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VOL. 7 ISSUE 9 NOVEMBER 2016
After Matthew, Insurance Claims Pour In and Some Policyholders Realize Hard Truth
Florida’s No-Fault Insurance Reforms Finally Appear to be Lowering Premiums as 2012 Reforms Kick-in
Homeowner and auto insurers are dealing with thousands of claims in the aftermath of Hurricane Matthew. And some policyholders are discovering—or
Only a dozen or so states have no fault auto insurance, down from twice that many in the 1970’s. Advocates say it simplifies and minimizes the invasiveness of insurance law, but it’s increasingly costly and problematic for most residents who are starting to see it as a form of double taxation. Most states use a tort system in which at-fault drivers in a crash are responsible for paying the other driver’s medical expenses. The at-fault driver must also pay for additional damages, such as loss of wages and “pain and suffering.” Michigan has the most comprehensive no-fault law and continues to tinker with the process, but states such as Colorado have dropped their nofault system and have seen a reduction in premiums of up to 35% or $322 per
by Robert McCabe, The Virginian Pilot
rediscovering—a hard truth: standard homeowners’ policies typically do not cover flood damage; that is, damage from rising water. While comprehensive auto insurance can cover flood damage, that’s not the case for homeowner’s coverage. Protection from flood damage to homes must be obtained separately through the National Flood Insurance Program, which is typically purchased through one’s existing homeowner’s insurer. State Farm, the largest inSee After Matthew, Page 6
OSHA Launches New Whistleblower Pilot Program
for a whistleblower’s case to move to the administrative law judge on an expedited basis, the following criteria must be met:
● The claim is filed under a statute that allows for the administrative law judge to newly review, or review de See OSHA Whistleblower, Page 25
P.O. BOX 1516, CARLSBAD, CA 92018
Meeting Criteria to Expedite In announcing the program, OSHA acknowledged that the investigation
process can be lengthy and therefore wants to facilitate complaints receiving a quicker determination, if possible, by electing to expedite. In order
Change Service Requested
OSHA has launched a new pilot program, titled “Expedited Case Processing Pilot,” in its Western region, which covers California, Nevada, Arizona, Hawaii, American Samoa, the Northern Mariana Islands, and Guam. The new program allows a whistleblower who has filed a complaint to ask OSHA to stop its investigation and issue findings in an expedited fashion that can be reviewed by a Department of Labor (DOL) administrative law judge. Here is OSHA’s press release describing the program.
by Autobody News Staff
vehicle annually. In Georgia, where no-fault was repealed in 1991, premiums dropped 20% almost immediately. Florida drivers currently pay the nation’s fourth highest car insurance premiums. Florida’s no-fault law provides that after a vehicle accident an injured person’s own insurance company will provide coverage for medical expenses and lost income, no matter who was at fault for the accident. This works reasonably well for minor incidents and minimizes frivolous claims, and court claims in general. However, auto accidents involving major injuries or wrongful death are much more complex, and even simple accidents are prone to fraud and abuse, all the more so when staged to secure PIP benefits. Florida began no-fault in 1972 with a seemingly simple rationale. See No-Fault Insurance, Page 20
Mike Causey’s Campaign for NC Insurance Commissioner Gains Support from Collision Repairers
Since announcing his campaign to run against Wayne Goodwin, the Demofor North Carolina Insurance Com- crat incumbent Insurance Commismissioner, collision repair industry sioner of NC. According to Causey, “I veteran Mike Causey has spoken at a ran against the same wealthy lawyer/cavariety of venues across his reer politician four years ago. state, including several inIn 2012, I won the Republican dustry events. He attended primary and had little money the August and September against his $1.3 million cammeetings of the North Carpaign war chest, but still got olina Association of Collimore votes than he did on election day and won 55 of the sion and Autobody Repair 100 NC counties; however, I (NCACAR) to speak about Mike Causey lost the election in early votsome of the issues he’d like to tackle if elected, but he faces a huge ing numbers, being clobbered by the Obama success in the big cities. So challenge in combatting the influence close, but no cigar. Out of 4.3 million of big insurance companies. Causey stated, “It’s a classic David vs. Goliath votes, we came up short 30 votes per battle, but I am getting support from precinct (2709 precincts in NC)! In the body shops that want to see many ways, this year is similar to 2012 – insurance companies backing an inchange. If people pay attention to this cumbent ‘friend’ and showering him race and go vote, I will win!” with campaign donations, but in 2016, Causey, a Republican, is running for NC Insurance Commissioners See Mike Causey, Page 19
Presorted Standard US Postage PAID San Bernardino, CA Permit #2244
2 NOVEMBER 2016 AUTOBODY NEWS | www.autobodynews.com
Contents
COLUMNISTS Attanasio - Northern California Body Shop Paints Huge Coffee Cup for Major Artist . 60 Attanasio - Signs, Signs–Everywhere are Signs. So How Do You Stand Out? . . . . 30 Luehr - The Art of Business . . . . . . . . . . . 56 Luehr - The Simple Rule on Pre-ordering Parts . . . . . . . . . . . . . . . . . . . . . . . . . . 46 Phillips - Bodyshop Revolution Expands to United States with Unique Technology & Processes . . . . . . . . . . . . . . . . . . . . 42 Yoswick - Retro News: Infant Deaths in 96, Customer Retention, Suggestions for DRPs, OEM Procedures . . . . . . . . . . . . 48 Yoswick - Shops Nationwide Need To Understand Federal Overtime Change Slated For December 1. . . . . . . . . . . . . 38 NATIONAL A New Tool For Estimating Reaps $6.3M for Estify. . . . . . . . . . . . . . . . . . 58 A Second-Generation Female Shop Owner Fights the Odds and Wins . . . . . . . . . . 32 Advanced Measurement Systems Welcomes Professional Maintenance . . . . . . . . . . 10 Alcoa Unveils Breakthrough RSR™ Joining System For Next Generation Lightweight Vehicles. . . . . . . . . . . . . . . . . . . . . . . . 10 ARA Applauds Introduction of New OEM Parts Indemnification Legislation . . . . . 64 ASA Hosts Largest Regional Education Program of 2016 during AAPEX . . . . . . 66 Auto Care Association Identifies Alibaba as Notorious Market for Counterfeits. . . . . 54
Publisher & Editor: Jeremy Hayhurst General Manager: Barbara Davies Online Editor and Copywriter: Deana Cacus Contributing Writers: Tom Franklin, John Yoswick, Janet Chaney, Toby Chess, David Brown, Rich Evans, Ed Attanasio, Chasidy Sisk, David Luehr, Stacey Phillips, Victoria Antonelli Advertising Sales: Joe Momber, Sean Hartman, Bill Doyle, Norman Morano (800) 699-8251 Office Manager: Louise Tedesco Sales Assistant: Jessica Day Content/Social Media Specialist: Cass Heckel Art Director: Rodolfo Garcia Graphic Designer: Michelle Lucas
additional presence in the state will allow us to better serve new customers and our insurance partners and our co-location with a car dealership gives us a prime opportunity to introduce dealership customers to Gerber’s high level of quality and service.” The Company uses newly acquired brand names during a transition period until acquired locations have been rebranded. The Company is also a major retail auto glass operator in the U.S. with locations across 31 U.S. states under the trade names Gerber Collision & Glass, Glass America, Auto Glass Service, Auto Glass Au-
Audi of Charlotte . . . . . . . . . . . . . . . . 6 Audi Wholesale Parts Dealers . . 40-41 Axalta Coating Services . . . . . . . . . . 5 BASF Corporation. . . . . . . . . . . . . . 21 BMW Wholesale Parts Dealers . . . . 66 Car-Part.com . . . . . . . . . . . . . . . . . . . 8 CarcoonAmerica Airflow Systems . 48 Certified Automotive Parts Association (CAPA). . . . . . . . . . . 33 ChemSpec USA, LLC . . . . . . . . . . . 25 Chief Automotive. . . . . . . . . . . . . . . 23 Classifieds. . . . . . . . . . . . . . . . . . . . 70 Coggin Deland Honda . . . . . . . . . . 28 Diamond Standard Parts . . . . . . . . 57 DJS Fabrications. . . . . . . . . . . . . . . . 6 Eagleville Marketing Group . . . . . . 22 Eckler’s Automotive . . . . . . . . . . . . 59 Eco Repair Systems of North America, LLC. . . . . . . . . . . . . . . . 38 ECS Automotive Concepts . . . . . . . 12 EMM . . . . . . . . . . . . . . . . . . . . . . . . 51 Equalizer Industries, Inc . . . . . . . . . 31 Everett Chevrolet-Buick-GMCadillac . . . . . . . . . . . . . . . . . . . 39 FBS Distribution Co., Inc. . . . . . . . . 11 Ford Wholesale Parts Dealers . . . . 67 GM Wholesale Parts Dealers . . . . . 69 Gus Machado Ford . . . . . . . . . . . . . 46 Hendrick Automotive Group . . . . . . . 7 Hendrick Automotive Group of Charleston. . . . . . . . . . . . . . . . . . 72 Hendrick BMW/MINI . . . . . . . . . . . . 43 Hendrick Dodge . . . . . . . . . . . . . . . 30 Hendrick Kia Cary . . . . . . . . . . . . . . 55 Hendrick Kia Concord . . . . . . . . . . 55 Herkules Equipment Corporation. . 14 Honda-Acura Wholesale Parts Dealers. . . . . . . . . . . . . . . 35, 36-37 Hyundai Wholesale Parts Dealers . . . . . . . . . . . . . . . . . . . . 56 Jim Cogdill Chrysler-Dodge-JeepRam . . . . . . . . . . . . . . . . . . . . . . . 22
See Gerber Expands, Page 22
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. ©2016 Adamantine Media LLC.
Southeast
Autobody Advantage Breast Cancer Fundraiser, ‘Boo for Boobs’ Event Returns . . . . . . . . . . . . . . . . . . . . . . . . 11 Automotive Recyclers Admonishes General Motors for Position on Recycled Parts. . 58 Axalta Launches New Resins, Talks Diversity, Awards “Best in Blue” . . . . . . 62 BASF Makes 37 Custom Jaguar/Land Rover Colors . . . . . . . . . . . . . . . . . . . . . . . . 34 California Revises Self-Driving Rules, Drops Third-Party Requirement, OK’s No Human Driver. . . . . . . . . . . . . . 4 CCC Introduces DRIVE™ Platform, Secure Share™ Network . . . . . . . . . . . . . . . . . 52 Collision Repair Education Foundation Receives Highest Rating From Charity Navigator . . . . . . . . . . . . . . . . . 55 Federated Auto Parts is Gold Lifetime Trustee of University of the Aftermarket Foundation . . . . . . . . . . . . 25 First Auto Body Association of Texas Trade Show Held in Richardson, TX. . . . . . . . 16 Killer Tools Gives SEMA Preview, Discusses Future of Collision Repair Products . . . . . . . . . . . . . . . . . . . . . . . 40 Many Steps Add to Huge Productivity Gains. . . . . . . . . . . . . . . . . . . . . . . . . . 67 Mercury Names the Safest and Most Affordable Cars to Insure for Teens . . . 52 Mike Cassata Joins AR Direct . . . . . . . . . 68 Mitchell Partners with Tractable to Bring Artificial Intelligence to Insurance Claims for the First Time . . . . . . . . . . . 54 More than $1M in Cocaine Seized at Lancaster, SC, Body Shop . . . . . . . . . . 22 NCACAR’s Second Meeting Gains Attention of Vendors and Sponsors. . . . . . . . . . . 12 NHTSA Investigates F-150 Models for Brake Failure. . . . . . . . . . . . . . . . . . 62 OSHA Launches New Whistleblower Pilot Program. . . . . . . . . . . . . . . . . . . . . 1 PCI Says CFA Insurance Rating Study is Flawed . . . . . . . . . . . . . . . . . . . . . . . 68 Phillips - Chicago Body Shop Aims to Redefine the Collision Repair Experience for Customers . . . . . . . . . . 28 Portland, OR, Body Shop Owner Becomes Homeless Advocate . . . . . . . . . . . . . . . 44 Robert “Paul” Hulsebusch Passes Away in Texas, Age 50 . . . . . . . . . . . . . . . . . 18 SCRS Announces Panelists for OEM Collision Repair Technology Summit Session on Scanning . . . . . . . . . . . . . . 64 Service King Breaks Recycled Rides Donation Record . . . . . . . . . . . . . . . . . 68 Sherwin-Williams Approved for American Honda and Acura US Warranty Repair. . 66 Study: Consumers Want Option to Control Autonomous Cars . . . . . . . . . . . 4 Tips for First-Time SEMA Attendees from Industry Veterans. . . . . . . . . . . . . 34 WIN Kicks Off 2017 “All In For WIN” Membership Drive . . . . . . . . . . . . . . . . 62
Gerber Collision & Glass announced the October 17, 2016 opening of a new collision repair center in Greenville, North Carolina. The center previously operated as the collision repair department of Hastings Ford and served the community for 46 years. Greenville is located about 85 miles east of Raleigh, North Carolina and the center is located on a busy thoroughfare in close proximity to Interstate 264. “This is our first location in the Greenville area and complements our centers located around Raleigh, Charlotte and Wilmington,” saidTim O’Day, President and COO of the Boyd Group’s U.S. operations. “This
Indexof Advertisers
REGIONAL After Matthew, Insurance Claims Pour In and Some Policyholders Realize Hard Truth . . 1 Attendees Receive Industry Training at IGONC’s 2016 ASTE . . . . . . . . . . . . . . 14 Axalta Heads South to Cruise the Coast of Mississippi . . . . . . . . . . . . . . . . . . . . 8 Carfax: Number of Flood-damaged Cars on Roads is up 30% from 2013 . . . . . . 50 Florida’s No-Fault Insurance Reforms Finally Appear to be Lowering Premiums as 2012 Reforms Kick-in . . . . . . . . . . . . . . 1 Mike Causey’s Campaign for Insurance Commissioner Gains Support from Collision Repair Professionals . . . . . . . . 1 Norfolk Firefighters Battle Fire at Auto Parts Store . . . . . . . . . . . . . . . . . 12 North Carolina Association of Collision and Autobody Repair Hosts October Meeting . 8 Phillips - Lincoln Tech Helps Students Get on the Road to a Career in Collision Repair . . . . . . . . . . . . . . . . . . 26 Police blotter: Auto parts employee accused of $12K embezzlement. . . . . . 14 Service King Names Stu Crum as COO . . 19 Service King Opens 8th Atlanta Repair Center. . . . . . . . . . . . . . . . . . . . 12 Thieves Caught on Camera Sought in Theft of Wheels in Pentagon City Area. . . . . . . 8
Gerber Collision & Glass Opens Repair Location in Greenville, North Carolina
Autobody News Box 1516, Carlsbad, CA 92018; (800) 699-8251 (760) 603-3229 Fax www.autobodynews.com Email: news@autobodynews.com
Jon Hall Chevrolet . . . . . . . . . . . . . 16 Kernersville Chrysler-DodgeJeep-Ram . . . . . . . . . . . . . . . . . . 29 Kia Motors Wholesale Parts Dealers. 65 Killer Tools & Equipment. . . . . . . . . 71 Lexus Wholesale Parts Dealers . . . 68 Lusid Technologies . . . . . . . . . . . . . 17 Mazda Wholesale Parts Dealers . . . 64 Mercedes-Benz . . . . . . . . . . . . . . . . 27 Mercedes-Benz Wholesale Parts Dealers . . . . . . . . . . . . . . . . . . . . 52 MINI Wholesale Parts Dealers . . . . 66 MOPAR Wholesale Parts Dealers . . 45 Nissan of Richmond . . . . . . . . . . . . 50 O’Brien Hyundai-Subaru-Mazda . . 60 O’Reilly Auto Parts . . . . . . . . . . . . . 53 Polyvance . . . . . . . . . . . . . . . . . . . . 24 Porsche Wholesale Parts Dealers . 62 PPG . . . . . . . . . . . . . . . . . . . . . . . . . . 2 Preval . . . . . . . . . . . . . . . . . . . . . . . 47 Priority Automotive Group . . . . . . . 54 ProLine Tool & Supply . . . . . . . . . . 42 Radley Chevrolet. . . . . . . . . . . . . . . 44 Rick Hendrick Chevrolet Naples. . . 32 Rick Hendrick Dodge-ChryslerJeep-Ram. . . . . . . . . . . . . . . . . . . 10 Riverside Ford-Lincoln . . . . . . . . . . 14 Safety Regulation Strategies . . . . . 34 SATA Dan-Am Company . . . . . . . . 15 Sorbothane . . . . . . . . . . . . . . . . . . . 20 Southside Kia . . . . . . . . . . . . . . . . . 61 Spartanburg Chrysler-DodgeJeep-Ram . . . . . . . . . . . . . . . . . . 18 Subaru Wholesale Parts Dealers . . 63 Tameron Hyundai . . . . . . . . . . . . . . 34 U-POL US . . . . . . . . . . . . . . . . . . . . 49 Valspar Automotive . . . . . . . . . . . . . . 9 Vibac Group . . . . . . . . . . . . . . . . . . 13 Volkswagen Wholesale Parts Dealers . . . . . . . . . . . . . . . . . . . . 58 West Broad Hyundai. . . . . . . . . . . . 26 WyoTech . . . . . . . . . . . . . . . . . . 19, 25
www.autobodynews.com | NOVEMBER 2016 AUTOBODY NEWS 3
Study: Consumers Want Option to Control Autonomous Cars by Michael Wayland, The Detroit News
Public acceptance of self-driving cars could hang on one thing: Not completely taking away the keys from human drivers. A Future Autonomous Vehicle Driver Study commissioned by Kelley Blue Book found four out of five people believe a human driver should always have the option to drive themselves instead of having a full selfdriving vehicle. “They’re not really ready for a fully autonomous vehicle,” said Rebecca Lindland, senior analyst for the vehicle valuation and information company. About one in four people (26 percent) would be interested in a self-driving vehicle for their next vehicle lease or purchase by 2020 as long as there’s an option for a human driver to take over. That compares to one in five (20 percent) for partial autonomy and about one in eight (13 percent) for a purely self-driving vehicle.
