auto insurance customers say they would switch if they could receive a savings of $200 or less. Of those who recently switched due to a premium increase, 57% did so for increases of $200 or less. The study measures customer satisfaction with auto insurance in 11 geographic regions. Highest-ranking auto insurers and scores, by region, are as follows: California: Wawanesa (853) (second consecutive year) Central: Shelter (856)

Driverless Cars Make People Feel Less Safe: Study by David A. Wood, CarComplaints.com

Driverless cars scare people, a fact repeated in multiple studies and reports which collected consumer attitudes about sharing the roads with autonomous vehicles. In the latest research conducted by AAA and the Technology and Public Purpose Project at Harvard Kennedy School’s Belfer Center for Science and International Affairs, only a small percentage of consumers believe driverless vehicles will make the roads safer. According to researchers, 38 states and the District of Columbia have active programs that allow self-driving test vehicles to operate on public roads, a fact many consumers know nothing about. Support of these programs was split, with 34% of drivers in favor, 36% opposed and 31% unsure about allowing autonomous test vehicles on the highways. Research results from AAA and Harvard indicate the majority of the public believes sharing the roads with driverless

cars will make the roads less safe, no matter if the autonomous vehicles are cars or tractor-trailers.

Sharing the road with: • Self-driving semi-trucks: Feel less safe: 53% / Feel more safe: 11% • Small, self-driving delivery vehicles: Feel less safe: 43% / Feel more safe: 12% • Self-driving vehicles on a highway: Feel less safe: 47% / Feel more safe: 13% • Self-driving vehicles on local roads: Feel less safe: 44% / Feel

4 JULY 2021 AUTOBODY NEWS / autobodynews.com

Florida: State Farm (848) Mid-Atlantic: NJM Insurance Co. (867) New England: Amica Mutual (867) (ninth consecutive year) New York: State Farm (859) (second consecutive year) North Central: Erie Insurance (857) Northwest: State Farm (844) Southeast: Farm Bureau Insurance-Tennessee (883) (10th consecutive year) Southwest: American Family (850) (second consecutive year) Texas: Texas Farm Bureau (850) (10th consecutive year) The 2021 U.S. Auto Insurance Study, now in its 22nd year, examines customer satisfaction in five factors, in alphabetical order: billing process and policy information; claims; interaction; policy offerings; and price. The study is based on responses from 38,938 auto insurance customers and was fielded in February and March. For more information about the U.S. Auto Insurance Study, visit https://www.jdpower.com/business/ resource/jd-power-us-auto-insurance-satisfaction-study. Source: J.D. Power

more safe: 13% However, research participants say there are things that would at least make them feel safer sharing the roads with autonomous vehicles. Simply clearly marking a driverless car as a self-driving car would make about 60% of the public feel safer, as would having designated driving lanes for autonomous vehicles. About 30% of respondents say they would feel more comfortable if there were restrictions on the times of day or days of the week when self-driving vehicles can use the roads. Researchers also learned about 50% of the public believes consumers should be educated about how to behave around driverless cars. And a self-driving car should also operate consistently and provide predictable behavior, something which should be defined by safety regulators.

USAA to Acquire Noblr, Inc. Sunbit, the buy now, pay later (BNPL) technology for everyday needs and services, announced June 8 it has entered into a relationship with Mazda North American Operations (MNAO) as the recommended financing solution for MNAO’s 550 dealership auto parts and service centers. Sunbit technology is currently available in 111 MNAO dealerships. During a limited rollout in 2020, Sunbit’s solution generated more than $2 million in revenue for participating Mazda dealership parts and service centers. Sunbit’s technology, designed for in-person and contactless transactions with a digital approval process within 30 seconds with nearly no data entry, does not perform hard credit checks for applicants, making it an ideal financing solution at dealerships. Source: Sunbit

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Continued from Cover

Allstate vs. AGA Allstate’s insured they do not need to report the windshield claim to Allstate or windshield repairs cannot safely be made, or Allstate prefers replacement over repairs for all windshield damage. It wants AGA to also provide a written explanation of what an AOB is before the insured is asked to sign one. On Feb. 5, Allstate’s attorneys also filed a number of motions in limine, the first to preclude some of the testimony of Isaly. A motion in limine is one that needs to be decided before the trial takes place. This motion argues statements Isaly made regarding calls among AGA’s customer service, its insured and its reps, as well as statements about Safelite Solutions and Safelite Autoglass, should be excluded. At issue is a declaration by Isaly about such calls and one statement in which he said, “It is common knowledge that Safelite Solutions is a related company to Safelite Auto-

CARSTAR Myrtle Beach Opens in the Grand Strand CARSTAR, North America’s largest multi-store network of independently owned collision repair facilities, announced the opening of CARSTAR Myrtle Beach, located at 1560 Highway 501, Myrtle Beach, SC 29577.

CARSTAR Myrtle Beach owner Ken Depper grew up in the industry, as his father owned a body shop. Depper started spending summers in the facility at the age of 12. Depper’s interest stayed in the shop ever since, even walk-

ing there after school from the bus stop. “My first job outside of my dad’sshop was at CARSTAR and I always liked the company and knew some of the core team members,” said Depper. “As a former technician and painter, I understand both the shop needs and our business needs. It was an easy choice to join CARSTAR, knowing the support the company provides and the resources my team would now have access to.” CARSTAR Myrtle Beach is a 7,500-square foot facility, fully tooled with the industry’s latest in equipment and up-to-date on the latest repair standards. Currently working towards its I-CAR Gold certification, the team at CARSTAR Myrtle Beach is always working to outperform their past selves in the quality of work they deliver to its customers. “Our network of owners has a passion for their repair quality because they live and work in the communities they support,” said Dean Fisher, collision group president, Driven Brands. “Body shops

need more training and education than ever before. Owners join our network because they don’t want to sell their business, but they need help keeping up with industry advancements, so they can continue serving their customers with the highest level of repair quality.” As a locally owned business, Depper and his team work to give back to Myrtle Beach through various charitable initiatives and community sponsorships. The team is excited to continue serving Myrtle Beach as a locally owned and operated facility, with boosted support and capabilities. Please join us in celebrating the opening of CARSTAR Myrtle Beach! CARSTAR Myrtle Beach 1560 Highway 501 Myrtle Beach, SC 29577 (843) 796-1003 Monday to Friday: 8 a.m.-5 p.m. For more information on CARSTAR visit CARSTAR.com. Source: CARSTAR

See Allstate vs. AGA, Page 8

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Steve’s Paint and Body Shop in Bessemer City, NC, Celebrates 50 Years of Business by Gavin Stewart, The Gaston Gazette

Things were a little more affordable in 1971, recalls Steve Jenkins, who opened Steve’s Paint and Body Shop in Bessemer City, NC, the same year. “Back in the day, you could buy enough paint to do a car for around $200. Today, my clearcoat costs $200. Things have changed,” said Jenkins, a lifelong resident of Bessemer City. At age 24, he built a garage with three bays behind his home along Gastonia Highway. This year marks 50 years since Jenkins first rolled his garage doors open for business. There, he fixes fender benders—a service that has only increased in demand as more cars hit the road, according to Jenkins—and offers custom paint jobs for cars and motorcycles. Jenkins, a hot rodder from the moment he received a driver’s license, couldn’t afford to have his cars painted professionally. He began dabbling in auto paint at his father’s service station along Gastonia Highway, now home to Eaves

Farm Supply and Hillbilly Candle Factory. “I figured after so many years, if I’m going to do this, I might as well do it [as a business],” Jenkins said during a celebration for Steve’s Paint and Body Shop on June 4.

fully restored with some aftermarket modifications by Bessemer City resident Gary Stewart. Stewart is the grandfather of Gazette reporter Gavin Stewart, who recently drove the vintage Mercury in his wedding. Though he’s a one-man band nowadays, Jenkins taught the trade to many people who worked for his shop over the years. Most of those former employees became pros and moved on to open their own shops in the area. The secret to keeping the business afloat all these years? TreatSteve and Sandy Jenkins stand outside their ing all vehicles with the same shop on Gastonia Highway in Bessemer City, NC, as Steve’s Paint and Body celebrates 50 years level of care, according to Jenin business. Credit: Mike Hensdill/The Gaston kins. Gazette “I treat it like everything that comes into that shop belongs to Jenkins also painted cars and me. I try to make everybody’s car transporters for NASCAR in suit me before it suits them. If I’m the 1980s before the league of not happy, it doesn’t leave,” he stock race cars transitioned from said. Jenkins, now 74, doesn’t plan traditional auto paint to vinyl wrap, commonly found on commer- to retire anytime soon, though he’s open to the idea. As long as he recial vehicles. In 1990, Jenkins painted a mains healthy, he says he plans 1951 Mercury Coupe, which was to continue working.

Allstate vs. AGA glass, the largest windshield replacement company in the United States and AGA’s biggest competition. It is also common knowledge that Safelite Solutions runs a network of glass shops who agree to charge and accept discounted rates in exchange for job referrals from Safelite Solutions.” Allstate’s attorneys contend Isaly lacks personal knowledge of these issues and, because of this, should be precluded from testifying about them at trial. AGA’s response filed with the court says Allstate has overlooked the fact Isaly is the owner and officer of AGA and is permitted to testify to his business practices and his dealings with both Allstate and Safelite, as well as industry standards and practices. The second motion in limine seeks to keep AGA from accusing Allstate and/or Safelite Solutions from “accusing or suggesting in any See Allstate vs. AGA, Page 10

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Total Car Franchising Corporation Opens New CarLove Franchise in Atlanta Total Car Franchising Corporation, the franchisor of Colors on Parade and CarLove mobile automotive reconditioning, announced the opening of its newest franchise unit in Atlanta, GA. Servicing the Metro Atlanta area, the new franchise is owned and operated by Christiaan Marais and his stepson, Chris Namor.

Working alongside area developer Rob Ocello, the father-son duo will bring EcoSmart mobile automotive paint and dent repair services to their community at an affordable price. In addition, the new franchise will provide car dealerships with the highest quality reconditioning services for their inventory with a quick turnaround time. Originally from South Afri-

ca, Marais has been involved in just about every aspect of mobile auto reconditioning over the past 20 years. Throughout his career, he has worked for several well-known brands such as Dent Werks, Doctor Leather and Dent Wizard. Most recently, he has been running his own retail location in Cumming, GA, Five Star Dents & Dings, specializing in automotive paintless dent repair. “I realized the business potential to add paint repair to our existing services and wanted to be part of a reputable and established company,” said Marais. “I’m excited about the opportunity for growth and to help our customers by providing a much needed service.” Namor, Marais’s stepson and newest paint repair technician, recently completed Total Car Franchising Corporation’s paint repair training and certification program at the company’s headquarters in Conway, SC. They are now back in Atlanta getting their new CarLove business underway. “As we continue to grow Colors on Parade & CarLove with more locations across the country, it is a

goal to make convenient, affordable mobile paint and dent repair services accessible for our customers,” said Jeff Cox, president of Total Car Franchising Corporation. “A key component to doing so is our group of passionate franchisees who provide a high-level of expertise and professionalism to our customers. We are excited to welcome Christiaan Marais and Chris Namor to the team and look forward to their success with CarLove!” With more than 30 years of experience and over 250 operating franchises across the U.S., Total Car Franchising Corporation is consistently ranked by Entrepreneur magazine as one of the nation’s top automotive franchise systems. The company’s extensive training and certification process allows new franchisees to provide customer services safely onsite while using an exclusive process. Franchise opportunities still remain available throughout the U.S. More information can be found at www.franchising.colorsonparade.com. Source: Total Car Franchising Corporation

Allstate vs. AGA way that [they] ‘steer’ Allstate’s insureds to auto glass shops other than AGA.” “There is no admissible evidence of any so-called ‘steering,’” reads the motion, “and the term itself is prejudicial.” Allstate further wants the court to order neither the defendants nor their witnesses ever use the term “steering” in their testimony. “Allstate fails to demonstrate any real risk of jury confusion or prejudice,” said AGA’s lawyers in their response to the motion. “Allstate may feel prejudiced because the evidence of steering is overwhelmingly harmful to Allstate’s case …” The response also says the most probative evidence of steering resides in evidence currently deemed confidential because “they reveal Allstate and Safelite Solutions secret agreements and business arrangements, telephone scripting, See Allstate vs. AGA, Page 12

Holman Motorcars in FL Hosts Rolls-Royce Enhanced by Contemporary Artist by Auto Remarketing Staff

There’s not been an exotic model quite like this one in a dealership showroom.During an exclusive event at Holman Motorcars, hosted in partnership with Supercar Rooms Miami, renowned contemporary artist Bradley Theodore transformed a Rolls-Royce Ghost into a one-of-a-kind work of art, adding his trademark colorful flair to this iconic vehicle that the company said embodies the pinnacle of luxury. The dealership highlighted the Rolls-Royce featuring Theodore’s distinct artistic stylings will be on display at Holman Motorcars in Fort Lauderdale, FL, for a limited time, and guests are invited to visit the dealership through June 18 to get an up-close-and-personal view of this vehicle. The prestigious Rolls-Royce Ghost served as Theodore’s canvas for this collaboration with Holman Motorcars. Over the course of two days, Theodore added his contemporary street style to the vehicle,

evolving the Rolls-Royce Ghost into his latest masterpiece, “creating a truly unique fusion of artistic expression and automotive craftsmanship,” according to a dealership news release. A staple of the South Florida artistic landscape, Holman mentioned Theodore is best known for his colorful paintings and prints of fashion icons. Theodore is a multi-disciplinary artist whose iconoclastic approach to art can be found internationally from 10-foot murals on the streets of New York, Tokyo and Milan to sold-out solo exhibits in London. “Evoking the universality of color, skeletons and celebrity, Theodore distills figures to skeletal forms, a confrontation that the artist calls ‘an act of living,’ pushing color to express memory, emotion and lived experiences,” Holman said. For additional information, visit HolmanMotorcars.com. To learn more about Theodore, visit BradleyTheodore.com.

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Allstate vs. AGA

SRS Inspections

telephone recordings and agreements between Allstate and other independent shops that all contain specific evidence of steering.” The third motion in limine seeks to keep defendants from offering any arguments based on financial documents AGA did not produce for the case. The defendant’s requirement to production financial documents has been the subject of a number of hearings in the case. AGA’s attorneys dismissed this argument as an attempt to re-litigate a different motion called a compel. The fourth motion in limine seeks to exclude argument regarding the lack of evidence that specific windshields should have been repaired rather than replaced. “Allstate … plans to introduce into evidence at trial, statistical evidence demonstrating that AGA should have been performing windshield repairs instead of replacements at least 20% to 30% of the time.”

that are needed, and press for some level of standardization among the automakers. To do this, VanHulle said, “We need more data on what’s being found in the real world. Right now we have a lot of anecdotal examples of strange things that were found during inspections,” such as when a shop discovers a “bad actor” has installed resistors on a vehicle to mask that an airbag module is missing or inoperable. “We need a lot more than just those anecdotal examples,” VanHulle said. I-CAR has posted a brief form (https://rts.i-car.com/srs-inspection-feedback-form) shops can use to submit information on the SRS inspections they perform, what triggered the inspections and what was found. “And pictures, pictures, pictures,” VanHulle said. “I’m sure any of the people who deal with estimating have seen not very good pictures

See Allstate vs. AGA, Page 14

Continued from Cover

Focus on Electric Cars tiple options, such as hybrids and fuel-cell cars. He also said these vehicle types need to compete with one another to offer people the best options. While Ford, GM and Volkswagen have made it clear they’re going “all in” related to a future of EVs, Toyota argues battery-powered cars aren’t necessarily the way of the future. Moreover, it believes “non-electric cars” will continue to thrive in markets across the globe. “Some people love battery-electric vehicles but others don’t see the current technologies as convenient,” Toyota’s Chief Technology Officer Masahiko Maeda explained. “In the end what matters is what cus-

tomers choose.” As we previously reported, Toyota is saying publically it will leave the decision to car shoppers. However, Toyota isn’t just citing a lack of demand for EVs as the only concern. Rather, according to Automotive News, it also suggests the materials needed to make EV batteries “could account for a larger share of total emissions than those from tailpipes.” Nonetheless, Toyota did say it will make an effort to reduce production costs associated with EVs, though it will do so by producing them alongside other vehicles that don’t use battery-electric powertrains. Toyota says to truly reduce carbon emissions, automakers must look at a vehicle’s entire lifecycle, not just its tailpipe emissions.

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from the industry. If you give us a picture that is so extremely close I have no idea what part that is even on, it’s not a great picture. I need ones with geography. I need to be able to see what the part looks like

I-CAR has posted a brief form they are asking shops to use to submit information on the SRS inspections they perform

and where it’s located, and have it as clear as it can be.” By providing real-world findings to the OEMs, he said, the automakers may be able to include common things to look for during inspections, and it could be incorporated into I-CAR training. Vague references to “inspect for damage”

could be replaced by step-by-step processes. “The more data we can get, the more accurate information we can then have to work with,” VanHulle said. “This is not something we’re going to do for a week. This is a long-term data gathering.” I-CAR’s effort was welcomed by Jason Bartanen, vice chairman of the Collision Industry Conference (CIC) Emerging Technologies Committee. He points to one automaker whose procedures call for removing an undeployed airbag to inspect it, then reinstall it using new fasteners. “But they only service the fasteners with the airbag,” Bartanen said. “That presents huge obstacles. You’re essentially replacing an undeployed airbag because we had to take it out and inspect it. That’s where I think we can do a lot of good with this. “The OEMs have shown that they are responsive. The more information we can get them, the ideas for solutions…They are open to it and they’ve shown a willingness to change.”

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Allstate vs. AGA AGA responds by saying Allstate itself admits it is unable to present evidence of specific windshields that should have been repaired, and this is an attempt to introduce irrelevant discovery issues and “vague oblique implications of spoliation into the trial…” Allstate asks the court to exclude evidence of its new policy language in a fifth motion in limine. The motion details what the policy’s limits of liability were at the time the complaint was filed, versus how they, the insurer, changed them in September 2019. The motion argues the new endorsement is not relevant to this claim. Allstate’s limit of liability changed in September 2019. As detailed in court documents: Allstate Limits of Liability Prior to September 2019 Limit of Liability

NABC F.R.E.E. Program, WIN Showcase Female-Led Extrication Education Team When drivers in Warner Robins, GA, and surrounding areas have an accident, they rely on the community’s first responders to be there to help them to safety. And when they are driving a late-model vehicle with numerous airbags, advanced technology or electric/hybrid engines, the rescue can be more challenging. The National Auto Body Council (NABC) First Responder Emergency Education (F.R.E.E.) program helps prepare local first responder teams to rescue accident victims from these late-model vehicles. The program provides education and live demonstrations on working with high-strength steel, airbags, advanced restraint systems, onboard technology and safety around alternative fuel vehicles. Five Star Collision Centers, at 999 Russell Pkwy in Warner Robins, hosted first responders May 22 from Warner Robins Fire Department, Houston County Fire Department, Crawford Fire Department, Monroe County Fire Department and Macon-Bibb County Fire

Department for a special NABC F.R.E.E. education and guidance program. “As a member of the community, we want to give back where we live and do business,” said

Charel Lock, operations manager for Five Star Collision. “We are big advocates of training for our team members, and any time we can help provide training to help others advance their skills, we are there. We all want to help make drivers safer on the road, and our first responders are critical to that.”

Through a partnership with the Women’s Industry Network (WIN) and HURST Jaws of Life, the NABC F.R.E.E. event showcased the female-led extrication education team providing the demonstration, highlighting the role women play in emergency rescues. GEICO donated the vehicles for the hands-on demonstration and HURST Jaws of Life provided the tools and instructors. Five Star Ford provided a 2021 Ford Mustang Mach-E electric vehicle for demonstration. Axalta and Paint Master provided a cookout for the first responders. “Giving back to the community and helping first responders save lives is a tremendous investment of time and resources,” said George Avery, program manager for NABC F.R.E.E. “Thank you to HURST Jaws of Life and GEICO Insurance, whose support made the event possible. A special thanks to Charel Lock for hosting the event and coordinating all the details to make the event a success.” Source: NABC

See Allstate vs. AGA, Page 18

Classic Car Museum Owner Sentenced in Wire Fraud Scheme by Steven Symes, Motorious

The U.S. Attorney’s Office for the Southern District of West Virginia said Ricky V. McLaughlin, who operated McLaughlin Motor Car Museum in Parkersburg, WV, has been sentenced by a judge to 87 months in prison. McLaughlin was on trial for what prosecutors said was a wire fraud scheme designed to defraud people who wanted to buy classic cars from the museum. According to the U.S. Attorney’s Office, for more than four years, McLaughlin stole money and defrauded 17 different customers out of more than $1 million. In court filings, it was detailed out how the man would buy, restore and then sell classic cars, particularly Pontiac Trans Ams. However, at least some customers never received the car or the title after making payment. Even worse, prosecutors alleged McLaughlin would sometimes sell the same car to multiple customers. In a scheme we’ve also seen, he would sell vehicles which were on consignment, then refuse to

send the sale proceeds to the owners. In addition to serving more than seven years in prison, McLaughlin has been ordered to pay more than $700,000 in restitution to his victims. Obviously, that amount doesn’t cover all the money lost, so not everyone will be made financially whole. If you’re not infuriated reading about this case, likely you haven’t been swindled or know someone who has. These sorts of schemes happen far too often, so it’s great to hear about this man facing consequences. It also highlights the value of working with established classic car dealers which have known reputations. You might pay a little more than for the “sweet” deal through another place, but you’ll actually get the car without having to go to court and engage in an expensive, exhausting legal battle. No matter how you’re purchasing a classic car, or any vehicle, always proceed with caution. It seems the schemes have only increased recently, so do all you can to not become the next victim.

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Marine Corps “It will make us relevant not just to the local community, but to our nation.” Facilities Engineering and Acquisitions Division Director Lt. Delroy McEwan said, due to the

body repair shops will [now] be able to meet production commitments for essential warfighting equipment. McEwan noted other MDMC PPA production functions will be able to move out of temporary spaces and back into areas designed for those functions, allowing other production facilities to complete their essential functions.

“Today, a manufacturing and defense industrial base milestone takes shape,” — Maj. Gen. Joseph F. Shrader introduction of the Mine Resistant Ambush Protected family of vehicles, the service life extension of the amphibious assault vehicle and overseas contingency operations has increased the demand for welding, fabrication and light/heavy body repairs. “As a result, we have exceeded the capacity of the existing facilities,” McEwan said. “This new facility will meet and exceed the demand for current and future welding fabrication. The fabrication, welding and

“Production Plant Albany plays a critical role in production and fabrication of armor systems for a variety of vehicles. Without adequate facilities production, these systems will not meet the demands of the Marine Corps,” he added. The project was funded during the Fiscal Year 2019 military construction process and is expected to be complete by May 2022. The new building will house support spaces such as administrative offices, break areas and shower facilities for per-

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sonnel. “Today, a manufacturing and defense industrial base milestone takes shape,” Maj. Gen. Joseph F. Shrader, commanding general, MARCORLOGCOM, said at the groundbreaking. “The rich and vibrant red Georgia clay you see behind us will soon be the bedrock supporting a new building. Not just any building, but the welding and body shop facilities that will globally support the United States Marines well into the 21st century.” Executive Order 13806 was signed July 21, 2017, directing the assessment and strengthening of the nation’s manufacturing and defense industrial base and chain resiliency. Leaders of the defense industrial base made a commitment to Congress and the American people after the assessment’s completion in 2018. “It was a promise to maintain readiness and the ability to surge in response to crisis or conflict,” Shrader said. “This construction project demonstrates progress towards fulfilling that promise and directly relates to the capacity, capa-

bilities and resiliency of the defense industrial base.” Gen. David H. Berger, commandant of the Marine Corps, made force design his top priority across the Corps when he released his planning guidance in 2019. In March 2020, he released Force Design 2030 and identified his vision for the future. Marine Corps Logistics Command remains dedicated to that strategic vision. “Fast forward to 2021 and Albany, GA, where a piece of the Commandant’s strategic vision―to have a Marine Corps that is the best organized, trained and equipped―is becoming a reality,” Shrader said in concluding his remarks. Some of the special equipment in the facility will include overhead cranes, jib cranes and exhaust systems in support of industrial production activity.