Ford research engineer Ghassan Atmeh, left, and supervisor Andrew Richardson “drive” an autonomous car in demonstration on Dearborn roads. Credit: David Guralnick, Detroit News
The study assumes all levels of autonomy will be available in the next four years. Several automakers have announced ambitions to offer self-driving vehicles in the coming years— mainly for controlled fleets such as ride-hailing or car-sharing services. The responses are based on a scale of autonomy from level 0 for human only, to level 5 for full autonomy with no option for a human driver to take control. The vast majority of vehicles on the road today are considered level 0 and level 1 “modern vehicles,” according to the study. “People definitely feel like level 4 (full autonomy with human control available) is the sweet spot,” Lindland said. “They want a vehicle that can drive itself, but then there’s also times they want to drive.” The survey results call into ques-
tion strategies by some automakers to offer level-3 partially automated vehicles as well as fully self-driving in the coming years. Some automakers—most notably Tesla Motor Inc.—have launched or plan to launch what is considered partial autonomy (level three) vehicles that have the ability to keep a vehicle in its lane, drive with the speed of traffic and even change lanes with the touch of a turn signal. But a driver is still necessary to monitor in case of a system not being able to drive. “There is definitely an opportunity to skip over level 3,” Lindland said, adding that airplanes with autopilot are still considered level 4. “Not being able to fully relax is the biggest deterrent for level 3.” General Motors Co. plans to release its level-3 competitor to Tesla’s Autopilot system called Super Cruise in 2017. The company has said it will keep steering wheels and other humancontrolled components in cars for the foreseeable future. “We believe through an evolution we’re able to put the technology into the vehicles,” GM Chairman and CEO Mary Barra told reporters ahead of the automaker’s annual shareholders meeting in June. “And it is very important that we demonstrate safety. We think that having that capability when the steering wheel and the pedals are still in the vehicle is a very good way to demonstrate and prove the safety.” That contrasts with Ford Motor Co. The Dearborn-based automaker in August announced plans to have a fully driverless car without a steering wheel or pedals for braking and acceleration in 2021. Going straight to a car that doesn’t need a driver, steering wheel or pedals offers bigger benefits to passengers and is more profitable, the automaker said. The cars, Ford said, would be available only for commercial applications like ride-sharing in major cities at first. However, even current ride-share users aren’t sold on fully autonomous vehicles, according to the KBB study. About 40 percent of current ridesharing users said the most appealing level of self-driving vehicles would be for full autonomy with the driver able to take over. That compares to 28 percent of ride share users for full autonomy. “Even among those ride-share
4 NOVEMBER 2016 AUTOBODY NEWS | www.autobodynews.com
“No Steering” says Celphy.
users, we’re still seeing level 4 as the peak, or sweet spot,” Lindland said. “It’s just a running theme that we found.” More familiarity with advanced automated technologies would likely increase acceptance rates: The study found 48 percent of people who own a level 2 vehicle with limited autonomy would purchase a level 5 vehicle for their next car or truck. That compares
to 11 percent of those who do not own a level 2 vehicle. The Future Autonomous Vehicle Driver Study was conducted by Culver City, California-based Vital Findings. It is based on an online survey of more than 2,200 people age 12-64 during the week of May 20. We thank The Detroit News for reprint permission.
California Revises Self-Driving Rules, Drops Third-Party Requirement, OK’s No Human Driver
Last month California unveiled revised rules that carmakers will have to comply with the 15-point NHTSA assessment instead of self-driving cars being required to be tested by a third-party, as in the original proposal. California would allow for the absence of a human driver and a steering wheel in advanced self-driving cars, provided there is twoway communication with the vehicle and NHTSA approval. California will hold a public hearing on the proposal Oct. 19. President Barack Obama wrote a Pittsburgh Post-Gazette op-ed last month saying the administration is asking automakers “to sign a 15-point safety checklist showing not just the government, but every interested
American, how they’re doing it.” Cain also raised concerns about whether the NHTSA guidelines are too vague. “The problem is there is going to be accountability and there is going to be enforcement,” Cain said, saying in some areas NHTSA needs to offer more specific guidance. “We need to go through this with a fine tooth comb.” Former NHTSA Administrator David Strickland, who now represents Google, Ford Motor Co. and Uber, raised concerns at the forum about whether NHTSA has the expertise to review all of the data they are seeking on self-driving vehicles. Congress may need to “better resource the agency for this new mission,” he said.
www.autobodynews.com | NOVEMBER 2016 AUTOBODY NEWS 5
Continued from Cover
After Matthew
surer of homes and cars in Virginia in 2015, reported 850 homeowner claims and 560 auto claims statewide as of Monday, October 10. “We’re just really in the initial stages,” said Michal Brower, a State Farm spokeswoman, who added that the number of claims is expected to increase. Virginia so far has generated more State Farm auto claims than any other Southeastern state affected by Matthew, Brower said. Florida and South Carolina each have reported about 500 auto claims for the Illinois-based insurer. “Honestly, we don’t necessarily know why,” Brower said. State Farm reported 8,350 total homeowner claims and 2,150 auto claims from Florida through Virginia as of Monday, October 10. USAA and Allstate were the No. 2 and No. 3 homeowner insurers in Virginia last year, according to the Insurance Information Institute, a New York-based industry association. State Farm, Berkshire Hathaway Inc. and
USAA were the top three auto insurers in the state, the association reported. “We’ve had roughly 15,000 total claims” from Florida through Virginia, said Rich Johnson, a spokesman with Texas-based USAA. “We’re seeing a lot of wind damage.” There appeared to be a higher incidence of flood-damage reports in Virginia extending into North Carolina, he added. USAA has sent a catastrophe unit to Fayetteville, N.C., because of the flooding impacts in that area. As more people return to their homes, more claims are expected to roll in. “I think we’re going to see it change and alter in the days to come,” Johnson said, adding that the additional claims volume could continue for weeks. Allstate said it could not provide a claims-volume estimate by late afternoon on Oct. 10. “It is too soon to know the number of claims we expect to receive, but our adjusters are working closely with customers in affected areas to help guide them through the claims process,” said April Eaton, an Allstate spokeswoman, in an email.
6 NOVEMBER 2016 AUTOBODY NEWS | www.autobodynews.com
“We’re getting a number of floodlike claims that are not actually covered,” said Susan Tinsley, general manager of the Richmond-based Virginia Property Insurance Association, which was formed in 1968 to provide dwelling and commercial coverage for those who can’t find it in the standard market for any number of reasons. The association reported receiving 60 claims in Virginia as of Monday morning, primarily related to trees fallen on homes, roof damage and flooding, in that order, Tinsley said. About 10 of those are for flood damage. The association insures roughly 29,000 policyholders, about 8,000 of them in its “sea-coast territory,” extending from Hampton Roads up through the Eastern Shore. It expects, based on current volume, to get about 150 claims from that region within the next two to three days, Tinsley said. Virginia is one of 19 states that have in place some form of so-called hurricane or “named storm” deductibles, which were introduced as a way to shift more of the risk from hurricanes to policyholders “without raising overall premiums to unaffordable
levels,” according to the Missouribased National Association of Insurance Commissioners. Hurricane deductibles can take the form of a fixed-dollar figure or, more often, a percentage of a home’s insured value, varying from roughly 1 percent to as high as 10 percent, according to the NAIC. Brower, the State Farm spokeswoman, said that the hurricane-deductible provision for Virginia policyholders was not triggered because no hurricane warning or watch was issued for the state. Asked whether that was good news or bad news for State Farm customers in Virginia, Brower recommended that policyholders check with their agents to find out what deductibles were set in their policies. “Customers, in many cases, will be paying a lower deductible,” said Erin Zabel, a State Farm agent in Chesapeake. As of late afternoon Oct. 10, it was unclear whether Matthew had triggered the hurricane-deductible provision for other insurers. We thank The Virginian Pilot for reprint permission.
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www.autobodynews.com | NOVEMBER 2016 AUTOBODY NEWS 7
Thieves Caught on Camera Sought in Theft of Wheels in Pentagon City Area by Andrew Ramonas
Two men wanted for stealing tires and rims from at least three cars in the Pentagon City area this month have been
caught on camera, Arlington County Police said today. The thefts happened on the 1600 block of S. Joyce Street around 7:15 a.m. on Sept. 8, the 1300 block of Army Navy Drive around 7:30 a.m. on Sept. 8 and the 900 block of S. 15th Street around 3 a.m. on Sept. 20. Similar wheel thefts have been periodically reported in and around Pentagon City over the past few years. From an ACPD news release: At approximately 7:15 a.m. on
September 8, units were dispatched to the 1600 block of S. Joyce Street for the report of a vehicle being left on concrete blocks with all four tires and rims removed. At approximately 7:30 a.m.,
officers responded to the 1300 block of Army Navy Drive for the report of a second vehicle located on concrete blocks with all four tires and rims removed. The suspects were captured on surveillance camera pulling up in what appears to be a light colored four door sedan. The first suspect is described as a male wearing a hooded jacket, pants and gloves. The second suspect is described as a medium to dark skinned male with a beard and skull cap. At approximately 3:00 a.m. on
Axalta Heads South to Cruise the Coast of Mississippi
Axalta Coating Systems attended the 20th annual Cruisin’ The Coast® festival held in Mississippi on October 2-9.
Organized in 1996 to celebrate antique, classic, and hot rod vehicles as well as retro music, the festival has since grown into “America’s largest block party.” Car enthusiasts from 44 states, Canada, Europe, and Puerto Rico traveled to the Mississippi Gulf Coast to showcase their vehicles and cruise the 30-mile stretch of beachside highway with stops in Bay St. Louis, Biloxi, D’Iberville, Gulfport, Pass Christian and Ocean Springs. Axalta chose to cruise the coast with Rudy Laris Jr.’s 1955 Chevrolet Bel Air, built by Goldman Customs and painted with Axalta’s ChromaPremier® Pro paint and Hot HuesTM custom finishes.
Each Cruisin’ The Coast venue was a mini festival with live bands, registered cruisers, food and merchandise vendors. The weeklong event included cruise-ins, a Salute to Our Veterans event, car auctions, swap meets, car corrals, a parade, and more than 7,000 vehicles. Builders and enthusiasts gathered at every stop to network, develop ideas, and answer the all-important question, “What color should I paint my new project car?” According to the company, Axalta representatives were on hand to offer attendees exquisite examples of automotive art created with brilliant paint from all of Axalta’s global refinish brands: Cromax®, Nason®, Standox® and Spies Hecker®, in addition to the Hot Hues™ line of custom colors. For more information, visit axaltacoatingsystems.com.
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September 20, units were dispatched to the 900 block of S. 15th Street for the report of a vehicle being left on plastic crates with all four tires and rims removed. Unknown suspect(s) entered
the parking garage, repositioned the security camera and broke the passenger window to make entry into the vehicle. Anyone with information on the identity of these individuals or details surrounding these incidents is asked to contact Detective S. Whalin of the Arlington County Police Department’s Auto Theft Unit at (703) 228-4159 or at Swhalin@arlingtonva.us. To report information anonymously, contact the Arlington County Crime Solvers at 866-411-TIPS (8477).
North Carolina Association of Collision and Autobody Repair Hosts October Meeting
The North Carolina Association of Collision and Autobody Repair (NCACAR) met on October 25th at the Gaston County Wildlife Club on the water at Lake Wylie.
Guest speakers included Wayne Goodwin, NC Commissioner of Insurance and Ed Kizenberger, executive director of the New York State Auto Collision Technician’s Association (NYSACT). Goodwin was elected North Carolina Commissioner of Insurance in 2008 and is currently running for reelection. The NYSACT is a non-profit serving the Nassau and Suffolk counties of Long Island. For more information contact meredith@kandmcollision.com or call (828) 569-1275.
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Advanced Measurement Systems Welcomes Professional Maintenance
Advanced Measurement Systems, Inc. (AMS) has announced the addition of Professional Maintenance as a new distributor serving North and South Carolina for AMS Laser Measuring products. Professional Maintenance was founded in 1982 and has grown into a full service
SPECTRE, its patented, cordless Bluetooth laser measuring system that can certify measurement accuracy. According to the company, simultaneous laser tracking of multiple measurement points provides dynamic accurate 3D measurements. The True Angle dual axis tilt sensor
equipment company offering service, sales and installation for several brands of equipment. Professional Maintenance is headquartered 20 miles outside of Fayetteville, NC and enjoys branches in Spartanburg, SC and Chesapeake, VA. Bill Mitchusson, sales manager for AMS, said, “Professional Maintenance is a talented team of specialists that we are happy to add to the AMS family. We have just a few spots left for protected territories, so the time is now to join our team. After SEMA, we know shops will be calling for our new Spectre!” AMS recently introduced
compensates for out of level laser or vehicle positions. “SPECTRE, at less than six inches, provides measurement capability anywhere with any type lift/frame equipment,” a statement from the company read. The company will be exhibiting at SEMA in Booth #51103. For more information, visit www .ams-laser.com.
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Alcoa Unveils Breakthrough RSR™ Joining System For Next Generation Lightweight Vehicles Alcoa has announced a breakthrough in resistance spot riveting called the RSR™ joining system, a high-performance joining solution for multi-material vehicles. RSR technology can join dissimilar materials using the same equipment as conventional spot welds but offers automakers the flexibility to switch between it and conventional welds, depending on the material. This RSR resistance spot riveting technology solves long-time automotive challenge of joining dissimilar materials, according to the company. ● The RSR joining system allows for the flexible joining of various combinations of automotive material and results in joints that are 10-20% stronger than joints utilizing competing technologies ● Automakers can utilize Alcoa’s RSR technology with existing spot welding equipment and robotic automation, saving capital expense, minimizing production interruption and providing greater flexibility in deploying a variety of materials in their vehicles ● Alcoa engineers are working with Honda R & D Americas, Inc, in DOE
project to demonstrate the use of RSR joining on a prototype scale “Our RSR technology is going to be a powerful tool in the array of joining options for the automotive industry,” said Ray Kilmer, Alcoa’s Chief Technology Officer and Executive Vice President. “As automakers continue to design vehicles using multimaterial combinations, RSR technology is the ideal joining solution. It can easily accommodate stack up changes on the assembly line and it leverages existing welding robots outfitted with our automatic feeding systems.” Alcoa recently received a grant from the Department of Energy to work with Honda R & D Americas, Inc and Ohio State University to continue to demonstrate the use of RSR joining on a prototype scale. Ultimately, the goal is to enable multi-material automotive body structures that achieve an additional 10–20% weight reduction over those made from conventional high strength steel. “We are working with Alcoa on advanced alloys and the RSR joining See RSR Technology, Page 22
Autobody Advantage Breast Cancer Fundraiser, ‘Boo for Boobs’ Event Returns
by Quint Qualls, The Spring Hill Home Page
Autobody Advantage plans to once again spend the entire month of October dedicating profits to the Tennessee Breast Cancer Coalition, a nonprofit that assists patients with everything from electric bills, prescriptions and insurance copays to rent and mortgage payments.
Jim and Dawn Grimes, Autobody Advantage’s owners, will donate 10 percent of profits from all mechanical services at the Thompson’s Station store and all self-pay collision repair at both the Thompson’s Station and Spring Hill stores Oct. 1-31. Held in honor of National Breast Cancer Awareness Month, the fundraiser benefits the Tennessee Breast Cancer Coalition’s emergency access fund, which provides financial assistance to men and women undergoing breast cancer treatments. As a part of the fundraiser, anyone who makes a donation at either of the
store locations or via www.Autobody Advantage.com will receive a key to a combination lock that may unlock a brand new DPMS Panther Arms 5.56 Caliber AR-15 from Northside Gunshop or $500 cash.
Fundraising effort leads up to ‘Boo for Boobs’ event The month-long fundraiser for breast cancer patients will culminate with the company’s ‘Boo for Boobs’ event on Oct. 28, which will feature free hamburgers and hotdogs courtesy of O’Reilly Auto Parts in Spring Hill and fresh-squeezed lemonade courtesy of the Fairview Fried food truck operated by Autobody Advantage employees Jamie and Catherine Metts. The locked boxes containing the AR-15 and $500 cash will be available at the Boo for Boobs event, and donors will have the opportunity to try their combination lock keys to see if they’ve won. Representatives of the Tennessee Breast Cancer Coalition will also be on hand for anyone who would like more information regarding the nonprofit’s mission, or for anyone currently undergoing treatment for breast cancer that may need assistance. The Boo for Boobs event will be
held from 11 a.m. to 2 p.m. on Oct. 28 at Autobody Advantage’s Thompson’s Station store, located at 1500 Thompson’s Station Road West.
Autobody Advantage hopes to improve on 2015 fundraising effort Last year, Autobody Advantage donated $5,000 to the Breast Cancer Coalition as a result of its October
fundraiser and Boo for Boobs event. According to Jami Eller, executive director of the coalition, that $5,000 meant at least five families were assisted financially while a family member underwent active breast cancer treatment. By keeping a patient’s lights on, hot water running or preventing evic-
tion, the coalition is able to give people the chance to relax and heal, according to Nancy Allen, coalition president for 2015. Dawn Grimes said breast cancer awareness and treatment is especially important to her because of how it has affected her family. Her mother died of breast cancer just three years ago this Oct. 20, and her aunt died of it 10 years before that, she said. This year, Autobody Advantage hopes to raise even more to aid the coalition’s work. In addition to raising a substantial sum in donations for the Tennessee Breast Cancer Coalition, the Grimeses hope to also raise awareness about the work the coalition does to assist patients, as many women often don’t know about the kind of assistance the nonprofit offers. Information will be available and donations accepted at the Spring Hill Women’s Shop and Small Business Expo on Oct. 15. Autobody Advantage will once again be set up at the event. We would like to thank The Spring Hill Home Page for reprint permission.