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Allstate vs. AGA Our limit of liability is the least of: 1. The actual cash value of the property at the time of the loss, which may include a deduction for depreciation; 2. The cost to repair or replace as determined by us, the property or part to its physical condition at the time of loss using parts produced by or for the vehicle’s manufacturer, or parts from other sources subject to applicable state laws and regulations; or 3. $500 if the loss is to a covered trailer not described on the Policy Declarations. Allstate’s New Limits of Liability Language September 2019 Limit of Liability Unless otherwise agreed to by us and your shop of choice, our limit of liability for losses involving only glass breakage or damage will be: For Windshield Replacements: Windshield Glass: 50% of the pricing for like kind and quality windshield glass as set forth in the Na-

tional Auto Glass Specification (NAGS) on the date the approved windshield installation occurred. Windshield Replacement Labor Rate: $40 per recommended hour as set forth in the National Auto Glass Specifications (NAGS) on the date the windshield installation occurred. High Modulus/Non-Conduction Urethane: $20 for 1.0 kit, $30 for 1.5 kits, $40 for 2.0 kits. All Other Urethanes: $15 per kit. Moulding: 80% of the manufacturer list pricing for like kind and quality molding on the date the approved windshield installation occurred. For Windshield Repairs: $60 single payment per windshield. You have the right to choose any glass repair facility or location. At your request, we will identify a glass repair facility that will perform the repairs at the price shown on the schedule. All other policy terms and conditions apply. AGA argues in its response Allstate’s motion should be denied because it is irrelevant and because the insurer’s new policy language establishes it could have avoided “the harm it complains of and that there is no threat of future harm.”

Classic Collision Expands with Florida Repair Center Acquisition Classic Collision, LLC, a national multi-site collision repair operator based in Atlanta, announced the acquisition of Prestige Auto Collision in Cutler Bay, FL. Classic Collision now operates a total of 74 repair centers in Georgia, Florida, Alabama, South Carolina, California and Alaska. Prestige Auto Collision’s friendly staff and expert technicians have been serving the Miami community for many years. “We are excited to be part of Classic’s growth in Florida and will continue providing high-qual-

ity repairs to the customers in our community,” said Abdiel Martinez, former owner of Prestige Auto. “We are pleased to welcome the Prestige Auto Collision team to the Classic Collision family,” said Toan Nguyen, CEO of Classic Collision. “We believe their expertise in the collision repair industry will greatly contribute toward expanding our service offerings. Throughout the year we will continue to advance our presence and growth across the country.” Source: Classic Collision

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Classic Collision Continues Expansion in Florida with Another Multi-Shop Acquisition Classic Collision, LLC, a leading national multi-site collision repair operator based in Atlanta, announced its newest acquisition of all four Mitchco Collision Repair centers in Florida. Classic Collision now operates 25 repair centers in Florida and a total of 78 nationwide in Georgia, Florida, Alabama, South Carolina, California and Alaska. Mitchco Collision Repair is a family-owned and operated auto repair business providing friendly and quality repairs to the entire Brevard County area. “We are excited to continue our growth and provide

high-quality repairs to the customers in our community under the Classic name,” said Dave Mitchell, former owner of Mitchco. “Mitchco Collision Repair centers are relatively new to the auto repair industry, but we are excited for their potential in the market, and we are pleased to welcome all of the team members to the Classic Collision family,” said Toan Nguyen, CEO of Classic Collision. “Throughout the year we will continue to advance our presence in this market and across the country.” Source: Classic Collision

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Amelia Island Auctions: Promising Signs for Collector Car Market by Mike Hanlon, New Atlas

The collector car auction marketplace returned to something resembling normality at Amelia Island, with RM-Sotheby’s and Bonhams returning to live audience auctions and both delivering promising results. Just RM-Sotheby’s and Bonhams held auctions with live audiences at Amelia Island this year; Gooding & Co sat it out. Comparing last year’s stats for those two live auctions with this year’s showed some appreciable and quite positive differences—such as 2021 grossing $61.3 million, up from the $57.2 million in 2020—but so much has changed in the total marketplace that we’re not sure attempting to compare this year’s Amelia Island auctions with 2020 offers any tangible insights. Needless to say, there will always be a marketplace for in-person auctions, but the world is a large place, and the inevitability of the online auctioning of all goods has been dramatically catalyzed by

the pandemic. The success of online collectible car auction site BringaTrailer over the last 12 months since the last Amelia Island is probably the greatest single influence in the changes taking place in the marketplace.

This 1929 Duesenberg Model J Murphy Torpedo Convertible Coupe sold for $5.725 million at RM-Sotheby’s Amelia Island Auction on May 22. Credit: RM-Sotheby’s

Instead of roughly 25% of the value of a sale going to the auction house, transacting the entire process online significantly reduces the frictional losses. The maximum a seller pays, including

professional photos, is $350, and if you win an auction on BringaTrailer, you pay the hammer price plus a 5% buyer’s premium capped at $5,000. Those changes to the “normal” process are massive. If your car hammers for $1 million at a traditional auction, you’ll get $875,000 and the purchaser will pay $1.125 million. On BringaTrailer, the same scenario will see you getting $999,501 and buyer would pay $1.005 million. That represents an economic imperative whose time has come. Whereas buyer’s fees are a relatively recent addition to the auction process, auction houses will be very reluctant to reframe their fees and that’s what happens when a disruptive technology comes along and disintermediates the major players of the previous era. Massive change is afoot, and as we have known for a century and a half, the species that survives is the one able best to adapt and adjust to the changing environment in which it finds itself.

Tesla Lawsuit Filed Over Death of Naibel Benavides Leon by David A. Wood, CarComplaints.com

A Tesla Model S crash in Florida has caused a lawsuit which alleges 22-year-old Naibel Benavides Leon was killed because the Model S Autopilot system failed. On April 25, 2019, George McGee was operating the 2019 Tesla Model S on CR-905A in Key Largo, FL, allegedly with Autopilot engaged. The lawsuit says McGee was relying on Autopilot “to detect obstacles in the roadway ahead of the Vehicle and reduce speed and/ or come to a complete stop when such obstacles were detected.” The lawsuit, filed by Neima Benavides, alleges the Tesla driver was looking at his phone and failed to notice an approaching intersection. Parked on the other side of the T-intersection was a Chevrolet Tahoe owned by Dawn Angulo and driven by her son, Dillon Angulo. Naibel Benavides Leon and Dillon Angulo were standing next to the Tahoe when the Tesla Model S continued through the intersec-

tion and hit the Tahoe at nearly 70 mph. The crash caused the Tahoe to rotate, hit and kill Naibel Benavides Leon, allegedly throwing her 75 feet into a wooded area. According to the wrongful death lawsuit, the Tesla Model S failed to detect the Chevy Tahoe even though it was parked directly in front of theTesla. The plaintiff says the Model S was defective and unsafe due to design defects, and the automaker allegedly knew a driver would use the car in the way McGee did. The crash and death allegedly exposed fatal defects in the way Autopilot was designed, “specifically regarding the method in which the system monitors driver engagement.” The Tesla Model S crash lawsuit was filed in the U.S. District Court for the Southern District of Florida: Neima Benavides, Representative of the Estate of Naibel Benavides Leon, deceased, vs. Tesla, Inc. a/k/a Tesla Florida, Inc. The plaintiff is represented by Poses & Poses, P.A.

CIF Announces Axalta as Annual Donor The Collision Industry Foundation (CIF) is delighted to announce Axalta Coating Systems has joined the CIF Annual Donor Program at the URGENT CARE level with a $5,000 pledge. The Annual Donor Program was designed to bring needed, recurring resources to CIF, so it can deliver on its mission to Answer the Call when those in the industry have been impacted by unforeseen catastrophic events. CIF depends solely on the generosity of donations to conduct its work. The CIF Annual Donor Program offers five levels of annual funding options; each comes with a suite of benefits to the donor throughout the calendar year. All donations to CIF are tax deductible. To become a CIF annual donor, visit www.collisionindustryfoundation.org or reach out via email to collisionindustryfoundation@gmail.com. Source: CIF

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Sedgwick Grows Automotive Claims Solutions with Two Strategic Acquisitions Sedgwick, a global provider of technology-enabled risk, benefits and integrated business solutions, announced it has acquired regional automotive appraisal companies Automotive Damage Appraisers of the Southwest (ADASW) and Metro Appraisal. These strategic acquisitions expand the reach and scale of Sedgwick’s growing auto claims division in the U.S. as the company continues to invest in building premier, end-to-end solutions for clients. Colleagues from both companies are now part of Sedgwick’s auto appraisal division. “We are excited to announce these strategic acquisitions and expand our solutions and footprint in the auto appraisal space,” said Chris Bakes, Sedgwick managing director for auto appraisals. “Adding ADASW and Metro to the Sedgwick family enhances our coastto-coast auto solutions team and reflects our commitment to providing comprehensive, tech-driven claims solutions for our clients.” ADASW is a regional inde-

pendent appraiser of damaged cars, heavy equipment and other vehicles. Founded in 1952, ADASW’s strong presence in Colorado, New Mexico and Texas expands Sedgwick’s auto claim offerings in the Southwest. “This partnership is a natural next step for the ADASW team; our long history serving customers in the Southwest region is well matched with Sedgwick’s global history in insurance claims,” said Barry Porter, president of ADASW. “We are thrilled to strengthen our combined network in the American Southwest and to become a part of the renowned Sedgwick organization.” Metro Appraisal is the largest provider of independent auto appraisals in the state of Florida. Founded in 1988 and based in the Tampa area, Metro and its team of more than 20 independent appraisers across Florida conduct approximately 50,000 damage appraisals each year. “The Florida appraisal market is host to a wide range of vehicle claims types, stemming from

our unpredictable and extreme weather and the high demand for construction,” said Scott Eskine, president of Metro Appraisal. “Our regional expertise, paired with Sedgwick’s national network of excellence in the claims space, will be the start of an exciting new chapter for the Metro team.” Sedgwick expanded into the auto appraisal space in 2020 with the acquisition of Nationwide Appraisals. Today, Sedgwick is the U.S. leader in high quality auto and heavy equipment appraisal solutions, with cutting-edge technology and a coast-to-coast network of more than 1,000 independent appraisers. More about Sedgwick’s auto appraisals solutions and services can be found at sedgwick.com/ autoappraisals. Source: Sedgwick

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asTech Acquires Mobile Tech RX Repairify, Inc. d/b/a asTech, a portfolio company of Kinderhook Industries, LLC, announced June 15 the acquisition of Mobile Tech RX. Mobile Tech RX is an automotive and collision reconditioning application that enables technicians to estimate, invoice, manage teams and collision workflow, process repair orders and capture data on-the-go through its mobile devices. Mobile Tech RX also provides instant damage pricing estimates using machine learning enabled AI and computer vision with dispatch functionality to their technicians across the country in their own marketplace. The company represents the 12th add-on acquisition for asTech and Kinderhook’s 112th automotive-related transaction. Financial terms of the transaction were not disclosed. Source: asTech

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Farm Bureau Insurance of Tennessee is Southeast Region’s Best in J.D. Power Customer Satisfaction Study For the 10th year in a row, Farm Bureau Insurance of Tennessee ranks highest among auto insurance providers in the Southeast Region in the J.D. Power 2021 U.S. Auto Insurance Study. Sixteen auto insurance providers were ranked in eight southeastern states: Alabama, Georgia, Kentucky, Louisiana, Mississippi, North Carolina, South Carolina and Tennessee. The study measured customer satisfaction with auto insurance companies across five factors: interaction, price, policy offerings, billing process and policy information, and claims. The average for the Southeast Region was 847; Farm Bureau Insurance of Tennessee scored 883. “Recognition by our customers through the J.D. Power study continues to be the strongest form of word-ofmouth advertising,” said Jeff Pannell, Farm Bureau Insur-

ance CEO. “People from all over the country are moving to Tennessee, and a decade of recognition by J.D. Power brings us to the attention of people who otherwise might not know about Farm Bureau Insurance.” Farm Bureau Insurance of Tennessee is the trade name of the Tennessee Farmers Insurance Companies, a single-state operation headquartered in Columbia, TN. Farm Bureau Insurance covers more homes and autos than any other insurance company in Tennessee and is the state’s largest writer of individual life insurance. The companies are affiliated with the Tennessee Farm Bureau Federation, the nation’s largest single state Farm Bureau organization, with more than 680,000 member families. Visit fbitn.com. Source: Farm Bureau Insurance of Tennessee

FDP Presents Scholarships to High School Students in Honor of Longtime Employees FDP Friction Science, as a multi-generation family business, has always promoted the family culture throughout its operations. At the Tappahannock, VA, headquarters and manufacturing facility, FDP is honoring three members of the team who are celebrating 50 years at the company. In honor of their half-century accomplishment, FDP created a scholarship at nearby Essex High School for deserving students. The scholarships were presented at the annual Essex High Awards Night on May 27. The recipients were Chynia Harris, who will attend Virginia Commonwealth University to pursue a career in dance, and Emily Atkins, who will attend Christopher Newport University and plans to work toward dual degrees in stu-

dio art and environmental science. Each recipient received a $1,500 contribution from FDP Friction Science to further their education. “We are very proud of these two young women and admire their goals for the future,” said John Carney, vice president of sales for FDP Friction Science. “We hope these scholarships help them on their path toward advanced education and their eventual careers. We’re honored to award these FDP Friction Science scholarships in the names of three essential members of our team who have been here almost since the time we founded the company. We are grateful to be able to recognize their accomplishments by giving back to our community in their names.” Source: FDP Friction Science

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autobodynews.com / JULY 2021 AUTOBODY NEWS 25

Will We Have Enough Juice to Get Us to an All-EV World by 2035? by Ed Attanasio

You don’t need to be a Californian to know electric vehicles (EVs) are coming whether we like them or not. In 2035, if you go to a new car dealership and mention gas, they will likely escort you off the lot. Well, maybe it won’t be that bad, but rest assured if you don’t own an electric car by 2035, your neighbors will talk. So, is there going to be enough juice in the box to make California―let alone the rest of the country―all-EV in the next 14 years? Recently, Autobody News interviewed Chuck Reynolds, the owner of Cyber Switching, Inc. in San Jose, CA. Cyber Switching’s power management solutions are targeted to small- and medium-sized commercial buildings. As a 40-year veteran of the electricity game, Reynolds was working on EV charging back when it was a novelty rather than the norm. He started his business in 1983 with a handful of electricians who shared

his vision of the future, including everyone driving an EV.

We’re going to need enough electricity to power an enormous fleet. Do we have it and if not, can we have it by 2035?

We installed charging systems in Cisco Systems back in 1996 because several of their employees had EVs, but that was very obviously forward-thinking at the time.

There shouldn’t be any technical or economic reason why the grid won’t support electrification. There is likely enough generation capacity out there right now, but it’s just not going to the right places. The biggest problem is going to be the infrastructure and getting the power to where it’s needed. A really good example is that in California now existing buildings, like condo developments and other multi-unit dwellings, can’t just say OK―we are going to install charging stations here, but the problem is they have limited power.

You can see the future of EV charging through some of your clients, so what have you learned?

Chuck Reynolds owns Cyber Switching, Inc., a power management company in Silicon Valley. He said there will be enough electricity out there to power all EVs by 2035, as long as it’s properly managed

When many of these buildings were built prior to 1995, for example, these weren’t designed to handle all of these additional loads. With some of our clients who are in buildings built in the early 2000s, they’re not prepared when people hook up their vehicles and start charging.

So, one of the biggest issues is infrastructure. When you come to work in the morning and you plug your vehicle into one of our charging stations, there are sometimes 20 to 30 people doing the same thing at the same time, with just as many waiting in line. Right now, people have to go out to their cars to take them off the charger, and that’s obviously not very efficient. Studies have shown that large companies are losing a lot of money while their employees have to stop what they’re doing so that they can move their EVs.

Will companies that are not prepared end up paying through the nose if they don’t manage their power?

Well, that’s going to put a spike on the grid because everyone is plugging in at the same time and if there are others waiting, they will roll it over every two hours approximately. That’s going to put a strain on the grid and is a concern for whomever is providing that power.

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That’s why the utilities are now charging “demand charges” for the peak amount of usage during that month for 15 minutes. It’s essentially a penalty that could be anywhere from $18 to $20 per kilowatt. So, if you have a large number of EVs coming in at the same time every morning, that’s going to be a big spike, especially since that’s when all of your other machinery will start kicking in. The problem is that if we want to achieve the 2035 regulations, we will need more and better infrastructure to handle the huge load. The user can install a power management system in order to spread the load evenly, so that not everything will come on at the same time. You can do the same with your EV charging to reduce the demand charge, and we are already doing that here at Cyber Switching, Inc. We have several patents on rotational charging systems. We currently have eight EV chargers in front of our building and it’s on one circuit that is staggered, which enables us to avoid paying the demand penalties. If you have

a power management system like the ones we have patents on, outages won’t ever happen. Most people don’t realize that there are many alternatives when it comes to power management. With so many EVs on the roads within the next few years, people will be charging their vehicles all at the same time, in many cases. There will be some pretty significant spikes and that puts a strain on the grid in that area. The worst thing that can happen is when you trip a breaker. That tells you you’re overloading the grid. I think that’s going to be the No. 1 problem that we can potentially encounter with large-scale EV charging.

home. With many of these homes that have been built starting in the 1970s, the utility company never anticipated this demand when everything comes on at the same time. It will be the same scenario, but in reverse. People will come home from work and plug-in all at the same time and it’s going to be a big load. It’s not like turning on a lightbulb― even with the small charges, it’s still going to be a 120V load, 1,400 watts or more. Even if you’re using one of the smaller chargers, turning it on is comparable to 14 100-watt lightbulbs simultaneously. The grid wasn’t set up for this originally, so it will have to change and adapt to handle these larger loads.

Will EV owners have to adapt in order to get their vehicles charged when needed?

Yes, people are always going to want to charge their cars at work, and by 2035 that will mean large parking lots full of EVs that are waiting to be charged. It will also be a problem at

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Will people be forced to charge primarily during the day to accommodate the huge spike in usage?

Yes, I think that is what will eventually happen. You want to charge when that power is available, so that’s why the utility companies are pushing from 4 to 9 p.m.

If you don’t have solar on your house to supplement your power, you might be in trouble. With many of those tract home developments built in the 1970s, there is not a lot of excess power there. So, that is where you’re going to have to spend the money―in infrastructure. Power management is a better alternative for companies on many levels. To meet their growing needs, they will have to upgrade their service to allow for more charging. But, that’s a large expense. With our system, you can use the power that’s available, and for most companies, they won’t have to change their electrical service and their employees will still get a charge for their vehicle. To avoid people moving their cars, we install what we call ‘dumb units’ that don’t have all of the bells and whistles, but they save time because employees won’t have to move their vehicles. This means that the ROI on these chargers is very fast because they don’t realize how much it can cost them in lost productivity when you have EVs in the picture.

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Tips for Busy Body Shops

Stacey Phillips is an award-winning freelance writer and editor for the automotive industry. She has 20 years of experience writing for a variety of publications, and is co-author of “The Secrets of America’s Greatest Body Shops.” She can be reached at sphillips.autobodynews@gmail.com.

with Stacey Phillips

Jake Rodenroth of asTech on Vehicle Tech’s Relation to Collision Repair Diagnostics variety of tools can be used to acTelematics, Advanced Driver Assis- mechanical diagnostics. tance Systems (ADAS) and OEM “Collision repair technicians cess the systems responsible for the repair procedures are all predicted and mechanical technicians will cause. Ultimately, mechanical diagto significantly with impactStacey the way Phillips ve- look at the same vehicle from a very nostics comes down to first identifyhicles are repaired in the future, ac- different perspective,” said Roden- ing the concern, and then the cause cording to Jake Rodenroth, direc- roth. Speaking from firsthand expe- and correction. tor of OEM and industry technical rience working as a master techni- In comparison, collision dician for a large OEM in his agnostics involves having relations for asTech. technicians first confirm the During a virtual presentation earlier career, he shared the vehicle model and trim levco-sponsored by the Nebraska Auto difference between the two. el and then determining the On the mechanical side, Body Association with(NABA) Victoriaand Antonelli cause and correction. It also the Kansas Auto Body Association most of the repairs revolve involves inspecting the se(KABA), Rodenroth shared insight around a concern or the veverity of damage by confirmabout several vehicle technologies hicle’s maintenance scheding body specification and and how they relate to collision re- ule. Jake Rodenroth, pair diagnostics. He also discussed “The technician’s job asTech’s director of suspension geometry using some of the future concerns techni- is to identify the cause of OEM and industry pre-alignments and 3D meacians will likelywith face. Ed Attanasio that concern and then rec- technical relations, suring systems. wearing augmented ommend the correction or “The trim level designates reality glasses Diagnostics repair on the vehicle,” said how many features and conIn the evolving landscape of vehicle Rodrenroth. trol modules it has,” said Rodenroth. diagnostics, Rodenroth said body Since many mechanical repairs “All collisions are inheritably differshops must recognize the difference are routine, he said the correction ent and there is nothing routine about between collision diagnostics and is usually predictable. Therefore, a each vehicle repair.”

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Often dealing with the newest vehicles in the worst shape, technicians need access to all vehicle control modules and features to ensure a safe and proper repair. Welding and painting operations, as well as vehicle disassembly, may impact the vehicle control systems. In addition, many labor operations require ADAS calibration. “After a collision, we should be really focused on making sure we see all of the modules and identify all of the problems as proactively as possible,” said Rodenroth. OEM Repair Procedures & Scan Tools Although some collision repair technicians turn to YouTube when looking for information to repair a vehicle, Rodenroth highly advises checking the OEM repair procedures. “I feel like we learn on every car,” he said. “We have to humble

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ourselves and research what is involved so you can get it right. You’ll be amazed at what you’ll find,” he said. He recommends starting small and researching how to remove a bumper cover, disconnect a battery or perform a four-wheel alignment. Increasingly, Rodenroth said, dealer groups, OEM certified repair shops and many independent facilities are committed to following OEM procedures. Rodenroth encourages technicians to use the scan tools identified in the service manual to ensure the repair is completed correctly and can be defended if necessary. Some shops use aftermarket tools to help keep costs down, but Rodenroth cautioned they might not capture everything regarding scanning and diagnostics. “Scan tools aren’t magic wands,” he said. “They don’t just fix the problem for you. We need to figure it out. Only the combination of the correct tools, the OEM service manual and a trained technician can repair a vehicle effectively.” When it comes to invoicing,

Rodenroth recommends itemizing everything done with the vehicle, and says this is especially important with ADAS calibration. He advises shops to research the marketplace and identify the price of scans being charged and the tooling used. Rodenroth estimates the current market value of a scan is $50 while OEM diagnostics, whether done by a dealer, mobile vendor or another third-party, averages about $120. New Customers, Telematics & Over the Air (OTA) Updates Looking forward, Rodennoth said vehicle owners will increasingly become more connected to their vehicles, especially with a new generation of consumers, Generation Z. Often referred to as “Zoomers,” those included in this demographic were born middle to late 1990s to the early 2010s, and are what Rodenroth refers to as “digital natives.” “They aren’t afraid to use mobile apps in everything they do, whether it’s ordering a coffee or checking the health of their car,” he said.

The Right Part Makes the Difference

Over the next five years, Rodenroth predicts there will be a substantial increase in the number of communications going on in the connected car, including the use of telematics and OTA updates. The majority of OEMs now use telematics to update a vehicle’s infotainment system, consisting of radio and multimedia video capabilities. Telematic connectivity to a vehicle will also help owners benchmark if they received a good repair. “They are going to start asking probing questions, maybe those they didn’t ask in the past,” said Rodenroth. “We need to be aware if they are connected to dealer-type services.” This will allow the dealer or independent repair facility to predict the maintenance needed on the vehicle and whether the diagnostics were performed. ADAS Calibration In terms of conducting an ADAS calibration, collision repair facilities are finding they have three options: sending vehicles to dealerships, having their own technicians do the cal-

ibrations in-house or arranging for a third-party company to come in. Regardless of the decision, Rodenroth said shops will need to audit that the calibrations were done correctly. In the event of a failed calibration, Rodenroth reminded repairers to document it failed and then showed it passed. “It’s important to document the corrective repairers you did to make it pass,” he said. “You don’t want it to come back and haunt you, so document accordingly.” He also cautioned repairers to ensure the correct parts are used on vehicles and the procedures are followed. “When you start changing the way a vehicle is designed, you create variables for yourself that could create calibration failures,” said Rodenroth. “Remember that service manuals are written on perfect vehicles, not vehicles that have been repaired or have non-OEM parts fitted to them.” Electric Vehicles With automakers committed to an electric vehicle (EV) future, Roden-

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roth said OE factories and suppliers are expected to change dramatically. This includes new types of manufacturers, in particular technology companies, such as Rivian, Lucid, SF Motors, Mahindra and Faraday Future. “Tech companies are winning the race to electrification,” he said. Rodenroth estimated dealer service volume might decline by as much as 35%, while tire replacement, glass and visibility services, and length of ownership are all projected to increase. “Collision repairers are also going to see a lot of parts, steering systems, braking systems and cooling systems that may require scan tools,” he said. “If a scan tool is involved in the repair, make sure you have the capability in-house or plan for it.” Virtual Reality and Augmented Reality Rodenroth said VR and AR are predicted to change how the industry is trained in the future. It will also impact how repair procedures are written and followed. “Repair procedures can be

challenging to follow, especially if you haven’t been formally trained with that OEM,” said Rodenroth. “AR/VR offer an interactive way of dissecting the vehicle’s requirements and, best of all, explaining them.” Details like fluid quantities, measurements and torques specs are often overlooked; however, Rodenroth said they are important to ensure a safe and documented repair. “We, as an industry, need to slow down to have a chance at speeding up,” said Rodenroth. “Our consumers deserve better when it comes to whom they trust to repair their vehicles.” He said the industry should be an institution of learning and specification. “Every shop in America would hire at least one more technician if they could and with so many ‘tech jobs’ now available, it is even more important that we attract and retain as many young people as possible,” he said. “We need to find new ways of recruiting young people with different backgrounds and skill sets.”