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NCACAR’s Second Meeting Gains Attention of Vendors and Sponsors, Next Meeting is October 25 On Tuesday, September 27, the North Carolina Association of Collision and Autobody Repair (NCACAR) held its second meeting at the Deep River Event Center in Greensboro, NC. Prior to the start of the meeting at 5PM, a preliminary meeting was held to discuss possible leadership roles, direction and the association’s future plans. Sponsors for the meeting included Larry Walker and Sons Body Shop, PPG and LKQ. Following a reading of Antitrust guidelines, attendees were introduced with 16 shops, eight vendors, and several sponsor groups from NC being represented. Additionally, three members of the Nissan Group of North America, including one who “drove over seven hours to attend the meeting and show support for Nissan’s grass roots approach to the collision industry,” said Brian Davies, acting President of NCACAR. The meeting opened with Davies providing an update on the association and its membership drive, focusing on gaining members, sharing the benefits of combined resources to include safety groups for workers compensation, buying groups, and manufacturer
discount programs. Next, Michael Bradshaw, Vice President of Operations for K & M Collision, provided updates on the changes made to the NC Department of Insurance Consumer Guide to Automobile Insurance and on the changes of CCC One regarding weld setup and testing. Following those updates, “Craig with Nissan discussed their willingness to help support the local independent repair shops,” Davies recalls. “In addition, they introduced a new parts program. Nissan Value Advantage: OEM Replacement Parts, a new line of parts that are engineered to factory specifications with over 600 part numbers.” Charles Humphreys, President of WACH Marketing, next spoke to attendees about the importance of creating a positive image to consumers as well as the value in combining resources as a group. Humphreys believes, “It’s essential to the long-term sustainability of the independent collision repair industry,” and he ended with a call to action: “Make it happen!” Mike Causey, Republican candidate for the office of NC Insurance
Norfolk Firefighters Battle Fire at Auto Parts Store
light smoke on the inside of an Advantage Auto Parts Store and WareA fire erupted at an auto parts store house. on October 1. As more crews began to arrive, Battalion Chief Julian Willi- Williamson said they reported modamson said firefighters were noti- erate heat and black smoke inside fied of the fire in the 2500 block of the store. Firefighters searched the building until they found the fire, which Williamson said was quickly extinguished. The fire was deemed under control at 6:05 p.m. Williamson said the store did not have working smoke alarms and was closed at the time of the fire. There was also no one inside at the time of the fire. About 36 firefighters responded to the fire. There were no injuries reported. Norfolk firefighters responded to the 2500 block of Williamson said the fire Granby St. Saturday, Oct. 1, 2016, for reports of a does not appear suspicious, fire at Advantage Auto Parts Store and Warehouse. but is still under investigaCredit: Norfolk Fire-Rescue tion. Granby St. around 5:30 p.m. WiWe thank The Virginian-Pilot lliamson said crews received reports for reprint permission. about black smoke coming from the roof of the store. When crews initially arrived, Williamson said, they found nothing on the outside of the building. Further investigation revealed smoke-stained windows and by Amir Vera, The Virginian-Pilot
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Commissioner, addressed the group next, talking of the struggles he has witnessed within the NC collision repair industry regarding current leadership, laws and policies. According to Davies, “Causey made clear the positive impact he plans to make in the independent collision industry within NC when he is elected to the role of Insurance Commissioner.” Lastly, Billy Walkowiak of Collision Safety Consultants suggested ways his company can collaborate with shops to provide a better repair and produce a more favorable outcome for the consumer. Davies noted, “I felt the meeting was a huge success and shared with everyone how much support and encouragement we are getting from leaders of other body shop associations all across the U.S!” NCACAR will hold its next meeting on October 25 from 5-8PM at the Gaston County Wildlife Club in Belmont, NC. Guest speakers will include Wayne Goodwin, NC Commissioner of Insurance, and Ed Kizenberger, Executive Director of the New York State Auto Collision Technician’s Association (NYSACT).
Service King Opens 8th Atlanta Repair Center
Service King Collision Repair Centers® has announced the opening of its eighth Atlanta area location. The repair center continues Service King’s growth within the market and is located at 11075 Highway 92 in Woodstock, GA. According to the company, Service King of Woodstock features a state-of-the-art 27,000 square-foot collision repair center. The location provides lifetime warranties on all repair work completed by a full staff of certified repair technicians. “The Service King family continues to grow and thrive across the Atlanta community,” said Scott Ward, Service King regional vice president for the Southeast U.S. “Service King of Woodstock is the latest step in our mission to become Atlanta’s collision repair operator of choice. We’re thrilled to open the doors to this repair center and look forward to a long future of providing high-quality collision repair service to our local customers and business partners.” Service King now operates 303 locations in 23 states across the U.S. For more information or to find a local repair center, visit www.Service King.com.
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Attendees Receive Industry Training at IGONC’s 2016 ASTE On September 23-24, the Independent Garage Owners of North Carolina (IGONC) held its 2016 Automotive Service and Technology Expo (ASTE) at the Embassy Suites in Cary, NC. In addition to two full days of the latest automotive training for shop owners and technicians, attendees enjoyed a Casino Party, trade show and awards banquet. IGONC’s executive director, Bob Pulverenti, stated, “This year’s event was great. Everyone had a good time learning new things and seeing old friends. The attendees had a great response to the event and had a lot of positive feedback about our classes and speakers.” Pulverenti added, “This event is to offer our members and their staff two days of training on things important to the automotive industry, as well as how to grow a business. We enjoy being able to combine all of the learning with our annual meeting and banquet, along with the trade show and other fun events that our members and other enjoy.” After Friday night’s Casino Party, IGONC members Bobby and Audrey Dunn of Triangle Car Care in Raleigh hosted guests in the ASTE hospitality suite to end the evening
with drinks, snacks and sweets. In between classes on Saturday, industry vendors were available during the trade show at lunch, and another hospitality suite was held after Saturday evening’s awards banquet.
During the awards banquet, IGONC inducted three new lifetime members: Reggie Denney, Don Griffin and Harvey Davis. Tim Lasley was honored as IGONC’s Member of the Year, and the association recognized Nancy Clay from Meadowbrook Insurance as Associate of the Year. IGONC’s Chapter of the Year was the Triangle Chapter, and the recipients of this year’s President’s Award were Bobby and Audrey Dunn. Following the awards ceremony, attendees danced to tunes spun by a deejay.
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According to Pulverenti, “These events are important to help us remain valuable to our members. They look to us to help them, and their staff stay up-to-date on the latest in automotive technology and advancements, and while they learn, they can network and discuss information that affects them, from investments to what is happening in the state legislature, how to find qualified employees and more. They’re a great way for our members to connect with each other, which is a very valuable part of joining an association.” IGONC’s 2017 ASTE will be held on September 29-30, 2017 in Cary, NC, but IGONC holds monthly chapter meetings throughout the year. “We would also like to welcome anyone interested in membership to join us throughout the year at one of our monthly chapter meetings where they can network, see a presentation (usually from a vendor or someone in the automotive industry) and enjoy dinner with others who understand their business,” Pulverenti encouraged. “A schedule of meetings and the contact information for each chapter president is listed on our website, www.igonc.com.”
Police blotter: Auto parts employee accused of $12K embezzlement by Bishop Nash, The Herald-Dispatch
The following information was provided by reports from the Cabell County Sheriff’s Office: Embezzlement: Advanced Auto Parts accused an employee of embezzling approximately $12,400 between April and September 20 from the store’s chain in the 5700 block of U.S. 60 in Huntington. Deputies met with a corporate investigator on September 20, who told police he had received a written statement from the suspect admitting he had taken $12,400 over the six-month period by making false returns on individual and commercial accounts. The investigator provided police 26 receipts Tuesday, totaling $3,448.60 in fraudulent refunds as the internal investigation continues. As deputies arrived at the store around 5:45 p.m. that day, the suspect fled the business and could not be contacted. No arrests have been made and no formal charges have been filed. We thank The Herald-Dispatch for reprint permission.
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First Auto Body Association of Texas Trade Show Held in Richardson, TX by John Kopriva, Kopriva Body Works, with Janet Chaney, Cave Creek Business Development
The first Auto Body Association Trade Show (ABAT) was held Sept. 16-17 at the Doubletree Hotel in Richardson, Texas. This was the first major collision industry show in Texas since NACE in 2002. It’s now in the books and what a success! ‘Wow’ and ‘over the top’ are the first things that come to mind to describe the two day event.
prove repair efficiency and add more to the shops’ net bottom-line. On Friday, Burl Richards and ABAT hosted a closed door luncheon for members of his board, HABA,and directors of other State associations. It was an excellent way to get to know what is happening around Texas and meet other leaders who want to join in a common cause of improving and strengthening the auto collision repair industry. The Meeting officially got underway at 1:00 pm on Friday with a “Wel-
The Auto Body Association of Texas shows their appreciation to Mike Anderson (black shirt) by giving him a pair of real Texas boots with the ABAT logo on them
“We are excited to welcome the Houston Auto Body Association as a strategic business partner in the Texas market,” said Burl Richards, president of ABAT and owner of Burl’s Collision in Henderson, Texas. “HABA is a welcome addition to this great Texas event.” It was well-attended with participants from all corners of the State as well as others traveling from Oklahoma, California and Virginia. I know they did not go home disappointed.
come to Texas” opening remarks and it never slowed down from there. Robert McDormand, Vehicle Value Experts, a consulting firm that specializes in helping body shops fix more vehicles, spoke, followed by the featured panel on “OE Repair Recommended Procedures, Certification, Proper Repairs, How Do You Get Paid—What Is Right For You.” The panel was moderated by Mike Anderson, Collision Advice and included panelists: Ron Reichen, past SCRS Chairman and shop owner with 26 OE Certifications; Pete Tagliapietra, NuGen IT,OE Procedure Connectivity; Eric McKenzie, Collision Centers Manager, Park Place Dealerships, Dallas, with 23 OE Certifications; Sam Valenzuela, National Auto Body Research; Wayne Kraus. Mitchell In3M Brought Dallas-based Television Personality K.C. ternational; Ken Boylan, Mathieu (center) to the Texas Auto Body Trade Show Chief Industries Global TrainHABA was represented by five ing Manager; L.D. Andrus, American of our members and we were well reHonda; Jake Rodenroth, Collision ceived. There were collision shop Diagnostic Services. owners, managers and I was really imFollowing the panel was a netpressed by the number of techniwork reception where TV painter K.C. cians that attended. Vendors filled the Mathieu, appeared at the 3M booth. exhibit hall with the latest in repair If you have never heard Mike technology, hardware, computer sysAnderson, of CollisionAdvice, speak tems and programs designed to imyou don’t know what you are missing. 16 NOVEMBER 2016 AUTOBODY NEWS | www.autobodynews.com
His fast paced presentations, humor rial profitability can be improved with and group participation held every- good processes. Our second day luncheon speaker one’s attention all the way to his closwas Travis Clardy, a State Represening remarks on Saturday afternoon. Reflecting back over the two day tative who reinforced Austin’s support meeting, I came away supercharged, not with some warm and fuzzy feeling, but armed with information that I know will make a difference in my shop. Resources that are easily accessible that I can call on to prove that I am “Not the only One”, others who have been paid for denied procedures, ways to assist customers battling total loss vehicle value, variable Auto Body Association of Texas President Burl Richards, of Burl’s Collision Center in Henderson Texas welcomes rate systems by insurance attendees to the Texas Auto Body Trade Show companies, for specific vehifor the auto collision network. His cle repair and by locale. Issues such as presentation covered ways to ensure enforcing payment and usage of Pthat we are effectively heard and ways page procedures, and the topics go on to gain greater legislative success. and on. Richard and Sam Valenzuela, On Saturday a technical seminar National Auto Body Research, gave was led by Chief’s Ken Boylan foa report on Variable Rate Survey Incusing on rivets, bonding, welding formation. Throughout the morning and more, and also a presentation Mike Anderson gave a 3-hour estifrom BASF Advanced Process Solutions Group on how paint and mateSee ABAT Show, Page 20
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Robert “Paul” Hulsebusch Passes Away in Texas, Age 50 Beloved husband, father, son, brother and friend, Robert “Paul” Hulsebusch, went to be with the Lord on October 8, 2016 at the age of 50 after losing his fight with cancer. He was born on August 18, 1966 in Portland, Oregon.
Paul gained his work ethic and values as a young man in the family business. He started working in the collision industry in his grandfather’s business Chuck Chaney’s Automotive in Portland, Oregon. He started washing cars, cleaning the shop as a young boy. In high school, he did everything
in the shop when needed. He painted cars, did front end alignments, estimates. Always saying ‘yes’ to get the job done. He is survived by his wife, Alyssa Hulsebusch; his daughter, Taylor Hulsebusch, 20, of Phoenix, AZ; his sons, Daniel Hulsebusch, 23, Maxwell Hulsebusch, 18, and Charles Hulsebusch, 13, of Boerne, Texas; his mother, Janet Chaney of Cave Creek, AZ; his sister, Kristen Syburg and her husband Charlie of Cave Creek, AZ; his stepfather Hans Hulsebusch of Mesa, AZ; and numerous business partners, roping buddies, friends and associates. Paul grew up in Scappoose, OR, and was very active in sports, rodeo, 4H, choir, and Key Club for most of his childhood. As the 1984 Oregon State High School Rodeo Champion he chose to attend Blue Mountain Community College in Pendleton, OR, as part of their rodeo team. Following college, he began a career as a catastrophe claims adjuster and found great success in that field. His profession and charismatic personality carried him across several state
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lines, touching many people along the way, eventually settling to make his home in Boerne, Texas as the Principal of Sonora Insurance Group. Paul’s professional accomplishments gave him great pride, as well as time spent volunteering with Habitat
For Humanity, teaching Sunday School and coaching youth sports. His longest and strongest hobby was team roping where he could combine his love for the animal, the sport and the camaraderie. But nothing surpassed his love and dedication to his four children; Dan, Taylor, Max and Charlie who each held a
special and unique place in Paul’s heart. Paul was fortunate enough to finally meet his One, Alyssa, in the summer of 2014 and they were married on March 11, 2016. Paul and Alyssa simply loved each other and loved spending time together. Their marriage was peaceful, unconditional and unwavering. Paul’s warm, kind heart, sarcastic humor, infectious smile and unrivaled dedication to his beloved Oregon Ducks will be missed. A memorial celebration was held Friday, October 14, 2016 at 3:00 p.m. at First Baptist Church of Boerne with a reception following. In lieu of flowers, the family requests a donation be made to the savings account established at Jefferson Bank, Boerne, Texas in order to cover college expenses for Paul’s four children. To leave condolences for the family and view a video of Paul’s life, please visit www.ebensbergerfisher.com and select the Obituaries tab.
Continued from Cover
Mike Causey
insurance companies have pulled out all the stops to get money to the commissioner. Also, financial giants like Genworth are hosting fundraisers for him.” Causey’s claims are supported by the NC State Board of Elections, since all campaign contributions are public record and available online at ncsbe.gov. Additionally, an article was published in The Daily Haymaker in September which stated that Goodwin had received nearly one-third of the $222,580 raised for his campaign from people tied to Florida-based insurance and health care interests on just four separate days, totaling $65,550. This support from FL raises the question of why these folks from another state are so invested in the political prospects of the NC Insurance Commissioner. Meanwhile, Causey’s campaign is struggling financially, but he noted, “We have a lot of volunteers, grass roots activists, little guys helping, and we are competing well in the polls. A statewide poll by Civitas Institute released in mid-September showed these results: Goodwin 37, Causey 32, Un-
decided 29, with a margin of error +/four points. This is ahead of where I was in 2012. Momentum is going our way, and all kinds of people, including Democrats, Republicans, Independents, Libertarians and other concerned citizens are coming forward to help in these final days before the election.” Another interesting inconsistency in Goodwin’s campaign arose on September 6, when five officials held a reception and a fundraiser in Goodwin’s honor at the Sheraton Hotel in Charlotte. Of these five individuals, three are career Republicans: Jim Donelon, LA’s Insurance Commissioner; John Doak, OK’s Insurance Commissioner; and Barry Goldwater, Jr., a former Republican U.S. Congressman. Additionally, Goldwater has major investments in the insurance industry. The two Democrats showing support for Goodwin were Ben Nelson and Eric Serna. Nelson is a former U. S. Senator, Governor and Insurance Commissioner, but although he runs as a Democrat, he is very conservative and frequently voted against his party. The former Insurance Superintendent in New Mexico, Serna agreed to retire in 2006 during an investigation of accusations that he had intervened in his
daughter’s auto insurance claim. Causey has been a longtime advocate for the collision repair industry, and his campaign has faced challenges as he goes up against the incumbent Insurance Commissioner, who has support from the insurance industry. Causey stated, “It’s me against the powerful insurance cartel—insurance companies and corporations are financing the incumbent commissioner’s campaign to the tune of millions. As a former legislative lobbyist representing body shops and the Independent Autobody Association, the insurance companies do not want Mike Causey in that office! As a writer for body shop publications, I have stood up for the little guy, the small shop owners and all body shop owners against the unfair trade practices of the insurance industry.”
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Service King Names Stu Crum as COO
Service King Collision Repair Centers® announced the organization has officially named Stuart (Stu) Crum to the newly-created role of Chief Operating Officer (COO). A longtime industry thought-leader with experience spanning numerous international automotive brands, Crum joins Service King after serving as President and Chairman of Bridgestone America Retail Operations. He will begin his new role with Service King, effective today, at the organization’s home office in North Texas. “It is an honor to join Service King’s world-class executive team,” said Crum. “The organization is in the midst of explosive national growth, grounded in exceptional operations with a focus on the customer and its teammates. Service King’s reputation for superior repair service and a family atmosphere makes this a phenomenal opportunity to join an already high-impact leadership team.” As Service King COO, Crum will provide national oversight of the company’s network of collision repair operations at 304 U.S. locations. We are immensely proud to welcome Stu Crum to the Service King family,” said Chris Abraham, Service King CEO.