Auto Care Association’s Auto Care Caucus Renewed with 117th U.S. Congress by Camille Sheehan, Auto Care Association

The Auto Care Association on June 7 announced the Auto Care Caucus has been formally renewed in the 117th U.S. Congress. The caucus will be co-chaired by U.S. Reps. Brian Fitzpatrick, R-PA, and Brendan Boyle, D-PA, who both share an enthusiasm and understanding of the auto care industry and will help facilitate communication about industry issues to their peers on Capitol Hill. Congressional caucuses are classified as Congressional Member Organizations and are made up of lawmakers who share common public policy goals pertaining to a particular interest, demographic or political party. The Auto Care Caucus mission statement explains, in part, that its purpose is to “…maintain a competitive free market for the motoring public; protect consumers’ vehicle data and the right to be the ultimate owners and stewards of their data; and to help ensure consumers have access to quality,

convenient and affordable auto repairs, maintenance and parts.” “I’m excited to see the continuation of the Auto Care Caucus with this new Congress and to witness our co-chairs’ support for the auto care industry,” said Bill Hanvey, president and CEO, Auto Care Association. “With technology being used more and more to tilt the competitive playing field in the vehicle repair industry, now more than ever we will be looking to Congress to support initiatives aimed at ensuring choice for car owners on where they have their vehicle serviced. The Auto Care Caucus will surely play a significant role in those efforts.” To learn more about the Auto Care Association’s Auto Care Caucus and the association’s government affairs initiatives, visit auto care.org/government-relations. Source: Auto Care Association

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GM Vehicles Recalled for Airbag Warning Lights by David A. Wood, CarComplaints.com

More than 301,000 General Motors vehicles are recalled because the airbag warning lights may stay illuminated and fail to provide warnings if the airbags fail. However, the warning lights stay activated only on alternating ignition cycles in these vehicles. 2021 Buick Envision 2021 Cadillac CT4 2021 Cadillac CT5 2021 Cadillac Escalade 2021 Cadillac Escalade ESV 2021 Chevrolet Tahoe 2021 Chevrolet Corvette 2021 Chevrolet Suburban 2021 GMC Yukon 2021 GMC Yukon XL The airbag warning light stays illuminated because the communications gateway module incorrectly processes a loss of communication with the sensing diagnostic module. GM learned in April about a possible problem and in May engineers opened an investigation to review field and warranty data, find-

ing 19 warranty claims possibly related. This caused GM to issue the recall, but the automaker says it’s unaware of any crash or injury reports. The U.S. GM recall includes 285,622 vehicles, while in Canada, about 16,071 GM vehicles are recalled. Recall notices will be mailed July 19, with details about dealerships updating the communications gateway module software. Owners who have accepted the terms and conditions will be able to receive the software changes using wireless over-the-air (OTA) technology without having to bring their vehicles to dealerships. However, owners may schedule to have the updates performed at GM dealers. Buick owners may contact Buick customer service at 800521-7300, Cadillac customers may call 800-458-8006, Chevrolet owners can call 800-222-1020 or GMC customer service can be reached at 800-462-8782. GM’s recall reference number is N212338110.

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Day Job/Night Job

Ed Attanasio is an automotive journalist based in San Francisco, California. He can be reached at era39@aol.com.

with Ed Attanasio

Painter/Car Restorer Miguel Perez Produces a Podcast and Creates a Brand Many painters are content when paint/restoration as a teenager, whethey’re able to get their work done re he was exposed to working on on time while keeping the quality cars and boats. Gary Wickert “My dad retired from the Coast high, but that’swith just the beginning for Miguel Perez, head painter and Guard and he started a boat restoramanager at Extreme Paint Shop, a tion business called Marine Perfecdivision of Extreme Performance in tion,” he said. “I was working there after school and I learned a lot. South Florida. While running a paint crew Restoring boats helped me with my and working on some of the world’s abilities, but working on cars was where I wanted to be.” most unique andwith expensive vehicles, Stacey Phillips Perez has created a large following While attending Martin Counof painters, metal shapers/fabrica- ty High School in Stuart, FL, Perez tors and other collision repair and took auto tech classes and worked automotive restoration professionals on one particular vehicle for several worldwide with podcasts, merchan- years, he said. “My brother’s 1989 BMW dising and videos. Stacey His brand iswith Refinisher PornPhillips (@ blew up, so I took it to school and refinisherporn on Instagram) and his we worked on it there. We thought merchandising company is Refinish that we were doing an awesome job, Kulture (@refinishkulture), and cur- but when I look at that project now, I rently more than 100,000 followers have to laugh. It shows how far I’ve come and how much I’ve improved have joined the network. Perez, 34, began his career in my skills and processes over the ye-

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a minor in metal fabrication. It was a good experience where he learned more, but he also realized school is only a platform and not just a ticket to employment. “Some people graduate from WyoTech and think they’re going to enter the industry as a tech or a painter,” Perez said. “But the reality is that they’re going to start at an entry level and it might take five to 10 years to get to where you think you want to be. I tell people that school gives you the basics and builds a foundation, but it’s only the beginning.” Refinisher Porn is a brand that can relate to any refinish technician in the world, not only those in Miguel Perez, head painter and manager at Extreme Paint North America. It’s also not Shop in South Florida during the day, hosts a podcast at night limited to painting automoars.” After graduating from high school, Perez took a year off to regroup and figure out his next move. Then he enrolled at WyoTech, majoring in collision refinishing with

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biles either, Perez said. “It can be cars, trucks, boats, planes―anything that moves and can be custom painted is on our list. We’re a strong and very connected group because we share the same goals and dreams. I use Refinisher Porn to showcase work that has been done by some of the finest refinishers on the planet. They value the feedback and we often discuss things like processes, paint, tools and equipment to do a better job and create an amazing product every time.” Perez is a busy man, as the head of the paint department at Extreme Performance, a huge operation in Palm City, FL, that employs more than 30 people in several buildings equaling in excess of 66,000 square feet. Extreme Performance is known as one of the top custom shops in the U.S., and if you’ve ever attended a SEMA show, you’ve seen more than a few of their game changing creations. Perez was on teams that played roles in restoring vehicles for Michael Jordan, Vanilla Ice and

actor/comic/podcaster Joe Rogan, who inspired Perez to eventually produce a series of podcasts himself. But despite all of the work this busy shop generates, Perez still finds time to manage his popular Instagram account while creating megacool T-shirts, hoodies and other pro-

bash at SEMA. It didn’t happen last year, obviously, and no one really knows what the show will look like this year, but people are still talking about the party he threw in 2019. “We do it at a different restaurant every year, and more and more people show up each time,” he said. “We don’t talk about paint enzymes or color matching at the party. We just hang out and get to know each other away from the show, and meeting new members in person is always great!” Perez is like the Bo Jackson of custom paint and body work because he can easily cross over from paint to metal and back, if needed. When he’s not in a paint booth or doing metal work, Perez “I have always been atshares ideas, photos and short videos with a huge network tracted to fabricating and he created six years ago on @RefinisherPorn doing metal work, and that’s ducts emblazoned with his Refinish why I’ve always pursued it and worKulture logo, available at www.refi- ked to get better. Some painters are nisherporn.bigcartel.com. happy in the booth, but I have always To interact with his Instagram wanted to play a larger role. I always followers, many of whom are con- tell people, especially if they’re new sidered top-tier painters and metal to the industry, be open to new things fabricators, Perez throws an epic and don’t be afraid to develop new

skills, because that way you will be more appreciated and more sought after.” Perez gives his followers a simple message―never stop learning and don’t be afraid to make mistakes along the way. “I got better because I had good teachers and a lot of my mistakes led to valuable lessons. New techniques, better processes, little tricks― always be working to improve and you’ll benefit in many ways down the road.” Perez is delighted with what he’s done on Instagram with @RefinisherPorn. “My initial goal was to turn @ RefinisherPorn into a network where people would come together, showcase each other’s work, and get better as a result,” he said. “I never imagined that this would turn into what it is today and I’m excited about where it’s headed.” Wherever it’s headed, you know Perez will be there to help other refinishers, metal fabricators, car rebuilders and collision repairers from Los Angeles to NYC and everywhere in between.

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Chasidy Rae Sisk is a freelance technical writer from Wilmington, Delaware, who writes on a variety of fields and subjects, and grew up in a family of NASCAR fans. She can be contacted at crsisk@gmail.com.

Collision Training on ADAS, EVs, Total Losses and Phone Skills at ASA’s X50 Conference

Southeast News

The recent ASA X50 Conference & repair network processes, which in- OEM’s progress towards an electric Expo offered more than 50 live train- cludes benchmarking industry compet- fleet. ing sessions, including five classes itors, soliciting feedback from dealers Discussing high voltage awarewith Chasidy Rae Sisk specific to collision repair profes- and the collision industry, and collab- ness and training, Allen stressed, sionals. orating cross-functionally with Global “Everyone in our dealerships and our “Our engaging platform will Aftersales Engineering, CCA Collision collision network has to be trained to provide attendees with an inviting Wholesale Dealer Channel and Pro- know and identify EVs to recognize experience to learn from and inter- duction Engineering. that they shouldn’t touch the cabling act with instructors, sponsors and “There’s no compromise when and that it will require special care. Chasidy Rae Sisk their peers in awith way that uses techit comes to safety,” Blackmore con- Our high voltage technicians are nology to strengthen their networks cluded. “OEM repair procedures must trained to run diagnostics and de-enand build their industry knowledge,” be used 100% of the time, but the in- ergize the system, and high voltage said ASA Executive Director Ray dustry should stay close to the OEMs experts are trained in all high voltFisher. since technology is changing rapidly.” age systems and can repair all sys GM’s John Eck and Chris Roger Cada of Accountable tems, including the battery.” with Chasidy Rae Sisk Blackmore presented “GM Driving Estimating LLC presented “Estima- Allen discussed the safety conTechnology: Advanced Technologies tion, Education and Documentation cerns related to repairing EVs, notin ADAS and the Impact to the Re- that Drive Bottom Line Results.” ing the high voltage technician must pair Industry,” stressing the impor- “The facts of the loss are critical observe three safety rules before betance of scanning and calibrations because they tell you what damag- ginning the repair: de-energize the and providing updates on GM’s Coles are on that car… Since COVID, vehicle, secure the system against with Chasidy Rae Sisk restarting and check no lision Repair Network processes. you’ve become the eyes “[GM has] planned over 20 new and ears for the insurer, voltage is present. models in the coming years to move impacting the estimate and “You might think you’re to an electric vehicle fleet,” Eck if it starts off wrong, it will a rebel living in the mosaid, noting regulations, safety ex- never end up right,” Cada ment, but realistically, that pectations and ADAS features have began. “And the process moment is already past hiswith Chasidy Rae Sisk influenced changes in the industry. begins when you first talk tory,” he quipped. “We’re “And that’s exciting times, but it to the customer and get the already involved with these Kristen Felder vehicles and repairing them. also presents a mound of problems facts of the loss so you can and issues for our industry that we write the most accurate estimate ev- So, in all this confusion, ask yourhave to resolve. ery time. self, ‘Are you feeling lucky?’ Or “Gas regulations light “We have to build evidence are you ready for the future of the with required Chasidy Rae Sisk er vehicles, while also enhancing through documentation,” Cada con- e-tron?” safety expectations,” Eck explained. tinued. “It’s critical that we capture Kristen Felder, CEO of Colli“Safety is king, and customers are the evidence well so we can properly sion Hub, taught two classes during continually looking for safety op- assess the damage and have an out- ASA’s X50 Conference. The first, tions to protect their occucome that actually restores “Total Loss File Handling,” explored Chasidy Rae Sisk it to its pre-accident condi- the total loss process. pants and the with investment they’ve made. That requires tion. The evidence you’ve “Running a collision repair shop collected also justifies your has become more about accounting, a change in how vehicles are built and the technology charges, preventing insurers law, psychology and other adminoffered on them, including from saying no. But once istrative tasks than about actually the creation of new ADAS with Chasidy Rae Sisk you start repairing the vehi- repairing the vehicle,” Felder said. systems. More features becle, the evidence isn’t there, “The administrative side has become Mark Allen ing added to vehicles, forcso you need to collect it at almost overwhelming.” ing evolutionary change. The goal the very beginning.” Shops should be aware of multiis a world with zero crashes, zero Cada proceeded through a step- ple legal terms to be prepared to conemissions and zero congestion.” by-step breakdown of the documen- tend with a total loss situation. Felder Eck discussed the importance of tation required to provide evidence defined bailment and explained how scanning and calibration as Attanasio it pertains justifying the repairs performed, a law of contracts “gives you the with Ed to vehicles equipped with ADAS, in- such as pre-scans, clear images, ability to ensure a vehicle doesn’t get cluding how to access GM’s calibra- measurements and test drives. abandoned or pulled from you withtion documents. “Audi North America: EV and out your fees being paid.” Blackmore then discussed the Evolving Technology,” presented by She warned, “When it comes changes GM is making to its collision Audi’s Mark Allen, focused on the to total losses, having a ‘repair con-

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tract’ may not protect you from having vehicles removed and you not getting paid, or it may not protect your customer from having settlements diminished because of that.” After becoming familiar with civil and contract laws, Felder emphasized knowing state and municipal regulations is imperative since certain jurisdictions clearly identify who is qualified to be a storage or towing company, and those laws may also “govern what you can charge and lay out actions that are required on your end. If you have a regulation and don’t comply, you may not be able to collect what you’re charging.” Discussing how to establish services and pricing for total losses, Felder said, “If you’re in a contractual agreement that says you can’t charge for any services on a total loss, you’re stuck at this point, but if you don’t have that agreement, what do you charge? “Your duty is to be able to describe the reasonableness of your decisions. Whatever you charge, you’d best be able to explain each line to every 10th or every penny you have on the estimate because that’s going to be compared to ‘reasonable’ in other places.” Felder discussed common reasons related to the total loss process, which collision shops may charge, including fees related to intake, notification, securing the vehicle, administration, collision access time, cataloging and storing removed parts, environmental protection, photo documentation, repair planning, vehicle mobility, vehicle disposition, OEM access, DMV/lien/legal expenses and storage. Next, Felder recommended shops create and store pre-written form letters, which can easily be updated with the client and vehicle-specific information. She provided a list of pre-written letters to keep on hand, such as confirmation of pickup disposition, summary of charges for pickup, status update total loss, notice of total loss, summary of inspection with fees, authorization for inspec-

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tion with fees, notice of visual total loss and request for invoices. Examining examples of these forms, Felder identified which important aspects to include, repeatedly stressing the value of explaining the standards and regulations the shop must follow as well as the identification of the shop’s ethics in cost containment. “Proper documentation will get you paid down to the penny!” Felder said. During “Phone Skills for Collision Repair,” Felder pointed out, “The phone is probably one of the most important tools we have in the body shop. We’re on it all day and interact with customers more over the phone than face-to-face, but we’re really bad at the phone―and our skills are degrading!” Diving into the evolution of connection, Felder explained there are three layers of connection in the human brain. The neocortex is the rational brain, the limbic brain is the emotional aspect and the reptilian brain is guided purely by instinct and survival. “We want the people we’re deal-

ing with to be on the upper level, but first, we need to work through the first two layers. Understanding where someone is at mentally will help you communicate, connect and get them to do the things you want them to do.” Because the brain reacts to sound, the voice is a powerful tool that can be used to influence the customer when used correctly. Felder provided several tips for using the phone. Don’t use a script, use your name and theirs, ask questions, mirror their tempo, be kind and polite and speak inclusively by using “we” instead of “you.” To improve communication sessions, designate a talking space where the customer is the primary focus, designate a person who talks on the phone and keep a log system. “Cell phones are one of the worst things that ever happened to customer connection,” Felder warned. “We forget that our brain chemistry desires that connection. Don’t forget about the power of your voice or feel that you’re too overwhelmed. The more connected we are, the happier we are.” For more information on ASA, visit asashop.org.

Lordstown Motors Explains It Has a Lot of Real Orders Too by Mark Kane, Inside EVs

After a small earthquake at Lordstown Motors on June 14, when the CEO and CFO “resigned,” the company’s President Rich Schmidt said a little bit more about the demand for the Lordstown Endurance pickup. He said at an Automotive Press Association event in Detroit there is a lot of “basically binding” orders, enough for production for 2021 and 2022. “Currently, we have enough orders for production for ‘21 and ‘22. Those are firm orders we have for those two years,” Schmidt said. “I don’t know the exact facts of the legal aspect of that, but they are basically binding orders that are committed here in the last two weeks, reconfirmed orders,” he added, according to Automotive News, when asked if they were binding orders. “They’re pretty solid, and I think that’s on the light side or conservative side.” That throws new light on the situation with a high number of pre-orders that were considered doubtful. The production is expected to start in September; the expect-

ed volume in 2021 is probably not too high. We guess it’s maybe up to 1,000. However, judging from the initial manufacturing capacity of up to 15,000 to 20,000 units a year, we can guess there must be at least 15,000 of those “firm orders.” It would be very positive news for Lordstown Motors if there really is 15,000 solid orders for the Endurance. Schmidt said also the company has more than $400 million. According to Bloomberg’s article, it would be enough to build 15,000 trucks.To continue, the company would need to raise additional capital, which is one of its main tasks. The price of the pickup will start at around $55,000, according to the most recent news, $2,500 more than the $52,500 stated initially. The increase is related to “supply chain pressures.” After deducting the federal tax credit of $7,500, it would be $47,500. Increasing the price is a challenging thing as customers can choose to go with the Ford F-150 Lightning, starting at $39,974, or the Tesla Cybertruck, starting at $39,900.

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Ford Reports Huge Growth in EV Sales, Best May for SUV Sales Since 2003 Ford on June 3 reported its May sales results, including a new EV sales record, the best May sales since 2003 for Ford SUVs and the best May sales ever for Lincoln SUVs. “Ford sales were up 4.1% on tight inventories, while year-to-date sales increased 11.3%,” said Andrew Frick, vice president, Ford

Sales U.S. and Canada. “Ford and its dealers are working harder than ever to match the right mix of inventory to best meet the needs of our customers at the local level. We have been receiving a massive number of reservations for our all-electric F-150 Lightning over the last two weeks―totaling over 70,000 trucks. Ford brand SUVs had their best May sales in 18 years, while Lincoln SUVs posted a new May record.” Ford electrified vehicle sales grew 184% in May, achieving a

new EV sales record, with sales of 10,364 vehicles. Growth came from the Mustang Mach-E, which totaled 1,945 vehicle sales, while the F-150 PowerBoost totaled 2,852 for the month and Escape electrified sales totaled 3,617―up 125% over last year. Explorer Hybrid sales also had a big increase of 132% over a year ago, with sales of 1,156 SUVs. New products continue to drive transaction pricing. Average transaction prices at Ford were up approximately $3,400 over a year ago. Ford’s newest products―the Bronco Sport and Mustang Mach-E― expanded their sales relative to April, with sales of the two totaling 16,892 vehicles, while turning quickly on dealer lots. Overall F-Series sales through May are up 4.7% on sales of 316,359 trucks. With tight inventories, F-Series continues to turn at record rates. Retail orders for F-Series trucks are up threefold over last year. Ford continues to fill orders as more semiconductor chips become available. Ford brand retail SUVs posted their best May sales since 2003,

FORD

while Ranger sales recorded their best May sales since 2004. Ford brand SUVs were up 51.8% over a year ago on new product introductions of Bronco Sport and Mustang Mach-E, along with the continued momentum of Escape, Explorer and Expedition. With total sales of 14,303 for the month, Ranger sales expanded 41.8% relative to last year. With the all-new Bronco Sport and Escape, Ford greatly enhances its share of the small SUV segment. Ford’s May retail share is up almost 4 full percentage points in the small SUV segment, with sales of both Bronco Sport and Escape expanding their sales within two very different customer groups. Escape sales were up 51.4%, while the majority of Bronco Sport customers are coming from outside the Ford brand. Lincoln SUVs posted another record sales result in May. Lincoln SUV sales were up across the entire lineup in May with a total of 7,871 SUVs sold―up 24.3 percent. Source: Ford

Ford Partners with Mile Auto Automotive giant Ford Motor Company is teaming up with Mile Auto, a next-gen insurtech innovator using computer vision and decision analytics to offer an affordable car insurance option based on mileage to low-mileage drivers. Ford owners who drive fewer than 10,000 miles per year could potentially save between 30% and 40% of their current rates. Mile Auto is changing the way car insurance is purchased with an offering that requires drivers to pay only for what they use. By leveraging onboard telematics data from current Ford models, Ford owners can choose to share mileage data with Mile Auto. Mile Auto does not require smartphones, mobile apps or other hardware to take advantage of lower rates. Mile Auto insurance is currently available in Arizona, Georgia, Illinois and Oregon. The company expects to expand its coverage to 50% of the U.S. auto insurance market by the end of 2021. Source: Mile Auto

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From the Desk of Mike Anderson with Mike Anderson

Mike Anderson is the president and owner of Collision Advice, a consulting company for the auto body/collision repair industry. For nearly 25 years, he was the owner of Wagonwork Collision Center, an OEM-certified, full-service auto body repair facility in Alexandria, VA.

Scanning—It’s Not Just for DTCs Anymore (And Never Was) Those of you watching TV back in the 1970s probably remember the slogan, “It’s not just for breakfast anymore”―the Florida Orange Growers Association’s way to encourage folks to think about drinking OJ more often than just in the morning. I’ve been paraphrasing that slogan in relation to scanning to emphasize to people that scanning isn’t just about finding DTCs (diagnostic trouble codes). A real “aha moment” I had in relation to this about a year ago was when my father told me there was something just not right about the way his vehicle was driving. He’d had a broken windshield replaced on the car, and afterward, they scanned the vehicle and said everything was OK. But after driving it, and still noticing a problem, he took it to a dealership that confirmed the vehicle scan they performed showed no DTCs. That’s when I got involved, hooking my asTech device to the vehicle, and asking my friend Jake Rodenroth and his team to help me out. They scanned the vehicle: Sure enough, no DTCs. But that’s when the asTech technician said, “Let me check something else.” He checked the data from the scan tool that shows how the vehi-

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cle’s steering angle sensor is set, and then compared it to the automaker specifications. You can guess what he found: The steering angle sensor was out of spec. My dad was right: There was something wrong with the vehicle. But it didn’t set a DTC. That opened my eyes to something I’m concerned about in our industry. Scanning isn’t just about checking for DTCs. It’s important, whether conducting scanning in-house or using a mobile or remote supplier or even a dealership, that you have a knowledgeable person who really understands the collision repair process involved. Someone who is going to dig further, ask the right questions. Someone who doesn’t assume no DTCs means everything is A-OK. Since that incident, I’ve done more research. I came across some

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nesses. These aren’t just auto parts store scans (with no offense to those businesses). You can’t presume all that’s needed is to just plug it in. There’s so much more to it than that. You need someone who understands how to dig further, and who understands the “set conditions” that must occur in order to set a DTC. If a vehicle is towed to the shop directly from the accident scene, for example, it might not have been driven for the distance or time or speed needed for that DTC to be set. I think our industry is doing itself and its customer a disservice when it presumes anyone is qualified to conduct a scan. It’s insulting to knowledgeable technicians who really understand all that this important and potentially complicated process entails. That’s why I say: Scanning. It’s not just about DTCs anymore.

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documentation from other automakers about the need to look beyond the just the presence (or absence) of DTCs. Whoever is scanning should also pull the “freeze-frame” or “snapshot” or “live” data. That can show data, for example, when a fault code occurred: the date, vehicle mileage, how many key cycles have occurred, or even―in one example I’ve seen― how much gas was in the car at the time. This kind of information can be critical as part of diagnosis, documentation and reimbursement. One example of the need for this step: With some Honda and Acura vehicles, an issue with the lane-watch system or seatbelt pretension won’t trigger a DTC; you have to check the “live” data. As an industry, I think we’ve overlooked the skillset needed for those scanning vehicles in our busi-

38 JULY 2021 AUTOBODY NEWS / autobodynews.com

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Industry Insight with John Yoswick

—John Yoswick is a freelance writer based in Portland, Oregon who has been writing about the automotive industry since 1988. He is the editor of the weekly CRASH Network (for a free 4-week trial subscription, visit www.CrashNetwork.com). Contact him by email at jyoswick@SpiritOne.com.