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No-Fault Insurance
People injured in crashes, whether at fault or not, would get compensated quickly. In return, the injured would have less incentive to file lawsuits. Courts would not get bogged down and premiums would decrease, but from day one, frauds and scams took hold, with ‘clinics’ certifying injured drivers and insurance companies being billed accordingly. By design, ‘no-fault insurance’ means that no matter who is at fault, you need to use your own insurance to settle claims. No matter who is at fault—unless ‘serious injury’ thresholds are met—no one can sue the person who hit them, nor can anyone be sued for hitting someone else. The ‘serious injury’ threshold set out in Florida law basically addresses losses of major bodily function, permanent injury within a reasonable degree of medical probability, death, significant scarring or disfigurement. The law creates a right for insureds not to be sued if they’re carrying this insurance unless the person they injured meets those thresholds. In Florida, all drivers must buy at least $10,000 of Personal Injury Protection coverage, even if their policy includes other coverage that might apply. But fraud is so rampant in some areas that $10,000 worth of personal injury protection can cost thousands of dollars a year in premiums. PIP costs have risen by $1.4 billion since 2008, largely because of the runaway fraud that threatens the system, most Continued from Page 16
ABAT Show
mating seminar. Mike Anderson’s closing remarks were really uplifting and very motivational. There was no way to walk out at the end of the two days feeling anything other than total motivation armed with a bucket load of dynamite information. I spoke with Mike Anderson, Sam Valenzuela (President of National AutoBody Research/Variable Rate Systems), Burl Richards and others who are excited and willing to come to Houston and “Make HABA Great Again!”. Congratulations to ABAT, Burl Richards and Janet Chaney for an out-
notably in the metropolitan Miami and Tampa areas. Florida ranks first nationally in staged accidents. PIP is designed to be a form of no-fault insurance that takes claims out of the court system. It makes up 20–25 percent of the cost of the average premium. For most Floridians, its cost has been rising, even if they haven’t filed a claim. PIP generates most of the fraudulent claims, especially due to acupuncture and chiropractic care, and it has been a target for reform. The reforms started to take hold in 2011. First, the Hillsborough County Commission passed a county ordinance in September 2011, intended to license PIP clinics and decrease the number of suspicious vehicle collisions—staged accidents—in Hillsborough County, however that ordinance remains blocked by court injunction. The Florida legislature passed House of Representatives Bill 119 in March of 2012. HB 119 enacted a number of substantive changes to Florida’s PIP system. It made these changes in three stages. The first set of amendments included changes in the reporting of automobile accidents, therapy clinic licensing, use of fee schedules when reimbursing claims, the creation of Florida’s Automobile Insurance Fraud Strike Force, and timetables for reporting on the premium rate reductions to be realized from HB 119’s amendments. Second, effective December 1, 2012, documents pertaining to PIP could be transmitted by secure electronic data transfer, without first obstanding, well organized program! Way to go guys. In our last HABA Board meeting October 11 (7–9 pm), at Mossy Nissan, for a presentation by Chris Dobbs, CCC. He presented “Improving your Estimating Skills and Maximizing your CCC System”. The meeting was open to estimators, managers, owners and others interested in learning and improving CCC skills. If you know of other shop owners who would like to attend, encourage them to do so. We need to grow our Association! Growth is our number ONE priority! “Each One Reach One”
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20 NOVEMBER 2016 AUTOBODY NEWS | www.autobodynews.com
taining an agreement of the parties. Finally, effective January 1, 2013, a number of changes were made to Florida Statutes Section 627.736 (the “PIP Statute”), such as requiring a patient to visit an “initial care provider” within 14 days of an accident, limiting the available benefits to $2,500 unless the patient has an “emergency medical condition,” granting the insurer an additional 60 days to investigate fraud, permitting the insurer to require the patient attend an examination under oath as a condition of receiving benefits, and requiring trial judges to make written findings supporting an award of attorney’s fees in PIP litigation. Legislation targeting auto insurance fraud has produced savings on personal-injury claims of 17.5 percent, and reduced premiums by a little more than 15 percent. Claim frequency and severity were reduced, too — by 10.2 percent and nearly 11 percent, respectively, producing a reduction in total loss costs of 20 percent. That compared to an increase in average loss costs of more than 4 percent elsewhere in the United States, according to an analysis conducted for the Florida Office of Insurance Regulation by Pinnacle Actuarial Resources Inc., a
consulting firm in Bloomington, IL. The findings represent “further proof that the 2012 PIP reforms from House Bill 119 continue to reduce fraud and abuse, while providing cost savings to Floridians,” the Property Casualty Insurers Association of America said in a written statement. The Legislature was told in 2012 to expect between 14 percent and 24.6 percent in PIP rates. Repealing the state’s no-fault insurance mandate would save the average driver 9.6 percent per year, or $81 per car, in liability coverage, Pinnacle said. Drivers who replaced PIP with $2,500 first-party medical coverage would save nearly 5 percent, or $49 annually. Boosting health coverage to $5,000 would decrease premiums by 1 percent, or around $9. The analysts found “a small erosion” in the savings since 2014. Data for the year ending March 31 saw a 5 percent increase in claim severity compared to Dec. 31, 2014, and an increase in new claims of 2.3 percent, for a combined loss cost of 7.5 percent. The only category that didn’t see a decline was death benefits. They increased by about 0.2 percent.
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Continued from Page 10
RSR Technology
technology in conjunction with the Department of Energy because we are optimistic about the new value these advanced technologies will enable us to deliver to our customers in terms of performance and fuel efficiency,” said Eric Boettcher, Technical Leader, Advanced Body Design of Honda. Multi-materials in vehicles can achieve lightweighting objectives and improved performance so Alcoa developed the RSR technology to enable automakers to join a variety of dissimilar materials, including conventional aluminum, highstrength aluminum, steel, high-strength steel, ultra-high strength steel, magnesium and composites. It can be used in Continued from Page 3
Gerber Expands
thority and Autoglassonly.com. The Company also operates a third party administrator, Gerber National Claims Services (“GNCS”) that offers first notice of loss, glass and related services. GNCS has approximately 5,500
nearly any application, including frames, floors, closeout panels, pillars, roofs, seats and intrusion beams. Notably, automakers can utilize Alcoa’s RSR technology with minimal modifications to existing production lines. Conventional spot welding equipment and robotic automation can be adapted for use with RSR technology, which can easily shift between material combinations and fastener types. Alcoa expects the first commercial application for the RSR technology by 2018. RSR technology has been in development for several years as a pilot program at the Alcoa Technical Center (ATC) near Pittsburgh, PA and manufacturing facility in Waco, TX. The team has also been working on developing the rivet feed system in its Kingston, NY facility. affiliated glass provider locations and 4,600 affiliated emergency roadside services providers throughout the U.S. For further information: please contact: Stephen Boyd, Vice President, Corporate Development, Tel: (204) 594-1776, stephen.boyd@boydgroup .com; Kim Allen, Director of Business Development, Tel: (847) 410-6003, kim.allen@gerbercollision.com
22 NOVEMBER 2016 AUTOBODY NEWS | www.autobodynews.com
More than $1M in Cocaine Seized at Lancaster, SC, Body Shop
door,” Chris Linke said. The case began as a tip to York Alex’s Auto Care on Highway 160 has County’s multijurisdictional drug enbeen in business for about four years. forcement unit. The tip was passed to Residents told Channel Lancaster sheriff’s deputies 9 they often saw the owner, who set up surveillance on the Alex Vicente Soto-Godinez business Wednesday morn, 36, working until late at ing. They said they found night repairing cars. some cocaine, marijuana and Lancaster County sherthousands of dollars in cash iff’s deputies believe that’s inside the shop. not all he was doing. SotoLater, authorities searched Godinez was charged with Soto-Godinez’s Honda miniAlex Vicente drug trafficking after deputies van and found 30 pounds of Soto-Godinez said they found more cocaine cocaine hidden in the van than the county has ever seen. worth more than $1 million on the street. “This is pretty incredible to me,” “This guy, being from North Sheriff Barry Faile said. “This kind Carolina, used this location as a stash of arrest shows that we’re doing what house, or a drop off point,” Faile said. we’re supposed to.” Channel 9 asked about other arThe small garage is near the York rests and who the suppliers are. Faile and Lancaster county line and several said that is still part of the investigaconnected buildings house other au- tion. He’s not sure at this point if Sototomotive businesses. Godinez is in the country legally, and John and Chris Linke were cus- the U.S. Immigration and Customs Entomers of Alex’s Auto Care. They came forcement agency is now part of the by Thursday to see if they can get their case. car back. The car was having a ding reBond for Soto-Godinez was depaired at Soto-Godinez’s garage. It’s nied Thursday afternoon. Residents said still locked up in the service bay. he ran the body shop mostly by himself. “I met him and he seemed like a Investigators don’t expect to make decent guy,” John Linke said. “He any other arrests. seemed like a soccer coach kind of guy.” We thank WSOC TV for reprint “He was really like the guy next permission. by Greg Suskin, WSOC TV
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Continued from Cover
OSHA Whistleblower
novo, the claims. ● Depending on the statute, 30 or 60 days have passed from the date the employee first filed the claim with OSHA.
● OSHA has interviewed the employee.
● Federal investigators have evaluated the complaint and the employee’s interview to determine if the basic elements of a retaliation claim exist.
● Both the employee and the employer have had the opportunity to submit written responses, meet with an OSHA investigator and present statements from witnesses.
● The employee has received a copy of the employer’s submissions and had an opportunity to respond.
Once the employee submits the request for an expedited process, OSHA will provide one of three responses:
● it will dismiss the claim, which allows the employee to then file an ap-
peal with an administrative law judge; ● issue merit findings as quickly as possible; or ● deny the employee’s request for the expedited process.
Benefits of the New Program If successful, this program will be very beneficial to whistleblowers who struggle with the delays of the current system. As employers continue running their businesses while waiting for a response from OSHA, terminated employees are often looking for work, with added difficulty if they were fired. An expedited process can lead to quicker remedies for an aggrieved whistleblower, which include back pay, compensatory damages, punitive damages where authorized, attorney fees and reinstatement. Even if the outcome is that the employee’s claim is dismissed, an administrative law judge may grant all the same remedies as OSHA. Whistleblowers in the Western region, however, should be mindful that they must affirmatively request the expedited process. Without the request, OSHA will continue on its usual timeframe.
Federated Auto Parts is Gold Lifetime Trustee of University of the Aftermarket Foundation
Federated Auto Parts has become a Gold Lifetime Trustee of the University of the Aftermarket Foundation following a recent donation made to the foundation in honor of Larry Sills, executive chairman of Standard Motor Products and inaugural “Jack Creamer Leader of the Year” award recipient. “At Federated, we believe that education and training are critical to the future success of our members, customers and the industry as a whole,” said Rusty Bishop, AAP, CEO of Federated Auto Parts. “We recently inducted Larry Sills into the Federated Vendor Hall of Fame because he shares the same passion for learning. It was only fitting that we make a donation to the University of the Aftermarket Foundation in his name to acknowledge his commitment to education and demonstrate our continued support of the foundation’s mission.” The Gold Lifetime Trustee designation is reserved for those donating $250,000 to $499,999 to the University of the Aftermarket Foundation. Federated joins the following organizations in this elite category of
donors: Aftermarket Auto Parts Alliance, Automotive Warehouse Distributors Association (AWDA), Dayco Products, Gates Corporation and Tenneco Automotive. “The University of the Aftermarket Foundation thanks Federated Auto Parts for their generous donation in honor of Larry Sills,” said Tim Lee, MAAP, chairman of the University of the Aftermarket Foundation. “Federated has been a well-known proponent of education since the group was first founded by Art Fisher and Rusty Bishop. Their long history of supporting industry education coupled with this most recent contribution to the University of the Aftermarket Foundation are a testament to that fact.” For more information about the University of the Aftermarket Foundation, email Barbara Cunningham at cunningham8095@yahoo.com. To make a donation, send a check, made payable to the University of the Aftermarket Foundation, to 7101 Wisconsin Avenue, Suite 1300, Bethesda, MD 20814.
www.autobodynews.com C
WyoTech Graduates Alumni Reception
2016 SEMA Show
Wednesday, Nov 2nd – 6pm – 8pm North Hall – Rm N236 “WyoTech Alumni Association” Kickoff!! Network with Alumni from across the U.S. Share your Success Story www.wyotechalumni.com WyoTech SEMA Booth # 23893 www.autobodynews.com | NOVEMBER 2016 AUTOBODY NEWS 25
Lincoln Tech Helps Students Get on the Road to a Career in Collision Repair by Stacey Phillips
More than 35,000 collision repair jobs will be available across the nation over the next seven years, according to the U.S. Department of Labor’s Bureau of Labor Statistics. Randy Bobzien, au-
tomotive product manager at Lincoln Tech, said that to help meet this demand the school is assisting students build career skills while working with employers to find the best candidates for their body shops. “One of the biggest challenges facing many employers is finding ways to overcome the skills gap—the gap between the skills they need in their workforce and the abilities of job applicants,” said Bobzien. “We want to educate employers and students alike that with the right training, that skills gap can be overcome.” Lincoln Tech began offering collision repair and refinishing training at its Nashville, TN, campus in 1940. The technical school has grown over the years and a collision repair program is now available at five of its 29 campuses across the United States. In addition to the Tennessee location, the collision repair
program is offered in Denver, Colorado; East Windsor, Connecticut; Indianapolis, Indiana; and Melrose Park, Illinois. Lincoln Tech’s curriculum is based on I-CAR standards and students are taught by ASE-certified instructors. The
diploma program takes approximately one year to complete but varies by schedule and curriculum. It includes hands-on training using diagnostic equipment, estimating costs, straightening frames and refinishing paint jobs and students have the opportunity to learn a wide variety of skills including dent repair, airbrushing, welding and feather edging. Bobzien said the various campuses work closely with body shops to best determine their hiring needs. He said this benefits students and managers alike. “Our students receive professional development and ‘soft skills’ training such as communication and time management, while they’re building hands-on collision repair skills,” said Bobzien. “Employers know Lincoln Tech grads are real professionals and will be valuable additions to their workforce.” His advice to body shops considering hiring students is to look for those who have trained at schools with a
proven track record and with the right certifications. Students at the technical school also have the opportunity to put their artistic skills to use rebuilding andthen refinishing vehicles. For example, to celebrate the release of Star Wars: The Force Awakens in December 2015, collision repair students at the Melrose Park campus recreated a galaxy far, far away on the hood of a refurbished 1995 Pontiac Grand Am. Meanwhile, at the East Windsor campus, students rebuilt two damaged cars and turned them into two superhero tributes-on-wheels--Batman and Superman. “Today’s collision repair field is finding a broader appeal with people who are into art and design as much as they are into cars and auto body work,” said Bobzien. “We’ve also seen increasing interest among female
26 NOVEMBER 2016 AUTOBODY NEWS | www.autobodynews.com
students for training in this field.” Currently, there are 469 students enrolled for collision repair training around the country; 415 graduated last year.
coln Tech Collision Repair and Refinishing program,” he said. “The program gave me the fundamentals and the training to go into the business and be successful from the very
Tommy Curtis, a former student of the technical college in 198485, has taught at Lincoln Tech in Nashville since 1990. “As a young adult I could not have made a better career choice than attending the Lin-
first day. Looking back over my career for the past 35 years, everything positive in my profession started with Lincoln Tech.” Curtis is one of the many instrucSee Lincoln Tech, Page 31
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www.autobodynews.com | NOVEMBER 2016 AUTOBODY NEWS 27
Shop Strategies
Stacey Phillips is a freelance writer and editor for the automotive industry. She has 20 years of experience writing for a variety of publications. She can be reached at sphillips.autobodynews@gmail.com.
Chicago Body Shop Aims to Redefine the Collision Repair Experience for Customers with Stacey Phillips
Located in the Bucktown/Lincoln Park area of Chicago, Saif Yasin owns and operates Chicago Autohaus. In addition to its dealership and service center, the business opened a collision repair shop
most have come to know as the “body shop industry.” We are trying to set the bar for what auto collision services should be and how customers absolutely need to be treated. A lot of the auto repair shops in the industry were started decades ago. We here at Chicago Autohaus are in tune with the new day and age of doing things. The industry has changed throughout the years and a lot of these older shops are stuck in traditional ways. We developed a unique repair process, utilizing new age technology such as picOwned by Saif Yasin, AutoHaus is located in Chicago, ture updates, texting alerts, Illinois etc. three years ago that has grown to beAt the same time, we are comcome one of the largest in the area. mitted to provide safe, high-quality reYasin said the shop is dedicated to propairs and work to return vehicles as viding excellent service and is redefinquickly as possible. We are proud of ing the collision repair experience for our swift response times, extremely customers. polite staff and outstanding rates.
What prompted the opening of What is the importance of exthe body shop and what is your Q: cellent customer service? Q: primary area of focus? Customer service is our numA friend of mine and I started A: ber one priority. We are dediA: out working at Flash Cab in cated to offering a variety of auto
Chicago, fixing friends’ cars. We decided that we wanted to redefine the collision repair experience for our customers. We opened the doors to this location in January 2014 and currently have about 12 employees. From the beginning, we have offered all types of auto collision and repair services for local law enforcement agencies, family cars, dealer- Yasin said the company is committed to providing safe, ships, fleet management com- high-quality repairs for all of its customers panies and more. We also provide auto painting and vehicle cuscollision services and consider our tomization, such as vehicle wraps, customers as family members. Our headlight/taillight inner modifications slogan is, “We meet by accident, but and interior work. you leave as a friend.” Building relationships with our clients is very imWhat sets your business apart portant to us. from the competition? We pride ourselves on giving clients the highest quality work and Chicago Autohaus is not your want customers to feel just as comstandard body shop. We model fortable fixing their luxury car as they our entire culture opposite of what are buying it. We know that their life
Q: A:
28 NOVEMBER 2016 AUTOBODY NEWS | www.autobodynews.com
that you can share with others?
has been inconvenienced and getting their vehicles repaired is the last thing they want to do. It’s our job to get them back in the game as quickly and safely as possible. We also recently opened an Enterprise Rent-A-Car on our premises, which is convenient for our customers.
We’ve been around the auto inA: dustry for many years and we feel that the way we do things here surpasses other shops. We take our time, we make sure things are done right the first time, we treat every customer like a friend, and we make sure each car gets done as quickly as possible. No car just sits for long periods of time and we try to make sure everybody leaves happy. We also keep the shop as clean as possible and update our tools on a monthly basis. We constantly look for ways to become better.
Are you part of a DRP (direct program)? Q: repair We are mainly a State Farm diA: rect repair facility and have an average turnaround of four days. I be-
lieve this is one of the fastest drop off and pick up times among all State Farm preferred shops. We also do work with many insurance companies. We are a fairly new shop, but we have been pushing to get more DRPs lately.
Q:
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Media and Publicity for Shops
Ed Attanasio is an automotive journalist based in San Francisco, California. He can be reached at era39@aol.com.
Signs, Signs–Everywhere are Signs. So How Do You Stand Out? with Ed Attanasio
I walked into a beautiful reception area at a body shop one day and was immediately impressed. With highend furniture, a big walnut counter and one of those glass wall fountains, I thought, “Wow.” But as I was leaving the shop a short time later, I was surprised to see their sign out front.