HLDI Shows Impact on Claims from Auto-Emergency Braking, Changes to Powertrains

Shop Showcase

Matt Moore of the insurer-funded ly avoid that hit altogether,” he said. the potential benefits of AEB go away Highway Loss Data Institute (HLDI) AEB is expected to reduce front- if consumers turn the system off. offered some insights into the im- end crashes that result in injury by But Moore said HLDI stationed with Ed Attanasio pact auto-emergency braking (AEB) more than 50%, Moore said. Of course, researchers at some dealerships to could have on the frequency and severity of front-end crashes in the coming years, during his presentation at the recent Women’s Industry Network (WIN) virtual conference. HLDI’s rating system for AEB with Ed Attanasio systems involves two crash tests conducted at 25 mph and 12 mph. Those speeds may sound slow, he said, but “the more speed you can drop out of a crash, you drop out an exponential amount of energy.” A 25 mph crash of a Merwith Ed Attanasio cedes C-Class resulted in more than $28,000 in damage, for example, Moore said, but when the speed was reduced to 12 mph, “the cost is reduced by more than half,” to $5,715. “Of course,with if youEd canAttanasio go from The percentage of new vehicles for which auto-emergency braking is optional or standard has grown 12 mph down to zero, you can total- significantly

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check vehicles being dropped off for service. They found the lane departure systems on those vehicles were only left on 50% of the time, and Moore said he suspects even more drivers would turn that system off if doing so was easier. But the AEB remained active on almost 92% of the vehicles equipped with that system. “Folks like it. They leave it on,” Moore said. While automakers have voluntarily agreed to equip all new vehicles with AEB by September of 2022―and many automakers are ahead of schedule toward that goal―it still will take a long time for a majority of vehicles on the road have AEB, he said. He shared a series of charts to demonstrate this. The first (slide 1) showed the percentage of new vehicles for which AEB is optional or standard has grown significantly.

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But the second (slide 2) showed even in 2019, HLDI estimated only about 6% of registered vehicles were equipped with AEB. A third chart (slide 3) showed how that is likely to grow over the

of vehicles [in operation] have this technology,” Moore said. Another factor driving up severity of claims Moore pointed to involves changes to vehicle powertrains. Moore shared a slide (slide 4)

“What we’re predicting is by 2030, over 45% of vehicles will either be turbo-charged, super-charged, hybrid or electric, and that matters,” Moore said. He shared charts showing hy-

hybrid vehicles are heavier,” he said. “More complex to repair, more parts.” Electric vehicles, which Moore said will soon outnumber hybrids, have lower frequencies but higher severity. And turbo- or super-charged

Despite widespread availability, vehicles equipped with auto-emergency braking comprise only a small percentage of those on U.S. roads, according to the Highway Loss Data Institute

The percentage of registered vehicles vehicles equipped with auto-emergency braking will grow over the next two decades, but the 50% mark is not expected to be reached until about 2030

next two decades, but still, the 50% mark is not expected to be reached until about 2030. “We’re predicting it’s going to be about 2045 until the vast majority

brid vehicles have higher collision and property damage liability losses than their conventional engine counterparts. “This is, in part, because these

showing how far hybrid, electric and turbo- or super-charged vehicles have grown, and will continue to grow, in relation to vehicles powered by conventional gasoline engines.

vehicles are also associated with increases in severity. “For collision losses, about a 4% increase,” Moore said. “You take an already crowded engine compart-

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ment, and jam a whole lot more stuff under that hood as you would with a turbocharger or supercharger, and you increase the amount of damage it’s going to have when those crashes occur.” Claims have also been impact-

with that little power.” A 1983 Toyota Camry had 92 horsepower; the 2019 model had either 203 or 301 horsepower. A 1983 Jeep Grand Cherokee had 180-220 horsepower; the 2019 model had

The Highway Loss Data Institute projects hybrid, electric and turbo- or super-charged vehicles will continue to grow in relation to vehicles powered by conventional gasoline engines

ed by a steady growth in vehicle horsepower over the past four decades, and increases in speed limits over the past 20 years. “In 1981, most vehicles had less than 100 horsepower,” Moore said. “These days you can’t buy a vehicle

285-360 horsepower. The 1981 Ford F-150 had 115-165 horsepower; the 2019 model has 250-370. “More horsepower at any age nets you higher insurance losses,” Moore said. “The faster a vehicle is, the faster people are going to drive it.”

Registration Open for 2021 AWDA Conference by Camille Sheehan, Auto Care Association

The Aftermarket Warehouse Distributors Association (AWDA), a community of the Auto Care Association, on June 15 announced registration is open for its 74th Annual AWDA Conference. The event will be held Oct. 31–Nov. 3 at The Venetian Resort and Casino in Las Vegas, NV. The AWDA Conference is an annual business event that brings together the premier companies of the industry for high-level, private, one-on-one business meetings. The AWDA conference, sponsored this year by Dorman Products, will signify the dynamic in-person return of the industry at the start of Automotive Aftermarket Industry Week (AAIW). For 2021, the AWDA conference will be implementing these new approaches: Shifting to Align with AAPEX: The AWDA Conference will shift from its typical days and now offer one-on-one meetings all day Nov. 1, followed by the afternoons of Nov. 2 and Nov. 3.

Access to One-on-One Meeting Suites: The designated one-onone meeting suites in the Venetian Guest Tower will now be accessible by all guestroom elevator banks to allow for more efficient access. “AWDA is extremely excited at the opportunity to host our long standing, premier event in person,” said Larry Northup, executive director, AWDA. “While we were still able to successfully stay connected this past year, that does not rival the experience and the importance of face-to-face engagements. The industry is ready to reunite and forge on.” All companies must register by Aug. 20 to participate in the AWDA One-on-One meetings. For further details, eligibility, hotel and registration information, visit autocare.org/awdaconference. Source: Auto Care Association

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autobodynews.com / JULY 2021 AUTOBODY NEWS 41

Boyd Group Has Slower Start to 2021 A major player in the North American auto glass replacement and collision market saw a nearly 10% decline in sales through the first part of 2021. Company officials attribute the slump to lingering effects of the COVID-19 pandemic. The Boyd Group, parent company of several major retail auto glass and colli-

third-party administrator Gerber National Claims Services. Gerber Collision and Glass also recently acquired a new facility that was previously used as a collision repair center in Buford, GA, officials tell glassBYTEs. Boyd Group’s Canadian businesses, which include Boyd Autobody and Glass, were hit much

“We continue to prepare for the future, as restrictions continue to loosen, the economy re-opens and vaccination levels increase,” — Timothy O’Day sion chains in the U.S. and Canada, recorded $421.6 million in total sales in the first quarter of 2021. This was down by 9.9% compared to the same period in 2020. The company’s U.S. operations, which make up more than 90% of its sales and include Gerber Collision and Glass, Glass America, Auto Glass Service, Auto Glass Authority and Autoglassonly.com, saw a 6.5% decline in revenues. Boyd Group operates

harder, with a 34% dip in revenues. “Following steady improvement in demand in the last half of 2020, the improvement trend flattened out during the first quarter of 2021 with a significant surge in COVID-19 infections and reinstatement of restrictions in many markets, particularly Canada, where same-store sales declines were more significant in the first quarter of 2021 when compared to the fourth quarter of 2020,” Boyd

Average Age of U.S. Cars Reaches All-Time Record of 12.1 Years by Matthew Crisara, Motor1.com

Among many profound lifestyle changes we all endured in 2020, Americans drove quite a lot less and scrapped their old cars more―about 5% of the total U.S. fleet went to the junkyard in 2020. That move had an unusual effect, though. Here in the States, our transition into pandemic life led to an increase in the average age of our vehicles to a record-setting high of 12.1 years. You’d be led to believe scrapping so many vehicles would lower the average vehicle age. To offer some perspective, 15 million vehicles were scrapped in 2020, while vehicle miles traveled declined by 13%. Sure, discarding such a staggering amount of vehicles would normally lower the average age, but the combination of distance traveled and the chip shortage led to the contrary. Keen readers will know these manufacturing difficulties led to new vehicles skyrocketing in price―if you could even get your

hands on one. This meant more people than ever opted to purchase a used car. Even with buyers pivoting towards the used market, pre-owned vehicles weren’t immune from similar price hikes. Unfortunately, many automakers are currently struggling with more than just chip shortages. GM recently suspended orders for its 2021 C8 Chevrolet Corvette amidst another parts shortage. Details remain sparse, but we know Chevrolet won’t reach its original production goal for 2021―the aim is to ensure 2022 models will roll out on schedule. Thankfully, vehicle age is forecasted to go back to normal later this year after owners trade in their current set of wheels for a newer model. Until then, the market will remain the oldest it’s ever been.

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Group President and CEO Timothy O’Day said in a letter to shareholders. “Compounding the demand challenges of COVID-19, production challenges, including technician capacity constraints in select markets, weather events in the southern states, and supply chain disruptions resulted in reduced demand for our services.” According to Boyd Group’s most recent financial report, sales performance in the second quarter of 2021 is “only marginally higher” than the first quarter. Improving demand in the U.S. has been partially offset by worsening demand in Canada due to continued or tightened restrictions. Looking forward, the company is optimistic economic conditions will improve. “We continue to prepare for the future, as restrictions continue to loosen, the economy re-opens and vaccination levels increase,” said O’Day. “As vaccination rates increase and as market demand returns to normal levels, we are well-positioned for the future.”

Jaguar XE Recalled for Missing Welds by David A. Wood, CarComplaints.com

Jaguar is recalling three model year 2017-2018 and 2020 Jaguar XE vehicles that received replacement rear rail assemblies as part of service repairs. Missing spot welds may weaken the strength of the rear rail assemblies. Jaguar says the weakened rear rail assembly may allow the rear bumper beam to detach when the vehicle is being towed, or could cause the tow-bar assembly to detach when towing a trailer. The Jaguar recall should begin May 28. Jaguar dealers will replace the rear rail assemblies. XE owners may call 800452-4827 and refer to recall H349.

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I-CAR Supports Inter-Industry’s First OEM Glass Repair Certification Program Leveraging the collision repair expertise of I-CAR (Inter-Industry Conference on Auto Collision Repair), Mopar is launching its Mopar Certified Glass Installer Program, the industry’s first OEM glass repair certification. I-CAR’s training and support of the new Mopar program is a perfect extension of I-CAR’s 42-yearold vision, explained John Van Alstyne, CEO and president.

“I-CAR’s mission is to provide education, information, services and solutions,” he said. “This program represents a solution that brings to life the breadth of our mission. Along with education, audits, reporting and network support in collaboration with the Mopar team, this makes I-CAR a unique and perfect fit for Mopar’s new

program.” I-CAR currently has five glass-related courses as a requirement for the Mopar Certified Glass Installer program. Additionally, I-CAR will conduct virtual audits of glass installers to meet Mopar requirements, which were established jointly. Van Alstyne added I-CAR is uniquely positioned to support the Mopar Certified Glass Installer Program given its leadership position in the industry, expansive course portfolio and ability to reach glass installers and collision repairers nationally. Some of I-CAR’s educational support have included: The FCA Certified Collision Network has required I-CAR Gold Class® since its launch more than five years ago. Alfa Romeo Certified Collision Network shops require all four roles be at ProLevel 3, the highest level of individual recognition in addition to the shop maintaining I-CAR Gold Class. Maserati requirement for ProLevel 2 technicians within its certi-

fied network. Creation of FCA-specific educational courses and continued development of additional courses, including Fiat Chrysler Automobiles (FCA) Collision Repair Overview and 2018 Jeep Wrangler JL “As vehicle glass installation continues to become a much more advanced repair given today’s technology-laden vehicles, Mopar’s new program is a step forward for the inter-industry,” said Van Alstyne. “In pursuit of complete, safe and quality repairs, this program reinforces the many new ways we can accomplish this overarching goal.” To sign up for the program, contact I-CAR Customer Care at 1-800-I-CAR-USA (800-4227872) or visit I-CAR’s course catalog. Source: I-CAR

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BMW 3-Series Vehicles Recalled Over Explosive Airbags by David A. Wood, CarComplaints.com

A BMW airbag recall includes more than 4,500 of these vehicles equipped with non-azide driver airbag inflators (NADIs) manufactured by Takata. 2000-2001 BMW 323Ci 2000-2001 BMW 325Ci 2000-2001 BMW 328Ci 2000-2001 BMW 330Ci 1999-2001 BMW 323i 2000-2001 BMW 328i 2000-2001 BMW 330i 2000-2001 BMW 330xi The driver-side Takata airbag inflators were previously inspected but not replaced under previous recalls. BMW says moisture can invade the inflator and cause it to explode. BMW dealers will replace the driver-side air bag inflators with newly designed inflators. Owner recall notification letters are expected to be mailed July 19. Concerned owners may contact BMW at 800-525-7417.

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44 JULY 2021 AUTOBODY NEWS / autobodynews.com

Research Shows Auto Care Industry Expected to Reach $477B by 2024 by Camille Sheehan, Auto Care Association

The Auto Care Association on June 9 released its award-winning and industry-leading online publications, the 2022 Auto Care Factbook and the 2022 Auto Care Factbook & Lang Annual. The annual reports are the go-to source for automotive aftermarket industry data and include critical insight for aftermarket businesses to make informed, data-based decisions for the future. This 31st edition of the Auto Care Factbook report provides new data and insight on how the auto care industry fared from the COVID-19 pandemic, emerging consumer and industry trends, international market performance and more. While the total U.S. auto care industry size took a hit in 2020, the industry fared better than forecasted and is now expected to be a $477 billion industry by 2024. Industry shifts during COVID-19 have presented new opportunities for the aftermarket, including increased e-commerce growth, increased delays in vehicle maintenance; an increase

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in the average age of vehicles in operation, an increase in vehicle miles driven nearing pre-pandemic levels and more. In this 142-page Auto Care Factbook report, readers will find: New e-commerce section including trends and sizing of this important aspect of the aftermarket including penetration and product category performance standouts (pg. 61) Expanded data and insights on hybrid, electric and fuel cell vehicles including adoption rates, replacement rates for selected parts, registrations and state incentive data (pg. 86) Expanded medium and heavy duty vehicle data including vehicle counts, proportions, registrations and demand by distribution channel and growing component subgroups (pg. 68) Expanded replacement rate data, from 94 to 184 parts and jobs (pg. 56) Expanded international section, including highlights of the Mexican, Chilean and Vietnamese aftermar-

kets, including VIO and other pertinent stats (pg. 120) Guidelines on how to use TrendLens™ to interactively compare data series with our trend comparison tool The 2022 Auto Care Factbook also provides Auto Care Association members access to many of the latest numbers included in the report through the association’s Auto Care TrendLens™ interactive data platform. There, members can drill down on data points, and filter and overlay with other data sets to get the full picture of the industry. “The COVID-19 pandemic is not the first time the auto care industry has proved its resiliency during economic hardship,” said Bill Hanvey, president and CEO, Auto Care Association. “Our industry growth continues to exceed expectations— despite recent challenges—and we’re confident that the new opportunities emerging from the past year will strengthen our future. This year’s Factbook equips readers with the latest data and in-depth industry analysis needed to navigate their business decisions with confidence

and clarity.” The 2022 Auto Care Factbook & Lang Annual includes the Auto Care Factbook plus the Lang Annual, which provides a supplemental, comprehensive overview of the U.S. light vehicle aftermarket and presents information and analysis available from no other source. All Auto Care Association contacts at member companies receive a complimentary digital copy of the 2022 Auto Care Factbook report as a member benefit. The non-member price for the publication is $2,450. The Auto Care Factbook & Lang Annual report can be purchased for $995 for members and $3,445 for non-members. To order any of these digital publications, visit digital.autocare. org/2022factbook or contact the Member Services department at publications@autocare.org or 301-6546664. Source: Auto Care Association

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autobodynews.com / JULY 2021 AUTOBODY NEWS 45

Lamborghini Outlines Massive $1.8 Billion Plan to Shift to Electrification by Joey Klender, Teslarati

Lamborghini is planning to shift from gas-powered to electric for its world-class supercars. The company recently outlined a $1.8 billion plan, its largest in history, to shift away from combustion engines and toward electrification. CEO and President Stephan Winkelmann presented the company’s plan to decarbonize its future models. Known as “Direzione Cour Tauri,” or “Towards Cor Tauri,” the roadmap shows how the Italian automaker plans to begin electrifying its fleet by using its carbon-neutral site at Sant’Agata Bolognese in Northern Italy. The site has been free of CO2 emissions since 2015 and is the location of the Lamborghini Museum. The focus is simple: continue making the legendary, high-performance cars Lamborghini is known for, but make them environmentally friendly. Lamborghini will continue to identify technologies and solutions that guarantee top performance and driving dynamics that align with its “marque’s tradition.” A $1.8 billion

investment will be spread over four years. It seems, according to Lamborghini’s press release on the matter, the main goal is to reduce carbon emissions by 50% by the beginning of 2025. While Lamborghini will celebrate the combustion engine that has brought it to the peak of automotive performance, it plans to bring a fourth fully electric model in the latter portion of the decade. “Lamborghini’s electrification plan is a newly-plotted course, necessary in the context of a radically changing world, where we want to make our contribution by continuing to reduce environmental impact through concrete projects,” Winkelmann said. “Our response is a plan with a 360-degree approach, encompassing our products and our Sant’Agata Bolognese location, taking us towards a more sustainable future while always remaining faithful to our DNA. “Lamborghini has always been synonymous with preeminent technological expertise in building engines boasting extraordinary performance: this commitment will continue as an

absolute priority of our innovation trajectory,” he continued. “Today’s promise, supported by the largest investment plan in the brand’s history, reinforces our deep dedication to not only our customers, but also to our fans, our people and their families, as well as to the territory where the company was born in Emilia-Romagna and to Made in Italy excellence.” Lamborghini will complete the process in three phases: a celebration of the combustion engine from 2021 to 2022, a hybrid transition that will see the company launch its first hybrid series production car in 2023 with the rest of the fleet being fully electric by the end of 2024, and finally, the first fully electric Lamborghini, to be released in the second half of the decade. The celebration of the combustion engine may appear to be somewhat ironic in Lamborghini’s plan to launch an electric fleet. However, the company intends to pay tribute to the success provided by combustion engine vehicles. It will announce two new V12 models later this year. The hybrid transition planned by the end of 2024 will fuel the compa-

ny’s initial attempts to develop a hybrid series production car. This timeframe will be crucial for engineers to learn how to develop high-performance vehicles while compensating for additional weight provided by the battery pack. Finally, the first all-electric Lamborghini will be introduced in the second half of the 2020s. “Acceleration in the second part of the decade will be dedicated to full-electric vehicles, with the vision of a fourth model in the future,” the company said. “Once again, technological innovation in this phase will be oriented towards ensuring remarkable performance and positioning the new product at the top of its segment. “This is how Lamborghini sees the culmination of this part of its journey: Cor Tauri, the brightest star in the constellation to which the company’s roadmap points, is represented by a fourth fully-electric model.”

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Cox Automotive Study Examines Best Practices of Dealerships Thriving in an Accelerated Digital Landscape Cox Automotive on June 15 released a new study, “How to Thrive: Best Practices for an Accelerated Digital Landscape,” examining effective strategies dealerships are adopting to find profits and thrive in today’s marketplace. With the industry’s abrupt shift from an in-person dominant to a digital-first model, Cox Automotive’s survey of more than 450 franchise dealerships found those embracing new business solutions and digital capabilities became more efficient and profitable, while seeing consumer satisfaction scores soar to record highs. “Through this study, we’ve learned that whatever the market conditions may be, it’s the experience you provide that will drive satisfaction and retention,” said Lori Wittman, senior vice president of dealer software solutions at Cox Automotive. “Right now, consumers may come to you for a particular piece of inventory you have, but they’ll come back to you for the experience you gave them.” Given the current inventory and supply chain constraints, deal-

ers can take advantage of this lull to tune up systems and processes so they are fully optimized when supply of vehicles rebounds. “After a year of momentous change across our industry, Cox Automotive set out to better understand the most effective strategies for dealership success. Our ‘How to Thrive’ findings reveal the dealerships that capitalized on new strategies and capabilities flourished amid challenging circumstances,” added Wittman. According to the “How to Thrive” study findings, most dealerships fall into two dueling mindsets―those that are either adapting and thriving or static and struggling. The study found commonalities and advantages among the most successful dealers, aka Thrivers―those who have overcome recent challenges and defied the odds to improve their KPIs. Thrivers are doing things differently, including:

tailing into their dealership’s sales process.

during this time,” said a small franchise Thriver.

Adapting to customer desires in fixed ops: 70% of Thrivers are using text and/or email for quote approval, including pictures and videos, while 65% are also offering service pickup and delivery to enhance convenient solutions for customers.

“Implementation of digital contracting reduces turnaround time for paperwork for customers whether they are at home, in our showrooms or the service lane,” said a medium franchise Thriver.

Offering digital options across the experience: 59% of Thrivers have a strategy to incorporate digital re-

“Being flexible with online sales and remote deliveries has gained more loyalty and more referrals

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Investing in their staff: 73% of Thrivers make employee satisfaction as important as CSI scores.

For more information on this study, download our Thrivers eBook at www.coxautoinc.com/thrivers/

Cox’s findings from the “How to Thrive” study underscore how investing in the right transformational technologies today will drive tomorrow’s better business outcomes. Direct comments from the qualitative portion of the study include:

Source: Cox Automotive

by Auto Rental News Staff

The bankruptcy court overseeing Hertz Global Holdings Chapter 11 proceedings has approved Hertz’s reorganization plan, the company reported June 10.

Volkswagen of South Mississippi D’lberville

Hertz achieved payouts to equity, which are virtually unheard of in Chapter 11. Credit: Photo via flickr, www.dhub.com

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The court’s approval clears the way for Hertz to emerge from Chapter 11 by the end of June. According to Hertz, creditors will be paid in full while existing shareholders will receive more than $1 billion in value. The plan will erase more than $5 billion in debt and provide more than $2.2

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Maximizing usage of data: 86% of dealers agree having accurate and complete customer data is a priority at their dealership.

billion in liquidity. Hertz will emerge with $2.8 billion in credit and an approximately $7 billion of asset-backed vehicle financing facility. “As a result of its restructuring efforts, Hertz will emerge from Chapter 11 with a substantially stronger balance sheet and greater financial flexibility than it had prior to the onset of the COVID-19 pandemic,” Hertz said in a statement. “With the court’s approval of our plan today and a committed new investor group, we are poised to exit Chapter 11 by the end of this month as a well-capitalized and even more competitive company, with the flexibility and resources to pursue exciting new growth opportunities,” said Paul Stone, Hertz’s president and CEO. U.S. Bankruptcy Judge Mary Walrath said in hearing June 10 that payouts to equity are virtually unheard of in Chapter 11. The case “surpasses any result that I’ve seen in any Chapter 11 case that I’ve faced in my 20-plus years,” Walrath said, according to a Bloomberg report.

autobodynews.com / JULY 2021 AUTOBODY NEWS 47

Changing The Repair Process

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48 JULY 2021 AUTOBODY NEWS / autobodynews.com

July 2021 Southeast Edition

Articles inside

Audi Wholesale Parts Dealers��

Classifieds ��

Certified Automotive Parts Association ��

Riverside Ford-Lincoln ��

Gus Machado Ford��

Landers Chrysler-Dodge-Jeep-Ram��

Florida Filtration & Spray Booth Services��

Equalizer Industries Inc��

Jim Cogdill Chrysler-Dodge-Jeep-Ram ��

Harper Volkswagen��

American Icon Automotive Finishes��

Sorbothane Soft-Blow Mallet ��

Axalta Coating Systems ��

July 2021 Southeast Edition

Articles inside

Audi Wholesale Parts Dealers��������������������������

Classifieds ������������������������������������������������������

Certified Automotive Parts Association ������������

Riverside Ford-Lincoln ������������������������������������

Gus Machado Ford������������������������������������������

Landers Chrysler-Dodge-Jeep-Ram����������������

Florida Filtration & Spray Booth Services���������

Equalizer Industries Inc�����������������������������������

Jim Cogdill Chrysler-Dodge-Jeep-Ram �����������

Harper Volkswagen�����������������������������������������

American Icon Automotive Finishes�����������������

Sorbothane Soft-Blow Mallet ��������������������������

Axalta Coating Systems ������������������������������������

Audi Wholesale Parts Dealers��

Classifieds ��

Certified Automotive Parts Association ��

Riverside Ford-Lincoln ��

Gus Machado Ford��

Landers Chrysler-Dodge-Jeep-Ram��

Florida Filtration & Spray Booth Services��

Equalizer Industries Inc��

Jim Cogdill Chrysler-Dodge-Jeep-Ram ��

Harper Volkswagen��

American Icon Automotive Finishes��

Sorbothane Soft-Blow Mallet ��

Axalta Coating Systems ��