If you have an old classic neon sign that has been there forever, hang on to it if you can, but neon today is costly and not a green alternative to signage. (Erie-LaSalle Body Shop, Chicago, IL)
Marketing studies show that consumers are easily persuaded by a first impression, and this shop was not im-
pressing anyone with its battered old sign. It was crooked, rusting in a few spots and the paint was fading. Not a good image for a company that specializes in returning vehicles back to their pre-accident condition, because this sign looked as though it had been in an accident itself. It got me thinking: how important is signage when it comes to the collision repair industry? Every business that sells anything should have a sign, but since most shops’ work comes through insurance companies, can’t they save a little money on this aspect of their business? Signs have many functions, but Point of Purchase (POP) signage is designed to advertise a product at the location in which it is displayed. Experts say effective signage is a vital component of any company’s marketing plan, too many of which concentrate on other things more intently, such as broadcast advertising, direct mail, social media
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and other forms that cost a lot more than engaging signage. If you’re looking for signs today, there are a plethora of options to choose from, including illuminated and non-il-
If you decide to go with a pole sign that has a bulletin board on it, you will need to come up with compelling (or funny) messages. (Hoffman Auto Body in Boise, ID)
luminated signs, vinyl graphics, monument signs, channel letter signs, pylon signs, illuminated cabinet signs and even the old “A” frame sandwich signs
that are mobile and ideal to place out on the sidewalk in front of your shop. Marketing experts often use terms like “drive-up appeal” and “engagement rate” and many of them say that signage is the most valuable investment any business can make. Studies claim that building (aka wall) signage is the most important in attracting customers, with digital LED signs gaining the most awareness and visibility. Pole (pylon) signs are becoming more and more popular with body shops while monument (ground) signs are also good. But in the end, it all comes down to your available real estate and the local restrictions in your city or town. According to the Small Business Association, the most effective signage will consistently create a lasting memory for a company’s products or services in the minds of consumers. A good sign reinforces a recollection and extends the overall recall of other advertising efforts and bringing in new clients and affect-
ing their buying decisions. A major problem that body shops encounter is that they don’t update or change their signs. If it works, why change it, right? From Walmart to REI, almost every major retailer updates their signage every 10-20 years, so they obviously see value in it. And yet, some shops have a 25-year-old sign
Once your shop’s old sign has seen better days, don’t be afraid to replace it. (McGrath Collision Center, Cedar Rapids, ID)
hanging out there looking like something that was pulled out of the Titanic. Some shops might be perplexed by all of the different signs to choose from. Back in the old days (pre-1980’s), there were only a few options when it came to signs. If you had the money and wanted to make a big impression, neon was the only way to go, and it was the rage for 40 years. In the fifties and sixties, body
shops invested in expensive neon signs to attract customers away from the other shop down the street. Having a neon sign sent a message that said “We are successful.” But neon is costly, so after a while, only big retailers like car dealers had neon signs. In the eighties, consumers viewed neon signs as garish and tacky, so body shops began finding cheaper alternatives. Now, of course, they are back in vogue, like everything else. But unless you have an old neon sign and you simply need to update it or rehab it, neon may be too pricey for you. Since it also burns electricity and you’re striving to be a greener business, maybe neon is not your best solution. Roger Henson, the owner of ABC Marketing in Silicon Valley, CA, has placed numerous signs of all types for a wide range of companies by working with sign contractors and companies such as Clear Channel Outdoor. Henson’s strategy when it comes to signage is “get your name out there without being too aggressive.” “I had a client who was an auto glass company, and he had signs on all of his trucks, painted on every one of their parking spaces, six on his building and 2-3 banners hanging from every-
where,” Henson said. “It became offensive, and he even got a few bad Yelp reviews as a result. When it comes to signs, you can indeed have too many, and if they’re too big or too bright, people don’t like that.” For body shops, Henson would suggest using all of the newest signs
Continued from Page 26
Lincoln Tech
tors around the country who are helping these students train for future jobs in the industry. Bobzien, who oversees all of Lincoln Tech’s automotive programs nationwide, sees that future as wide open for graduates. “At Lincoln Tech, we’re in regular contact with employer partners as well as respected industry professionals who serve on our advisory boards,”
A new, updated sign utilizing today’s newest technology can create a positive and professional image. (McGrath Collision Center, Cedar Rapids, ID)
that are available on the market today to tell your message and leverage your brand. “Why not use some digital signage in addition to the old painted letters on the side of your building?” he said. “It all comes down to your budget and your goals with your signs. You want good signs so that people can find you easily, but you also want signs that people will remember.”
he said. “We’re able to make sure our students are always learning the skills most important to today’s collision repair employers, and we’re proud to help hundreds of students overcome the skills gap in this field every year.”
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www.autobodynews.com | NOVEMBER 2016 AUTOBODY NEWS 31
A Second-Generation Female Shop Owner Fights the Odds and Wins in this male-dominated industry. “It was definitely on-the-job training,” she Some people are born into the body said. “Since I had the accounting backshop business and embrace it while ground, I was able to track the numbers others fight it for a while and then well, and that really helped me over the eventually relent. The sons and daugh- years. This is surely not an easy busiters of shop owners usually either love ness to be in, but by stressing quality the collision industry and take to it and customer service, we’ve been able like ducks to water, while others will to perform at a high level for almost 40 do just about everything they can to years.” opt out of the business and pursue In 1988, Bertolli became the something else—anything else. shop’s general manager as her father In this case, Laura Bertolli, the began stepping away from the business owner of Bertolli’s Autobody in San to pursue a highly lucrative second caRafael, CA, is a prime examreer in commercial real estate. ple of a second-generation After a series of shop manshop owner who initially reagers came and left, Laura asjected the collision industry sumed full control of the and then later embraced it. By business. But when she fiworking hard to learn everynally announced to the shop’s thing she could while changcrew that she was now in ing her approach to managing Laura Bertolli, the charge, their reaction wasn’t people, Bertolli has been able owner of Bertolli’s positive, to say the least. Autobody in San to keep the shop that her father “I called a meeting that Rafael, CA, is a started in 1977 flourishing in very first morning and after I Marin County, where there are second-generation told them that I was now runshop owner who more hot tubs than cars. ning the show, they all walked never imagined Bertolli began working out,” Bertolli said. “They all that she would eventually take at her father’s shop on the quit on the spot, which was over her father’s weekends and after school as terrible, but in a way it was business a teenager, but she never enalso exciting. So, I immedivisioned it as a career. “At first, I was ately called all of my vendors and told doing a lot of filing and organizing pa- them I need people. Thankfully, there perwork,” she said. “And then, when I were some friends out there who was 16, I began working after school helped me until I was back with a new doing the bookkeeping. This is where crew. It took a while, but I eventually I got the drive to be a business major was able to put together a good team. and become a CPA.” One of those original hires is still here After graduating from high school, after all those years.” Bertolli earned a B.S. in Business AdOnce she had a new crew, Bertolli ministration from UC Berkeley’s highly- decided to change her managerial style respected Haas School of Business. After for a fresh start. “I realized that I could graduating from Cal, she went to work not manage these guys successfully by barking our orders, because they did not want that from a woman. So, instead of telling them what to do, I started asking them questions about what should we do and it worked right away. How long is the job going to take? What parts do we need, etc.? If you ask a tech a question, he buys in— because he wants to do the job right and he feels like a team member when you ask instead of tell.” With a small crew, Bertolli’s Autobody repairs approximately 60 vehicles out of a 7,500 With a modest, highly-productive square foot facility without a DRP crew currently repairing roughly 60 for an accounting firm in Novato, CA, vehicles every month out of a 7,500 but her father was having issues with his square foot facility, Bertolli has cut the bookkeeper, so in 1985, Laura returned fat without sacrificing quality. “We to do of all of the shop’s bookkeeping have four people on the shop floor— and accounting. two body techs, one painter and one Bertolli learned on the fly and detailer and they all do an amazing eventually figured out how to succeed job,” Bertolli said. “We keep them by Ed Attanasio
32 NOVEMBER 2016 AUTOBODY NEWS | www.autobodynews.com
working and busy and it makes for a because by now we’re well-known in positive environment because they Marin for doing excellent work, and in share my passion for doing a great job a town like this, a solid reputation goes on each vehicle that comes in here.” a long way.” Every car that Bertolli’s repairs To build a strong customer base, comes from referrals, repeat business, Bertolli has done TV commercials and local networking through a local Busiembraced the internet and social media ness Networking Institute (BNI) chap- before many others were even considter and other sources, but not through ering it. “We did TV ads during the any DRPs with insurance companies, San Francisco Giants games until they Bertolli explained. started winning the World “When the DRP sysSeries every other year and tem started, we got a few of it became too expensive,” them, and the relationships she said. “And we got a were totally different back website back in 1995, when then,” she said. “The insurthey were still pretty much ance companies let us pretty in their infancy.” much fix the cars the way Looking back and seeFrom her shop’s logo we wanted to, but eventuing where she is now, does all the way to her TV commercials and social ally that changed. Pretty Bertolli feel that taking media, Bertolli likes to soon, they were telling us over her father’s shop was take a fun approach what to fix and how to do it, a good move? “Yes, defito marketing and that’s when I began nitely,” she said. “I came telling them no. I’m not going to cominto a very tough, male-dominated inpromise my standards to meet their fidustry and the odds were probably not nancial needs, because my family’s in my favor. But, by working hard, name is attached to that vehicle. So we learning along the way and focusing haven’t had a DRP here for many on the things I know how to do—like years and have had less drama as a reselling and marketing—I built a good sult. It has not affected our business business, and that is truly satisfying.”
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www.autobodynews.com | NOVEMBER 2016 AUTOBODY NEWS 33
Tips for First-Time SEMA Attendees from Industry Veterans by Stacey Phillips
Autobody News reached out to body shop managers and employees who have visited the SEMA show over the years to find out their recommendations for first-timers. Nichole Hubbard from European Motor Car Works, Inc. in Santa Ana, CA, recommends first-time SEMA visitors pick up a program guide, bring a camera, wear comfortable shoes, a hat and sunglasses. “There’s plenty to see outside the SEMA Halls,” said Hubbard. If you’re staying in a nearby hotel, she suggests purchasing a weekly tram pass so you have easy access to the show. “If you’re a collision repairer, the North Hall is the place to start,” said Hubbard. In addition to highly informative educational classes offered by SCRS and I-CAR, there are an array of collision industry presentations available throughout the week. “Visit the New Product Showcase,” said Hubbard. “There are plenty of new tools and products for your review. Also, get ready to be amazed at the automotive aftermarket; it will keep you talking about it for months to come.” In Bedford Hills, New York, Avi
Harrindranauth from North State Custom said the SCRS pass is very worthwhile and will allow you to attend all courses SEMA offers as well as the Sky Villa After Party held at the Westgate Las Vegas Resort & Casino on November 3. Harrindranauth attended SEMA for the first time last year. “There was a lot to take in,” he said. “There are so many different exhibitors that you definitely need the entire week out there.” Harrindranauth recommends first-timers attend SEMA Ignited on November 4 at the Gold Lot, which is across the street from the Las Vegas Convention Center and includes vehicles, food, demos, entertainment and more. One of the highlights is the Battle of the Builders competition, which features top automotive builders from across the United States. He said it is one of his favorite parts of the show. “You can really see some unique things and everything is customized, built by people from all over the world,” said Harrindranauth. Also from New York, Gerry Rosenbarker offered insight on the Las Vegas show. “Anyone who has an interest in the industry should definitely go to SEMA—at least experience it once,” said Rosenbarker, the
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collision manager from Mohawk Honda. He recommends bringing a great pair of walking shoes and picking up a map! He said the classes offered during the show are phenomenal. “These people are the best in the industry,” said Rosenbarker. “Anything that you are typically interested in, you should be able to get the answers there.” When Rosenbarker was looking for equipment to purchase for Mohawk Honda’s new state-of-the-art collision repair shop (see Shop Strategies article about Mohawk Honda), he visited SEMA to find out what was currently available on the market. “We saved tens of thousands of dollars by purchasing equipment at SEMA,” he said. Attending the show has given them the opportunity to compare paint booths, frame machines, welders, and other shop equipment. “That show is an absolute necessity for anyone who wants to be on the cutting edge of this industry,” said Rosenbarker.
www.autobodynews.com
BASF Makes 37 Custom Jaguar/Land Rover Colors
The collaboration between BASF and Jaguar Land Rover (JLR) is expanding globally. BASF will supply 37 unique colors for the Jaguar Land Rover Special Vehicle Operations (SVO) for 2017 models. The new colors represent a combination of both R-M Onyx HD and Glasurit 90 Line, available in both gloss and matte satin finishes. The new colors will initially be available for the Range Rover L405 and the Range Rover Sport L494. “The programs implemented with JLR globally are very similar to the solutions offered by BASF in North America to track KPIs and help shops benchmark their numbers so they can implement strategies to improve efficiencies,” said Jeff Wildman, BASF Manager OEM & Industry Relations. “The strong collaboration between Jaguar Land Rover and BASF, in production and in aftermarket, is aimed at putting the customer first,” said Arjan Klijn, BASF Global Key Account Manager for JLR. Media Contact: Mary Ann Short, BASF, +1 248 948-2253 or maryann.short@basf .com
www.autobodynews.com | NOVEMBER 2016 AUTOBODY NEWS 35
Please contact these dealers for your Honda or Acura Genuine parts needs. HO ND A AL AB A M A
FL O RIDA
FLOR ID A
GEO RG I A
Holman Honda of Ft. Lauderdale
Gwinnett Place Honda
F T. L A UDERDAL E
800-277-8836 678-957-5151
Freeway Honda
Classic Honda
B ir m in g h a m
O r l an do
800-987-0819 205-949-5460
888-893-4984 407-521-1115
Dept. Hours: M-F 7:30-5 greg_thomas@freewayhondaal.com
Dept. Hours: M-F 7-7; Sat 8-4 parts@classichonda.com
Jerry Damson Honda
Coggin Deland Honda
Hu n ts vi lle
D e l an d
800-264-1739 256-382-3759
800-758-0007 386-626-1811
Dept. Hours: M-F 7-5:30; Sat 8-4 Rkeel@damson.com
Dept. Hours: M-F 7:30-6; Sat 8-5 gbennett@cogginauto.com
Dept. Hours: M-F 7-7; Sat 7:30-4 robbutton@rickcase.com
Ed Morse Honda
South Motors Honda
FL O RI D A
AutoNation Honda Clearwater Cle a rwa t er
R i v i e ra Be a ch
800-232-1098 561-844-8089
888-792-7189 954-763-7157 Dept. Hours: M-F 8-5:30 rguido@holmanauto.com
Rick Case Honda Davie
877-544-2249
M ia mi
888-418-3513 305-256-2240 Dept. Hours: M-F 8-7 mfranceschi@southhonda.com
888-205-2564 727-530-1173
Dept. Hours: M-F 7:30-6; Sat 7:30-5 tonyrocha@edmorse.com
Dept. Hours: M-F 7-7; Sat 8-5; Sun 10-3 santosr1@autonation.com
Headquarter Honda C l e r mo nt
Carey Paul Honda
AutoNation Honda Hollywood
800-497-2294 407-395-7374
770-985-1444
Ho lly wo o d
800-542-8121 954-964-8300 Dept. Hours: M-F 7-7; Sat 7-5; Sun 9-5 hernandeze@autonation.com
Braman Honda of Palm Beach
S ne ll vi ll e Dept. Hours: M-F 7-7; Sat 7-6 gperkins@careypaul.com
Hendrick Honda Bradenton
Ed Voyles Honda
877-706-2021 941-752-2123
M ar i e tta
800-334-3719 770-933-5870 Direct
Dept. Hours: M-F 7:30-7; Sat 8-4 Kris.kitzman@hendrickauto.com
Dept. Hours: M-F 7-7; Sat 7-6 hondaparts@edvoyles.com
888-479-0695 561-966-5185
Hendrick Honda Daytona
Gerald Jones Honda
Dept. Hours: M-F 7:30-6; Sat 8-4:30 parts@bramanhondapb.com
800-953-4402 386-252-2301
G re en a c re s
D a y to n a Be ach
Dept. Hours: M-F 7:30-6; Sat 8-4 Hondadaytonaparts@hendrickauto.com
Dept. Hours: M-F 7:30-6; Sat 8-5 gphwholesaleparts@hendrickauto.com
Honda Mall of Georgia Bu f ord /G win net t
678-318-3155 Dept. Hours: M-F 7-7; Sat 7-5 cdunlap@penskeautomotive.com
Milton Martin Honda Gain esv ille
770-534-0086 678-989-5473 Dept. Hours: M-F 7:30-6 robertthomas@mmhonda.com
Nalley Honda
GEOR GIA
Dept. Hours: M-F 8-7; Sat 8-5 pepe.guevara@headquarterhonda.com
B ra de n to n
Du lu t h
A ugus ta
800-733-2210 706-228-7040 Dept. Hours: M-F 7:30-6; Sat 8-5 tdunn@geraldjoneshonda.com
Un ion City
866-362-8034 770-306-4646 Dept. Hours: M-F 7:30-7; Sat 8-5 hondawp@nalleycars.com
Southern Motors Honda Savann ah
888-785-8387 912-925-1444 Dept. Hours: M-F 8-6; Sat 8-5 angela@southern-motors.com MI SS IS SI P P I
Patty Peck Honda Rid g elan d
800-748-8676 601-957-3400 Dept. Hours: M-F 7:30-6; Sat 8-5 pmartin@pattypeckhonda.com
AC U R A AL AB A M A
FL O RIDA
GEOR GIA
GE OR G I A
Jerry Damson Acura
Duval Acura
Jackson Acura
Hu n t svil le
Ja ck s o nvi ll e
Ro swe l l
Savann ah
800-264-1739 256-533-1345
800-352-2872 904-725-1149
877-622-2871 678-259-9500
800-347-0596 912-232-3222
Dept. Hours: M-F 7-5:30; Sat 8-4 Rkeel@damson.com
Dept. Hours: M-F 7-7; Sat 8-5 Cecil.adams@duvalacura.com
Dept. Hours: M-F 7-6; Sat 7:30-6 kmcmillan@jacksonacura.com
Dept. Hours: M-F 7:30-6; Sat 8-2 Tim.johnson@acuraofsavannah.com
Rick Case Acura
Nalley Acura
F o rt La u de rda l e
M ar i e tta
800-876-1150 954-377-7688
800-899-7278 770-422-3138
Dept. Hours: M-F 7:30-6; Sat 8-5 rubenramos@rickcase.com
Dept. Hours: M-F 7-7; Sat 7-5 byoung@nalleycars.com
FL O RI D A
Acura of Orange Park J ack so n vi ll e
888-941-7278 904-777-1008 Dept. Hours: M-F 7-8; Sat 7-5; Sun 9-3 msweeney@acuraoforangepark.com
36 NOVEMBER 2016 AUTOBODY NEWS | www.autobodynews.com
Southern Motors Acura
N O . CA RO L IN A
Flow Acura Win st on -Salem
800-489-3534 336-761-3682 Dept. Hours: M-F 7:30-6; Sat 8-1 www.flowacura.com
NO . C AR O LI N A
NO . CAR OL INA
TEN NE SS EE
V IR GIN I A
Apple Tree Honda
Vann York Automall
Bill Gatton Honda
As he v ille
High Point
Br is to l
Stau n ton
800-476-9411 828-684-4400
336-841-6200
800-868-4118 423-652-9545
800-277-0598 540-213-9016
Dept. Hours: M-F 7:30-5:30; Sat 8-1 hondaparts@billgattonhonda.com
Dept. Hours: M-F 7:30-5:30; Sat 9-5 bwimer@myvalleyhonda.com
Wolfchase Honda
West Broad Honda
Dept. Hours: M-F 8-5; Sat 8-4 appletreeparts@hotmail.com
Crown Honda Southpoint Du r ha m
855-893-8866 919-425-4711 Dept. Hours: M-Thu 7-11; Fri 7-6 Sat 7-5; Sun 11-5 www.southpointhonda.com
Hendrick Honda Ch a r lo t t e
800-277-7271 704-552-1149 Dept. Hours: M-F 7-7; Sat 8-5 rob.thomas@hendrickauto.com
Leith Honda Ra le ig h
800-868-6970 919-790-8228 Dept. Hours: M-F 7-7; Sat 7:30-5 parts@leithhonda.com
McKenney-Salinas Honda G as t on ia
888-703-7109 704-824-8844 x 624 Dept. Hours: M-F 7:30-5:30 parts@mshonda.com
Metro Honda I nd ian Trail
866-882-9542 704-220-1522 Dept. Hours: M-F 6:30-6:30; Sat 7-4 www.copytk.com
N O . CAR OL IN A
Hendrick Acura
Dept. Hours: M-F 7:30-6; Sat 8-3 SO . CAR OL INA
Breakaway Honda G re e n vi l l e
800-849-5056 864-234-6481 Dept. Hours: M-F 8-6; Sat 8-5 fmarshall@breakawayhonda.com
Midlands Honda C o l u m bi a
877-273-4442 803-691-8585
Valley Honda
Ba r tle t t
Rich m on d
800-982-7290 901-255-3780
800-446-0160 804-672-8811
Dept. Hours: M-F 7-7 ekerr@wolfchasehonda.com
Dept. Hours: M-Thu 7:30-6:30; Fri 7:30-6; Sat 8-3; Sun 11-3 wbhonda@aol.com
VIRGINIA
Checkered Flag Honda No r fo l k
Dept. Hours: M-F 7-7; Sat 7-4 www.copytk.com
800-277-2122 757-687-3453
Piedmont Honda
Dept. Hours: M-Sat 7:30-6 honda.checkeredflag.com
A n de r so n
800-849-5057 864-375-2082 Dept. Hours: M-F 7:30-6; Sat 8-5 swhite@piedmontcars.com TE NNES SEE
Airport Honda Alcoa
800-264-4721 865-970-7792 Dept. Hours: M-F 7:30-6:30; Sat 7:30-5 parts@airporthonda.com
AutoNation Honda West Knoxville
Colonial Honda C he ste r
800-564-9836 804-414-1960 Dept. Hours: M-F 8-7; Sat 8-4 rreese@i95honda.com
Hall Honda Vi rgi ni a Bea ch
800-482-9606 757-431-4329 Dept. Hours: M-F 8-7; Sat 8-5 fox@hallauto.com
K n ox v i l l e
Hendrick Honda Woodbridge
800-824-1301 865-218-5461
703-690-7777
Dept. Hours: M-F 7:30-6 rossd1@autonation.com
Wo o db ri dge Dept. Hours: M-Fri 7-6 Sat 8-5; Sun 10-4
VI RG INIA
Karen Radley Acura
Ch a r lo t t e
Woo d br i dg e
800-768-6824 704-566-2288
800-355-2818 703-550-0205
Dept. Hours: M-F 7:30-6; Sat 8-5 justin.taylor@hendrickauto.com
Dept. Hours: M-F 7:30-5:30; Sat 8-3 coreythompson@radleyautogroup.com
Leith Acura
Radley Acura
Ca r y
F a l l s C hu rch
800-868-0082 919-657-0460
800-550-5035 703-824-5785
Dept. Hours: M-F 8-6; Sat 8-4:30 parts@leithacura.com
Dept. Hours: M-F 7:30-6; Sat 8-6; Sun 10-5 jimgraf@radleyauto.com www.autobodynews.com | NOVEMBER 2016 AUTOBODY NEWS 37
Industry Insight
—John Yoswick is a freelance writer based in Portland, Oregon, who has a body shop in the family and 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.
Shops Nationwide Need to Understand Federal Overtime Change Slated for December 1 with John Yoswick
Important changes being made to fedsome “white-collar” workers to be exeral overtime regulations are likely to empt from overtime. King said the sorequire significant changes for some called “executive exemption” is most body shop employee pay plans, accordcommonly used by shops for salaried ing to business attorney Cory King. managers. King, a California attorney who “One of the biggest problems that regularly addresses such issues at the I see in this industry is shops that Collision Industry Conferthink, ‘If I pay that employee ence (CIC), often prefaces a salary, they’re exempt his presentations with the from overtime and I don’t caveat that the changes won’t have to worry about tracking impact California shops betheir hours or paying them cause many state wage-hour overtime,’” King said. “But laws there are already more [payment by salary] is only stringent than those at the one part of the test to qualify Cory King federal level. for that [particular] exempBut speaking at CIC in Anaheim, tion for overtime.” Calif., this past summer, King said In order for such managers to be even California shops must be aware of exempt from overtime, they also must what a federal overtime change could meet certain duties tests, such as mean for some of their employee pay spending the majority of their time plans. doing managerial work, and they The change made by the U.S. Demust regularly supervise two or more partment of Labor affects the salary workers, King said. They must have thresholds that must be met in order for authority to hire and fire those em-
38 NOVEMBER 2016 AUTOBODY NEWS | www.autobodynews.com
ployees, or at least have their recommendations as to those decisions given significant weight by the company. Those duty tests are not changing under the new federal regulation. But in order to qualify for the overtime exemption, those employees also must be guaranteed a certain salary; that minimum income is what is slated to change nationwide as of December 1. That minimum threshold is currently $455 a week ($23,600 annually) but that will more than double later this year to $913 a week ($47,476 annually). (See sidebar: “Legislation, lawsuits seek to adjust change to overtime regulation”.) “Don’t ask me how they came up with that number,” King said, although he acknowledged it was the first increase in the federal threshold since 2004. King said the change does not necessarily mean shops with a manager paid a salary under the new higher
threshold have to necessarily increase that pay. A change in the manager’s pay plan can suffice. King cited an example of a manager currently paid a guaranteed base salary of $30,000 (above the current minimum threshold) and who works an average of 50 hours per week (but meets the other requirements to be exempt from overtime). That manager also may be getting additional incentive pay based on shop sales, gross profits, etc., but because that portion of income is not guaranteed, it cannot be taken into account when determining if the minimum salary threshold for the overtime exemption is being met. King said the shop could convert that $30,000 guaranteed salary to an hourly wage instead. At $10.50 per hour, that employee would still be making $30,000 per year for the same number of hours (40 hours per week at $10.50 per hour, plus 10 hours per
Legislation, lawsuits seek to adjust change to overtime regulation
Unless the courts or federal lawmakers act, the minimum amount certain salaried employees will need to be paid to be exempt from overtime will increase dramatically as of December 1. Although employers probably should act as if the change will occur as scheduled, several efforts are underway to challenge the Deweek at $15.75). “You’re not cutting their pay,” King said. “You’re just changing the manner in which you get them the pay for the same hours and the same work they have been doing.” The managers will also have to punch a time clock to ensure the business tracks their hours worked, King said. He said several shops that are his clients have made such an adjustment in pay plans, and not surprisingly found some managers were apprehensive about the change. But once they go
partment of Labor’s new regulation. First, officials from 21 states and more than 50 business groups filed two lawsuits in a federal court in Texas in September seeking to overturn the new regulation. Some legal experts think such lawsuits face an uphill battle, although they do say the challenge may put a halt to regulation’s annual increases
(based on inflation) to the minimum amount exempt employees must receive. Second, the U.S. House of Representatives this fall passed a bill that would delay the change in the overtime regulation for six months (presumably in the hopes that a new Administration would be less supportive of the increased
through several pay cycles, they see emption is less of a dramatic change that it’s not impacting their income, because state law already set a minimum salary threshold of two times the King said. “You help them understand the state minimum wage (so currently $41,600 per year). But that’s mindset that this is what you still below the new federal probably have to do to be minimum, so California shops able to stay in business, bewill need to adjust as well, eicause you’re not going to be ther raising the guaranteed able to afford to raise those salary (to $47,476) or shifting [guaranteed] salaries to the to the hourly system described level to keep the [overtime] above. exemption,” King said. Randy Stabler King said wage-hour isFor shops in California, the new December 1 federal minimum sues are at the heart of growing number of lawsuits, so shops have all the more income threshold for the overtime ex-
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minimum salary requirement). But that effort seems unlikely to succeed, given that similar legislation would have to be passed by the Senate and signed by the President (who has promised to veto any such legislation) in order to become law before the overtime change is slated to go into effect December 1. reason to understand and comply with overtime regulations. “I just want you to walk away from here realizing ‘I have to do something,’” King told shops at CIC. “Because the worse thing you can do is do nothing.” “You have to be proactive and get ahead of this,” agreed Randy Stabler, a California shop owner and chairman of the CIC. “Even though your competitors may not be observing all the laws, it’s incumbent upon you to do so because you want to protect your company for the long-run.”
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www.autobodynews.com | NOVEMBER 2016 AUTOBODY NEWS 39
Audi dealers strive to make you an
Alabama Audi Birmingham Irondale 205.986.7410 205.986.7438 Fax M-F 7am-6pm; Sat 8am-4pm daniel.williford@audiofbirmingham.com www.audiofbirmingham.com
Audi Huntsville Huntsville 256.724.3499 256.721.4066 Fax M-F 7am-5:30pm; Sat 8am-2pm ihagler@hileyhuntsville.com www.audihuntsville.com
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Audi Fort Myers Fort Myers 239.454.9099 239.790.3092 Fax M-F 7am-5:30pm; Sat 8am-4pm parts@audifortmyers.com www.parts.audifortmyers.com
Audi Jacksonville Jacksonville 866.413.8557 904.565.2216 Fax M-F 7am-7pm; Sat 8am-5pm cdrake@audijax.com www.audijax.com 40 NOVEMBER 2016 AUTOBODY NEWS | www.autobodynews.com
Audi Melbourne Melbourne 888.554.3115 321.956.1959 Fax M-F 7:30am-5:30pm parts@audimelbourne.com www.audimelbourne.com
Audi Naples Naples 866.267.0060 239.643.8582 Fax M-F 7:30am-6pm Sat 7:30am-3pm tcanglin@audinaples.com www.audinaples.com
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Bodyshop Revolution Expands to United States with Unique Technology & Processes said Parker. “If it is 10 days today, it will be five; if it’s seven today, it will be When I sat down to talk to Jon Parker, three and a half. This is a game changer to the way you repair cars.” owner of Bodyshop Revolution, he had The process, which has been used just returned from a two-week trip that included stops in London, Paris, Dubai, in Europe for more than 10 years, was Singapore, Auckland and Melbourne. designed for all types of body shops— Parker was traveling the world sharing whether they are dealer-owned, MSOs, large or small independents. The equipinformation about his UK-based comment has been certified for use in the United States and there are currently 15 shops powered by Bodyshop Revolution across the nation. The process is primarily based on the Theory of Constraints and systems thinking, which Parker said is something many are not familiar with in the United States. He With no previous knowledge of the San Diego market, explained that the Theory of Patrick O’Neill opened Bodyshop Express a year and a Constraints is based on unhalf ago derstanding which part of pany’s technology and processes. They your business determines throughput, the speed at which things flow. He were created to change the collision reused the example of turning over an pair industry by providing a high-qualhour glass. The narrowest part in the ity and fast turnaround car repair. center is where the sand slows down “We developed a process and technology that enables shops to halve their the flow. In terms of a body shop, cycle time from wherever it is today,” Parker explained that somewhere in a by Stacey Phillips
tremendous cost savings. Bodyshop Revolution was established in 2010. Two years later, collision repair shops in the United Kingdom began implementing the company’s processes. “When we came out with this theoretic process to repair cars it was a big leap of faith for some of these shops to actually change their shops to do it,” said Parker. “We spent our own money building out our own shop in the UK to actually prove it out.” The company now operates in nearly In September, Bodyshop Express painted 264 cars with one every English-speaking country. spray booth and rolled prime on 98 percent of the vehicles After expanding to the United States, about a year and a half The idea is to change the way the entire body shop operates including esago, with the opening of Bodyshop timating, parts control as well as the Express in San Diego, CA. Owned by Patrick O’Neill, the body shop inway the technicians repair vehicles. “By cludes all of the equipment, software changing the system by which they and technology from Bodyshop Revwork, we can actually get much more olution. throughput,” said Parker. The goal is to O’Neill previously owned eight strive for continuous workflow. “When collision centers in Arizona and Newe start repairing a car, we never stop vada, which he sold in 2012. He came repairing it until it’s finished.” Parker across Bodyshop Revolution’s unique said the result is lower key-to-key cycle technologies in the UK and decided to time, more efficiency in the shop, and shop there is a slower part where it bottlenecks. “What we do is eliminate all of those bottlenecks,” said Parker. “It’s a process that is designed to provide continuous workflow.”
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set up his own shop to better understand the technology. With no previous knowledge of the San Diego market, he has been able to fill the shop with customers, bring in $300,000 to $400,000 per month and form DRPs with several insurance companies. O’Neill said there are four things that stop production in the body shop: departments, cure time, philosophy and beliefs, and mistakes. “Our goal is to eliminate departments and eliminate as many mistakes as humanly possible,” said O’Neill, who has found that the hardest thing to do is to get people to step outside of their box and try the new process. “One of our value propositions is that we say you can get 55 cars a week through one paint booth (during a normal work-week) and you can run a body shop without a prep deck,” said O’Neill, who is also a distributor for the technology. “We’ve been able to prove that.” In September, the shop painted 264 cars with one spray booth and roll primed on 98 percent of the vehicles. The shop’s cycle time is currently 3.9 days and touch times are 5.7 to 6.2 hours per day depending on the insurance company. Parker said he has found there
are typically two types of customers who are interested in implementing Bodyshop Revolution’s processes: those who own their own shop and want to retrofit the system into their business; and MSOs that are expanding into new shops. “Rather than buy-
perfectly white shop floor, with technicians working on one car at a time. “Although it’s peaceful and calm, at the same time we’re invoicing out 40 to 50 percent more work.” Rather than doing just a subsection of someone else’s repair, technicians see it through the entire process. “We actually combine more skills into one tech which makes him able to do more of the repair and gives him more responsibility and pride in what he is doing,” said Parker. The company’s robotic technology enables paint, along with fillers and primers to dry very quickly and it is fully O’Neill said he has been able to fill the shop with customers, cured. “You can still achieve bring in $300,000 to $400,000 per month continuous workflow because ing an existing shop where they need you can carry on sanding or buffing or to change the culture and bring them rebuilding the car immediately once on board to their way of thinking and you’ve painted it,” said Parker. their own process, we try to persuade Part of the process also includes a them to find a new building and drop vehicle damage assessment (VDA). If our solution straight in,” said Parker. the car is drivable with superficial damA typical body shop has multiple age, a full estimate is conducted on the technicians working on multiple cars. vehicle within a half hour to 45 minInstead, each car is treated as an indi- utes and the customer is able to use the vidual project. “We create a very pro- vehicle until the parts arrive. This enfessional and organized working sures that every car goes into the proenvironment,” said Parker. Imagine a duction process with all of the parts.
“The customer is driving his own car and happier than in a rental and the car is in the shop for a very short period of time,” said Parker. “We bring predictability into the system.” Bodyshop Revolution has a United States-based global training team in place to help shops get up to speed on the new technology and processes. Parker said it takes about a month to settle in and the goal is to create selfsustaining shops. He said that the average payback time is about six to eight months. “It’s not cheap to implement but a really quick return on investment,” he said. The company offers financing packages that can be paid off over a threeto five-year period. The company is continuing to reach out to shops across the United States and educate them about Bodyshop Revolution’s processes. “People are skeptical about what we do because it really is radically different than traditional thinking,” said Parker. “It’s a really exciting and unique solution.” “We are showing that we are building a shop of the future that processes cars correctly the first time and delivers them in half the time,” said O’Neill. Original BMW Parts
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Portland, OR, Body Shop Owner Becomes Homeless Advocate handlers and judge them,” he said. “Get a job, I would tell them. But I wasn’t In our October issue we ran an article looking at them clearly or with compasabout Steve Spinnett, a Portland body sion until one incident changed my shop owner who became an advocate mind forever. It was a complete turnfor local homeless people. Autobody around and it happened in about a News reached out to Spinnett to learn week.” One Sunday evening, Spinnett had more about him and his progression toto run by his shop to pick something up. wards advocacy. Steve Spinnett has owned and opAs he entered the business, he noticed a erated Steve’s Imports in Portland, OR tall black gentleman across the street for the past 40 years, doing car restoralooking at his shop. “I was a little surtions, collision repairs and offering the prised, so I went over to him and asked full gamut of mechanical repairs. He him what he was doing. He told me that does $2.5 million in business annually he was watching my business for me, so with 20 employees. He works with his that no one would break in. ‘That’s my job,’ he said. ‘If anyone messes with your shop, they have to go through me.’” Spinnett was fascinated by the remark, so he introduced himself to the homeless man, Otis “Diamond” Britton, a 6’7” African American man who had lived on the Springwater Trail right next to Steve’s Imports for the past five years. Britton introduced Spinnett to (l to r) Thommy, Steve and John Spinnett run the show at Steve’s Imports in Portland, OR, a business Steve started the world of being homeless, 40 years ago. When he saw homeless people living in a and with understanding came camp near his shop, he decided to take action compassion. “Through Diason Johnny, who is the shop’s manager; mond, I met a lot of other homeless peohis other son, Thommy, who is the shop ple,” he said. “I discovered how these foreman and his daughter Rebecca, folks were living and heard their stories who runs the front office. Steve’s Imand my whole attitude changed. So I ports is truly a second-generation family asked myself—what can I do for these business. folks without giving them hard cash?” Whenever Spinnett, 62, sees someAfter asking the right questions, thing that moves him way one or anSpinnett was able to find a significant other, he doesn’t just talk about it—he way of helping the homeless living near acts. Once a conservative small-town his shop. “Diamond told me that water mayor in Damascus, OR, Steve isn’t and electricity were important and it afraid to take on issues that enter his life would make their lives easier if they and affect him. could get more access to it,” he said. “So His time as a mayor ended up being they now can use our hose at any time more like a Mr. Smith Goes to Washfor water and they can charge their cell ington scenario, but Spinnett looks back phones right outside the shop with a few at it as a valuable learning experience. electrical outlets that we provide. Except “I saw some elitist behavior going on at for leaving the water on one time, they that point, related to land use, so I dehave not taken advantage of it, which cided to jump into local politics and then shows that they appreciate what we’re I jumped out,” Spinnett said. “But the doing.” experience was an eye-opener about When Portland Mayor Charlie things like power, human nature and Hales said he was going to get rid of the how politics works, so I’m happy that I homeless camps on the Springwater did it.” Trail a while back, Spinnett wasn’t One of the major problems with going to let it happen without a fight. homelessness is that most people don’t “We got them an additional month, but want to deal with it or consider homethen they did a sweep and shut it down,” less people to be losers, addicts or crahe said. “They’re not working on the zies. One of those closed-minded people problem—they’re just moving it around admittedly was himself, Spinnett exand hoping that it goes away.” plained. “I would walk by these panBy studying the cause of homelessby Ed Attanasio
44 NOVEMBER 2016 AUTOBODY NEWS | www.autobodynews.com
ness, Spinnett is able to help homeless people more effectively, he said. “There are three types of people living out on the street and I have encountered all of them. One-third is what I call legitimate homeless people who have experienced some form of trauma and can’t get out of their current situation. Another onethird of them are straight up addicts, either hooked on drugs or alcohol, and
One day, Steve Spinnett got into a conversation with Otis “Diamond” Britton, a homeless man who had lived on the Springwater Trail right next to Steve’s Imports for the past five years. Their brief encounter changed both men’s lives as a result
they obviously need legitimate help to get off them. And the last one-third is the criminal element. They prey on the homeless and they deal them the drugs. I know what the drug dealers look like
now. They wear the same backpacks with their goods in there and it’s sickening to see.” One young woman that Spinnett encountered at the homeless camp broke his heart, so he reached out to help her and change her life, he said. “She was selling herself for $10 in order to get her next fix. She was skin and bones and I could see that she was going to die pretty soon. So I got her in our church and connected with a local family. She has been clean now for a while and is going through treatment. She gained 10 pounds and recently reconnected with her father, so hopefully this story will have a happy ending.” Spinnett’s next mission involves education and compassion, he explained. “I am trying to get business owners and residents to start looking at the homeless differently. Some of their problems are self-inflicted and others are caused by bad luck or other issues, but in the end, they are human beings who have struggled in their lives for whatever reason. They need to be loved and treated like people, but too many folks categorize them and believe that they are subhuman.”
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Lean Operations
The Simple Rule on Pre-ordering Parts with David Luehr
There are numerous philosophies in our industry on the subject of pre-ordering parts. I have noticed that in some markets across the country, most people pre-order everything, and in other markets, not so much. So, just to clarify, a pre-order is when a collision repair shop orders the parts for a repair job after they have written an initial estimate with the expectation that they will have the parts they need onhand before the damaged vehicle is returned for its repair appointment. The thinking here is that we are attempting to reduce the repair cycle time by having the parts we need available to quickly fix the car when it arrives. This thinking makes sense, but only when executed properly. Some collision repair companies, including some well-known large MSOs, believe that pre-orders are actually a waste of time, and therefore prefer to wait until the vehicle has been thoroughly disassembled and the damage has been properly analyzed prior to ordering anything. I also agree with this philosophy. So who is right? It depends. In some parts of the country, primarily in rural parts of the country that are many miles away from a parts distribution center, pre-ordering is felt to be a necessity for obvious reasons. But in many markets today, you can have the parts you need within twenty-four hours, and in many cases, the same day you order them. This can make a difference in your particular pre-ordering philosophy. Regardless of your geographical situation, I would still challenge you to take a deeper look at your philosophy to understand why it is that you do what you do and if your philosophy is really helping you move cars through your shop efficiently, profitably, and with reduced chaos. The sad truth for most shops that pre-order parts is that they are actually wasting a lot of time and resources simply because the estimate they are using to order the parts is inaccurate. When you pre-order parts from an inaccurate repair plan, you are setting yourself up for failure before the car has even arrived! Stop it! Even worse is that a lot of shops will actually order parts based off of an insurance company written estimate without even inspecting the car first. This is total insanity, and yet we do
David Luehr is the owner of Elite Body Shop Solutions, LLC, a collision business consulting firm based in Nashville, Tennessee. He is a 30 year veteran of the collision repair industry. David is an expert in Body Shop Operations and specializes in Lean, and Theory of Constraints methods. Email him at dluehr@msn.com
it anyway because we either believe it is normal or because the insurance company convinced us that it is the smart thing to do. The local insurance adjuster says “Here’s the estimate for Mr. Jones’ car, go ahead and schedule them for Monday and get those parts here first!” Sound familiar? A few of the problems we create by ordering parts from an inaccurate estimate include: ● Interruptions in continuous workflow ● Chaos and stress in the workplace environment ● Return parts and all the extra work it causes ● Strains on vendor relationships ● Poor cycle time ● Unhappy customers ● Unhappy insurance company relations ● Additional expense and lower profits
If you want to measure if your “pre-ordering” program is successful, consider this: with all things being equal when it comes to the use of aftermarket and recycled parts, the best shops in the country operate with a return rate of under 5%; most shops that are pre-ordering based on poorly written repair plans are operating well above 10% percent, and I have seen as high as 40%! You can see what yours is simply by viewing a parts report from your computerized management system. So not only are we guessing what parts we may or may not need during our “curb-written guestimate,” we often order “just-incase parts” with the thinking that we can take these off the estimate later on. What a horrible way to treat our vendors! So what is the solution? What can you do to improve your cycle time while still reducing our return parts rate and make everybody happy? You may first have to change your philosophy. In all the years that I have spent in this industry, I spent many of them doing a lot of stuff wrong. One day I was asked to challenge my own beliefs of whether pre-ordering was really the right solution, so I put it to the test. I quit pre-ordering parts, and I even quit writing as many estimates instead of favoring scheduling repair appointments instead of estimate appointments. At several collision repair businesses that
46 NOVEMBER 2016 AUTOBODY NEWS | www.autobodynews.com
I was working with in the early 2000s, we actually improved our cycle time dramatically by refusing to order any parts (with a few exceptions) until we had disassembled the damaged vehicle and created an accurate repair plan. We had most complete parts orders within twenty-four hours and then the repair jobs would “fly” through the shop without all the usual interruptions. Repeatedly, we had managed to improve our keys to keys cycle time to a very respectable six to seven days on average without pre-ordering anything except some hard to find parts such as back-orders and some occasional recycled assemblies. So what about those shops in rural parts of the country where they consider pre-ordering a must? Or how about some of those small jobs where it might make sense to pre-order so you can turn it in one or two days? I have some suggestions, but please give me a moment. After a period of time never
pre-ordering, I began to adjust my own philosophy a little bit, and here’s why: in recent years, I have been keenly watching some of the shops in other countries and particularly in the U.K. They have a set of challenges surpassing anything I had seen in America, yet many of them have amazing cycle times, some as low as 2-3 days on average! In the U.K., they have been forced into disciplines that required they reduce their work in process to only allow for vehicles on the property that were “production ready,” having all the parts on hand needed to get it through the shop quickly. With space in short supply and the need to give out loaner cars to their customers, these British shop owners have had to be very creative and disciplined with their systems. They have a simple philosophy, which I now share. Pre-order parts, but only if you have properly analyzed the damage first! They have a See The Simple Rule, Page 50
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Historical Snapshot
—John Yoswick is a freelance writer based in Portland, Oregon, who has a body shop in the family and 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.
Infant Deaths in 96, Customer Retention, Suggestions for DRPs, OEM Procedures with John Yoswick
20 years ago in the collision repair industry (November 1996) Kim Hazelbaker of the Highway Loss Data Institute reported there have been 22 infant deaths in the United States because children were riding in the front seat o vehicles when passengerside airbags deployed. He said within several years, “smarter” airbag systems will include seat sensors to prevent these types. of deaths. Until such systems are developed. he said, the vehicle manufacturers and his organization are asking federal regulators to allow them to download the energy in the bags” being installed in today’s news vehicles. – As reported in Autobody News. Automakers have indeed developed “smarter” airbag systems, although many require new procedures for collision repair shops, including the mandatory resets (via vehicle scan) of the passenger seat weight sensors.
15 years ago in the collision repair industry (November 2001) Insurers risk losing market share because their field claims staff focuses too much on reducing costs and not enough on customer retention, according to industry consultant Dale Delmege.
Industry consultant Dale Delmege in 2001 suggested that insurers could reduce field staff by shifting more responsibility for – and benefit from – both cost-containment and customer retention to shops
In a presentation at the Collision Industry Conference (CIC) in Anchorage, Alaska, Delmege said such claims staff often are “driven powerfully and instinctively by self-preservation, are isolated and entrenched, are insulated from such issues as policyholder defection, are impervious to their own employer’s goals, are institutionally incapable of acknowledging reality, and share none of the common interests” of shops, vehicle-owners and insurer upper management. Delmege, a past chairman of CIC, emphasized that the views he was sharing were only his own based on some research he conducted for a client interested in what factors would likely result in U.S. insurers gaining or losing market share. He said you generally have to look six or more management levels above field staff in an insurance company before you find someone with accountability for both expenses (severity and
loss adjusting expense) and marketing or customer retention. Staff below that level care primarily for one or the other but not both. He suggested that because consumers often base their decision on whether or not to switch insurers on the “claims experience,” an insurer could retain and gain market share by transferring accountability for both costcontainment and customer retention closer to those controlling that experience. “By that I mean a regional executive who sweats both bullets, who makes decisions about the administration of claims as a function of his other responsibility, which is retention of policyholders,” Delmege said. Delmege and others at the meeting pointed out that insurers could also reduce field staff by shifting more of the responsibility for – and benefit from – both cost-containment and customer retention to shops.
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“Never before have insurers had so many opportunities to have claims repaired honestly, to have policyholders treated superbly, to have repairers make a massive contribution to loss adjusting expense,” Delmege said. – As reported in Hammer & Dolly.
10 years ago in the collision repair industry (November 2006) Some level of standardization, guaranteed work and other changes to insurer direct repair programs (DRPs) could give repairers the ability and incentive to offer such things as 24/7 customer service and new performance guarantees, a recent study of the industry concludes. “Look at the investments and the innovation we in collision repair have brought to the relationship so far— and we don’t have one guarantee that a car is going to show up tomorrow,” industry consultant Beryl Carlew of Carlew & Associates said at the Collision Industry Conference (CIC) in Las Vegas in early November, where he presented the results of his firm’s research. “Do you think for a minute if we had the work to the door, we had metrics that we knew we could exceed, and we were rewarded for that
performance, that we wouldn’t entertain… the dreaded 7-days-a-week, might even entertain 24-hours-a-day as an industry opportunity.” Carlew’s presentation at CIC was based on a nationwide gathering of input from shop owners around the country. More than 380 collision repair business owners participated in meetings held in 20 North American markets to gather ideas and opinions on improving DRPs. Carlew discussed a list of more than two dozen problems shop owners currently see with DRPs. That list included concerns that DRP guidelines and the “weight” given to various key performance indicators (KPIs) change frequently with little or inadequate written notice to shops; and that discounts and other concessions are required without any guarantee of how much work the DRP will bring to the shop. The 130-page report that resulted from the meetings also offers a series of recommendations to improve DRPs. It suggests, for example, that: ■ all guidelines and the weighting of various KPIs for a particular DRP be posted to a secure website, along with established timelines for when notices
of changes will be posted; ■ shops be allowed to use a “blueprinting” rather than “estimating” system, dismantling the vehicle sufficiently to determine all parts and repairs needed prior to beginning repairs; and, ■ if a particular part, regardless of type, is not available within 24 hours, the shop be allowed to instead use a part that meets quality standards and is more quickly available.
With such changes, Carlew said, shops indicated a willingness to accept more detailed performance contracts, such as contacting consumers by Noon of the day following receipt of an assignment, seven days a week. But offering additional services or discounts, he said, should be based on rewards for performance and most importantly, an assurance of work. “How can a carrier walk into a shop and say we’re looking for DRP partners who can handle 100 cars a month, and at the same time say, ‘We cannot guarantee you volume,’” Carlew said. – As reported in Parts & People. 5 years ago in the collision repair industry (November 2011)
In response to ongoing efforts fostered over the past five years by the Collision Industry Conference (CIC) to develop a set of formalized repair standards, four national repairer groups have jointly issued a statement recognizing published automaker repair procedures as the “official industry-recognized repair standards for collision repair.” The Alliance of Automotive Service Providers (AASP), the Assured Performance Network, the Automotive Service Association (ASA), and the Society of Collision Repair Specialists (SCRS), last week at CIC read a statement that said where OEM procedures exist, they should “be the basis for the establishment of training, testing, repair practices and documentations.” The groups said they recognize OEM repair procedures are “incomplete in comparison to the full scope of vehicles and repair operations which exist in the marketplace,” but they serve as a baseline from which further development of procedures are necessary. Although a CIC Repair Standards Advisory Committee has explored the idea of a new industry organization being formed to finalize and implement industry standards, the four groups isSee Retro News, Page 50
www.autobodynews.com | NOVEMBER 2016 AUTOBODY NEWS 49
Carfax: Number of Flood-damaged Cars on Roads is up 30% from 2013 New research from Carfax indicates a sizable number of previously flooded vehicles are on the road or up for sale in the U.S. More than 271,000 cars reported as flood damaged by a state’s department of motor vehicles, insurance companies or other entities are back in use. That’s a nearly 30-percent increase from 2013, Carfax said. Recent flooding in Louisiana is fresh in people’s minds, and in fact that state comes in at No. 10 among the top states with waterlogged vehicles. Here are the states with the most: ▪ Texas: 43,000 ▪ Pennsylvania: 20,000 ▪ Florida: 17,000 ▪ Kentucky: 14,000 ▪ Illinois: 13,000 ▪ South Carolina: 11,000 ▪ Michigan: 11,000 ▪ New Jersey: 10,000 ▪ New York: 9,000 ▪ Louisiana: 9,000 “Flooded cars are a buyer’s worst nightmare,” said Larry Gamache, communications director at Carfax. “They’re ticking time bombs because when you least expect it, the electrical,
Continued from Page 46
The Simple Rule
system that is popular in the U.K. with shops and insurers alike called Vehicle Damage Appraisal or “V.D.A.” VDA is a standardized method that performs temporary minor disassembly on drivable vehicles through scheduled damage appraisal appointments with their customers. The simple rule: “Pre-order parts, but only if you have properly analyzed the damage first!” Lately, I have been working with a handful of shops around the U.S. that have also been applying this way of thinking. One shop I work with uses what they call “Enhanced Estimating” that schedules forty-five-minute estimating appointments for their customers. Their program has proven to be very effective and has had a serious positive impact on their cycle time and customer satisfaction as well as their return parts percentage. Conclusion Perhaps you will share my philosophy to only pre-order parts when you know the true extent of the damage. And do
mechanical or safety systems on these cars will fail, often without warning. Consumers everywhere need to be vigilant about checking a vehicle’s history for flood damage and getting a pre-purchase inspection to avoid buying cars that rot from the inside out.” Powerful storms and epic flooding in major areas are creating more opportunities for professional con men to clean up and resell flooded
was branded as a flood vehicle. By using Carfax, we were able to save both our bank and our customer a lot of money.” Carfax says that these are telltale signs a vehicle has been in a flood: ▪ A musty odor in the interior, which can sometimes be covered with a strong air-freshener ▪ Upholstery or carpeting which is loose, new, stained or doesn’t match ▪ Damp carpets
vehicles. Research has shown it takes only a few hours to restore them cosmetically, at little cost to the criminals. However, buying one of these dangerous cars costs unsuspecting consumers thousands. “A customer was requesting a loan on a used car, so we ran a Carfax Report as part of our underwriting procedures,” said Willie Macko, president of PriorityOne Bank in Mississippi. “We discovered that the car had been a total loss and the title
yourself another favor: insist on placing one order and receiving all the parts on a single invoice whenever possible (unless ordering from multiple vendors). Don’t let the dealer’s parts guy send out partial orders just so he or she can make their commission. If anything, they will be more motivated when they know they can’t ship until the order is complete! Something else to consider is that top shops commonly require complete parts orders to be delivered the day prior to the scheduled arrival of the vehicle. Whether you consider scheduling “Enhanced Estimates” or choose to blueprint all the vehicles prior to ordering any parts, you can be guaranteed more success than you are likely experiencing using traditional thinking. Or perhaps you can choose an alternative hybrid system that triages small repairs into an Enhanced Estimating appointment and directs all medium to large jobs into a blueprinting program after they are dropped off for repairs. This approach would be my recommendation for most of you. For assistance creating a customized program at your shop, please contact us today at david.luehr@elite bodyshopsolutions.com or visit www .elitebodyshopsolutions.com
50 NOVEMBER 2016 AUTOBODY NEWS | www.autobodynews.com
▪ Rust around doors, under the dashboard, on the pedals or inside the hood and trunk latches
▪ Mud or silt in the glove compartment or under the seats ▪ Brittle wires under the dashboard
▪ Fog or moisture beads in the interior lights, exterior lights or instrument panel Consumers may check VINs for flood damage free of charge at http://flood .carfax.com/.
Continued from Page 49
Retro News
suing the statement last week instead called on I CAR to create an industry council “to identify gaps in existing OEM procedures and develop processes to close gaps, vet industry proposed alternatives, modifications and additions to OEM procedures.” – As reported in CRASH Network (www.CrashNetwork.com), November 7, 2011. I-CAR did indeed take on the task of working with the automakers to close the gap in the availability and industry accessibility to OEM collision repair procedures. ICAR developed the “Repairability Technical Support Portal” (https://rts.icar.com/),which includes the “Ask ICAR” feature that allows users to email or call I-CAR with a technical question.
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CCC Introduces DRIVE™ Platform, Secure Share™ Network CCC Information Services Inc. has launched a new suite of telematics-enabled claims offerings that the company claims will improve and speed accident notification along with the steps and decisions undertaken by insurers after their policyholder has been in an accident. Powered by the CCC DRIVE™ telematics platform, these offerings include electronic crash detection, automatically initiated first notice of loss (FNOL), and predictive solutions that will inform real-time decisions including vehicle repair versus replace, preferred method of inspection (based on carrier guidelines), and injury triage. According to the company, the CCC DRIVE platform is designed to collect driving data from any source and integrate important pre-impact and impact data with CCC’s solutions to help users make decisions earlier within the claims process. “Our CCC DRIVE platform is designed to address the broad spectrum of telematics use cases, including marketing, underwriting, and claims, giving insurers a single, flexible solution to address their telematics pursuits,” said Greg Bannon, VP, Product Management, CCC. “When it comes to applying telematics to claims, the only
way to deliver value is to make the data actionable for insurers. Current users of CCC’s solutions will see tremendous benefits because of our network and data capabilities, which put driving
data into context to enable real decisions, in real time. This creates tangible benefits in the areas of efficiency gains, cycle time improvements, and increased policyholder satisfaction without disrupting the existing workflow of insurers.” The CCC DRIVE telematics platform is capable of collecting driving data from any source – mobile, embedded or connected car. Upon impact, detailed information about the pre-accident driving behavior and the crash itself are instantly run through CCC’s predictive analytics engine, which is
Mercury Names the Safest and Most Affordable Cars to Insure for Teens
Kia Sportage is the most affordable vehicle with a NHTSA 5-Star Safety Rating to insure for teen drivers, accor- ding to Mercury Insurance’s newest Top 10 list.
The National Highway Traffic Safety Administration’s (NHTSA) 5Star Safety Ratings Program provides consumers with information about the crash protection and rollover safety of new vehicles, with more stars equaling safer cars. Mercury Insurance recently analyzed vehicles that received five stars to determine which would be the most affordable to insure for teen drivers. The company examined 2016 model year vehicles for which ratings are available to compile the list, which was created based on the Mer-
cury price for full coverage—liability, comprehensive and collision—in California. Here is the complete Top 10 list for 2016 vehicles with a 5-Star Safety Rating, beginning with the cheapest to insure: Kia Sportage Kia Soul Hyundai Tucson Honda CR-V LX Honda Fit Hyundai Elantra GT VW Golf Sportwagen SW Subaru Outback Dodge Dart Honda HR-V EX
“Teenagers are statistically the most likely to be involved in a collision, so it’s important for them to be in a vehicle that offers them the most protection if that happens,” said Jim Reeves, group manager, R&D for Mercury Insurance. “Mercury’s hope for members of our community is that they remain safe, and we’re proud to be able to provide them with affordable insurance options to help them do that.”
52 NOVEMBER 2016 AUTOBODY NEWS | www.autobodynews.com
powered by the insights gleaned from millions of claims transactions, and more than 20 years of injury data, including thousands of human crash tests. An alert can automatically be sent from the vehicle to the insurance carrier’s FNOL representative, presenting the facts of the accident in map and dashboard formats, indicating the vehicle’s location, direction of travel prior to the accident, speed, braking and steering movements, and impact severity. In addition to crash notification, FNOL representatives can receive insights, derived from CCC’s predictive solutions, helping them determine whether the vehicle is likely to be repairable or totaled, the best appraisal option (using the carriers’ guidelines), if an injury is likely, and if emergency and/or tow services should be dispatched. The company has also announced the launch of its CCC Secure Share™ Network (CCC Secure Share), a network using a cloud-based application program interface (API) that will allow collision repairers to control the distribution of their data and secure the data shared with third-party application providers. CCC Secure Share will utilize the Business Message Suite (BMS),
the current data standard published by the Collision Industry Electronic Commerce Association (CIECA). In addition to further securing collision repairer data, CCC Secure Share enables application providers to deliver their services to CCC’s network of collision repairers through a single connection, eliminating the need to create individual connections with hundreds or thousands of collision repairers. CCC Secure Share will be provided to collision repairers as part of the CCC ONE® Total Repair Platform at no additional charge. CCC Secure Share will be available for collision repairers in 2017. CCC will continue to support the export of Estimate Management Standard (EMS) files for a period of time to allow companies to prepare for the change. For more information, visit www .cccis.com.
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Mitchell Partners with Tractable to Bring Artificial Intelligence to Insurance Claims for the First Time Mitchell International, a provider of technology, connectivity and information solutions to the Property & Casualty (P&C) insurance industry,
has announced an exclusive partnership in North America with Tractable, a UK-based technology firm specializing in the development of artificial intelligence solutions capable of automating manual tasks. According to the company, Mitchell will integrate Tractable’s solutions within its WorkCenter™ Automobile Physical Damage platform, enabling customers to make better decisions and accelerating the vehicle repair and claims management processes.
“Our industry is ready to adopt intelligent solutions leveraging machine learning technologies,” said Debbie Day, executive vice president of Mitchell International. “There are many activities we believe can be improved using these capabilities and we are thrilled to partner with Tractable to bring innovative solutions forward.” “Our technology is going to change the way that auto claims are managed in the future,” said Alex Dalyac, CEO of Tractable. “We have trained computers to see exactly what humans see so that vehicle damage can be assessed within seconds and consistent decisions made. Artificial intelligence will make the process quicker, more cost effective and more efficient. We are excited to partner with Mitchell, as we believe their long history and market-leading expertise combined with their modern cloud-based solutions will enable us to create unique opportunities that deliver the benefits of artificial intelligence to the Insurance Claims sector.” For more information, visit www.mitchell.com.
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Auto Care Association Identifies Alibaba as Notorious Market for Counterfeits
During the week of October 3rd, the Auto Care Association submitted comments urging the Office of the U.S. Trade Representative (USTR) to relist Alibaba and its family of e-commerce platforms, including Taobao and Aliexpress, as notorious markets that facilitate the sale of counterfeit auto parts. The letter was submitted as part of the USTR’s request for comments in identifying Internet and physical markets based outside of the United States that engage in copyright piracy and trademark counterfeiting for its annual Special 301 Out-of-Cycle Review of Notorious Markets Report. “Although Alibaba had been removed from the Notorious Markets list in recognition of efforts to address counterfeit activities, we remain very concerned with the drastic amount of counterfeit automotive products sold on these sites daily and the difficulty our members are experiencing in obtaining enforcement,” said Bill Hanvey, president and CEO, Auto Care Association. The Auto Care Association submitted comments in response to member complaints regarding the
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proliferation of online supply chains based in China that allow the online distribution of counterfeit parts. These online B2B and e-commerce sites advertise branded counterfeit products for sale at rates that significantly undercut the margins of members’ original products. Counterfeit auto parts represent a significant danger to the safety and welfare of the general public, and also pose a significant economic threat to the auto care industry. In its letter, the Auto Care Association outlined general principles that Alibaba should adopt to address the proliferation of counterfeit products on its various platforms. “The Auto Care Association commends the USTR’s efforts to combat piracy and counterfeiting. The association looks forward to continuing this dialogue with the USTR and representatives from the identified websites to protect and enforce intellectual property rights,” a statement from the Association read. For more information, visit www .autocare.org.
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Collision Repair Education Foundation Receives Highest Rating From Charity Navigator
For the fourth consecutive year, the Collision Repair Education Foundation has been awarded the highest rating for sound fiscal management and commitment to accountability and transparency by Charity Navigator, the country’s largest and most-utilized independent evaluator of charities. Charity Navigator has awarded the Collision Repair Education Foundation an “exceptional” ranking of four stars out of a possible four, demonstrating adherence to good governance and fiscal responsibility. “Since 2009, the collision industry has provided over $50 million in product and monetary donations to high school and college collision school programs, instructors, and students through the Education Foundation,” a statement from CREF read. “With the organization averaging 90 cents of every dollar donated being returned to this group, its supporters can be assured that their donations are being reinvested properly.” $110,000 Raised During CREF’s Annual Industry Fundraiser The annual CREF industry fundraiser, co-hosted by PPG Automotive Refinish, raised $110,000 through the support of attendees and sponsors. Sponsors and participants enjoyed a
day of golf at the Black & Gold Golf Course in Yorba Linda, CA, on August 10th, 2016 and the funds raised from this event will go toward supporting scholarships and grants for collision schools and students. “PPG is proud to support this event at such a high level, not only as it brings together industry profession-
“Through our incredible sponsors, attendees, and volunteers, we had another great golf fundraiser event that will significantly assist in the Education Foundation’s abilities to support high school and college collision school programs,” said CREF director of development Brandon Eckenrode. “A special thanks to PPG Automotive
als from around the country, but also for the fact that it assists the Foundation’s efforts to ensure that high school and college collision students are jobready when they graduate and enter the industry,” said Domenic Brusco, PPG Automotive Refinish senior manager, Industry Relations. “As the Education Foundation staff will be working towards another great event in 2017, I would encourage industry members to consider participating through a sponsorship, attendees, and/or donating items to the events raffle table and silent auction.”
Refinish for their continued co-sponsorship. We are already starting to plan for the 2017 event, and with it taking place in our hometown of Chicago, we believe it will be the best yet.”
CREF Wraps Up Career Fair Schedule With Atlanta and Columbus Events After a year of 14 successful high school and college collision career fairs around the country, CREF is hosting two remaining events this fall, taking place in Atlanta, GA on October 20th and Columbus, OH on No-
vember 16th. Both are anticipated to be successful, as Atlanta will host a record 25 participating companies and the Columbus event brings 400+ students. “These career fairs have been an incredible success in connecting soonto-be graduating collision students with industry employers, but they have also served as motivation for students who are just starting their technical education, as they can see and meet all the companies who are interested in their futures,” noted Eckenrode. “We are looking to take these events to another level by working together with local associations and groups in major geographic markets around the country in order to expand the number of these events and reach even more students in 2017. We invite all collision industry members to join us at these events and help address the need for highly trained young professionals to enter the industry.” To continue these successful events next year, the Collision Repair Education Foundation will be announcing the spring 2017 schedule of career fairs this fall, which will include events taking place in new cities/markets while also hosting events in major markets that took place this past spring.
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Lean Operations
The Art of Business
with David Luehr
I grew up in a family of artists. Not always the kind of people that come to mind when thinking of the dog-eatdog business world. As a young man, my own artistic expression found its way into the automotive repair business as an automotive painter. I loved painting cars, especially the custom stuff. It wasn’t long before my artistic nature sought the freedom of self-employment; after all, an artist like me does not want the constraints of having to work for someone else! Soon I found my artistic interests beginning to shift, like a portrait painter discovering impressionism for the first time. I had discovered entrepreneurship! I love being an entrepreneur. To me, it is one of the most amazing forms of self-expression. Creating a business from a mere idea or thought it a beautiful thing. It is also a huge responsibility, and not one that every artist can or should pursue. Some artists are better off working for someone else, and here is why... Car painters and body technicians may be artistically great at fixing cars, but not everyone is willing to put in the work to learn the skills that are required to run a collision repair business, especially in today’s world! Most of the collision repair businesses that exist in our country today were started by a technician, and far too many of them have never invested the time it takes to learn the art of building a business and are struggling because of it. Sadly, many business owners don’t know what they don’t know and therefore live each day in an ignorant fog of despair and chaos. Those that were lucky enough to survive and grow a collision business did so through pure determination, and many, many, hours of hard work. A solid business always requires hard work, but the solution to a truly sustainable business is working hard on the right things. We must be willing to work on the business as well as in it.
David Luehr is the owner of Elite Body Shop Solutions, LLC, a collision business consulting firm based in Nashville, Tennessee. He is a 30 year veteran of the collision repair industry. David is an expert in Body Shop Operations and specializes in Lean, and Theory of Constraints methods. Email him at dluehr@msn.com
Successful entrepreneurship means focusing your artistic abilities towards creating a better business, not just the product it produces. This is the “trap of the technician” and only a handful of collision repair businesses grow beyond mediocrity because of it. I know of dozens of instances where collision business owners manage to grow their single location and decide it is time to pursue the American dream even more, so they open up a second or third location before they realize their mistake. The skillset that allowed them to operate one location is very different than the skillset needed to run an MSO. To be successful at operating multiple locations, or even one really successful location, shop owners can no longer attend to the day to day crises management many have come to accept as their “normal” way of life. Shop owners need to learn the skills of preventing crises before they occur, and a great way to do this is through spending more time working on building a sustainable business model like a franchise. I am suggesting that you start to build your business like you were going to build a franchise. You don’t have to actually franchise your business, but think of it as a turn-key business model that can eventually exist without you as the business owner working IN it all the time. What does this sustainable model look like in your mind? Use your artistic mind and create! Does it have consistent and repeatable standard operating procedures? Does everyone know what their job is and how to perform every task? Do your systems consistently create an amazing customer experience, even if you are not there personally every moment? This is your ball of clay my artistic friends, and you can do anything with it that you want if you are willing to work ON your business a little every day. Fortunately, many of the skills re-
56 NOVEMBER 2016 AUTOBODY NEWS | www.autobodynews.com
quired to be successful in today’s collision repair world are available to all of us. Organizations such as the Automotive Management Institute (AMi) have many resources for shop leadership and their teams to acquire the skills needed to take their businesses to the next level of performance excellence. (See www.amionline.org). Elite Body Shop Solutions, LLC assists shops in creating a sustainable business model through education, coaching, and mentoring solutions. Elite uses a 5-Pillar approach to help clients work ON their businesses using a holistic approach designed to create a balanced foundation that will allow a business to grow to any size. (See www.elitebodyshopsolutions.com). The problem with artists focusing on only one aspect or “pillar” is that the business will become unstable and unsustainable. For example, if you are placing all your focus on making money (Financial Health) and you
don’t place enough emphasis on the Cultural Health of your organization, eventually, the whole operation will become unstable and you will jeopardize your ability to make money for the long haul. Another example is that if you don’t pay enough attention to environmental or human resource laws, (Risk) you can jeopardize everything you have worked for! Each day, smart operators will place small amounts of time on each of the 5 Pillars in order to enjoy sustainable growth and prosperity. The trick is to be disciplined enough and to have learned some basic time management skills in order to make better use of your time each day. Many shop owners and leaders tell me they don’t have the time to work on all aspects of their businesses. To this, I call BS. These same people say they don’t have time because they have created a life of jumping from one crisis to the See The Art of Business, Page 61
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Automotive Recyclers Admonishes General Motors for Position on Recycled Parts
The Automotive Recyclers Association is admonishing General Motors and its Chairman and Chief Executive Officer Mary Barra for what it says is GM’s new anti-environmental position on the utilization of recycled GM parts. “GM’s revised position statement on recycled and salvage original equipment manufacturers’ (OEM) parts, found on the corporation’s updated “Genuine GM Parts” website, significantly backtracks on the company’s economic stewardship commitments to conserve resources and protect the global environment, and contradicts its publicly stated Environmental Principles by now attacking the use of environmentally friendly recycled GM parts. “Despite touting a commitment to the basic tenants of a circular economy—recovering all products, components and materials at their highest utility and value—GM now fails to embrace fundamental reutilization of their very own parts once they have left a dealership. It is reprehensible for GM’s corporate position to be one that does not support the reuse of recycled GM parts in vehicle repair while claiming a leadership role in the circular economy movement. “The utilization of recycled OEM automotive parts has been widely accepted for decades and has a long track record of successful and safe use in vehicle service and repairs. In fact, GM acknowledged in their company’s 2010 position statement on the issue that
“Recycled original equipment parts may also be used for repair... A recycled original equipment part, may be an acceptable choice to maintain your vehicle’s originally designed appearance and safety performance.” “GM’s revised position statement is not only a reversal, but is potentially misleading consumers with insinuations that recycled GM parts are “non-GM” parts. In the revised position statement GM includes the following paragraph: “Genuine GM Parts are designed and constructed using metals with specific properties, thicknesses and stamping features built to perform in a consistent and predictable way during a collision event. The use of non-OEM structural components may compromise the overall crashworthiness and occupant safety of General Motors vehicles in a subsequent collision. In summary, General Motors does not support the use of salvage or recycled parts in a vehicle’s repair. GM recommends the use of Genuine GM Parts in repairs to help ensure the vehicle is returned to pre-collision condition.” “Recycled parts are not the same as non-OEM parts. GM parts do not cease to be OEM parts when moved from one car to another. References to the “use of non-OEM structural components” immediately before GM states that it does not support the use of salvage or recycled parts in the company’s position statement is deceptive and ARA believes
it is stated in this way to confuse consumers into thinking that recycled GM parts are not GM’s components. “As their market shares shrink from legitimate competition, auto manufacturers have responded with unfounded attacks and misleading information about recycled OEM parts and other part replacement options. ARA believes that the Federal Trade Commission should take a serious look into the actions of GM and other auto manufacturers that continue to engage in activities that malign the recycling of their own products without a shred of research to substantiate their claims. “GM and other manufacturers continue to fail to cite any specific data or research to back up their claims that recycled parts are inferior to new parts. “We believe the campaign by GM continues to be part of a coordinated and concerted effort among auto manufacturers to limit competition in the automotive parts replacement market by engaging in an ongoing campaign to undermine the recycled OEM part market,” says ARA CEO Michael E. Wilson. “Regrettably, GM’s revised “Genuine GM Parts” campaign seems to be
a rather transparent attempt to hoodwink consumers to boost sales of expensive “new” parts and malign entirely appropriate, environmentally beneficial recycled GM replacement parts,” says Wilson. “Recycled OEM parts are genuine OEM parts built to the same quality, durability, fit and finish specifications as new replacement parts. These recycled OEM parts went through the same rigid GM testing to ensure they are integrable and functional with all specified vehicle systems. These recycled parts are fully functional and in most cases match or exceed the condition of the components before the repair or service.” explains Wilson. It is disappointing that GM has now taken a corporate position to disavow basic reuse principles that offer undisputed environmental benefits. ARA believes that GM should stand by the durability and quality of the parts it produces and calls on GM leadership to cease their current anti-environmental and misinformation activities related to maligning recycled GM parts—the very parts that they manufactured. No response yet from GM.
A New Tool For Estimating Reaps $6.3M for Estify
Estify, a company that’s developed a new tool for auto repair businesses to better gauge the cost of its services for insurance claims, has raised $6.3 million in new financing. It’s a way for car repair businesses to get payouts from insurers faster and better service customers. And, at least until autonomous vehicles are a reality, it’s a service that’s becoming increasingly important. Mainly because U.S. drivers are really awful. There have been 10,710 accidents in the U.S. already this year, according to a website called AccidentsinUS.com. That means we might be on track to beat last year’s record of 12,293 accidents, according to data collected by the site. Los Angelesbased Estify, basically raised the money to gin up its executive suite. And now boasts a deck stacked with some pretty hardcore LA-based executive talent. The company has named Rochelle Thielen (a longtime executive with Mitchell International who has direct experience in dealing with
the network of repair shops and insurance providers) as its new chief executive. Estify also added Randy Adams, the former founder of Navitel, Newsnet, AutionDrop, Searchme, Funny or Die, Celebrity Apps, and WTF Studios as chief technology officer. According to a release from the company, Adams boasts having raised $250 million in capital and returning over $28 billion to investors. The company’s new round was led by Romulus Capital with participation from ff Venture Capital. “While we’re thinking about making cars autonomous, it’s important to remember that nearly 100 Americans die every day in automobile accidents. While the process of repairing vehicles continues to increase in complexity, the technology available to repairers has not kept up,” says Romulus partner Neil Chheda. “The lack of data-driven accuracy in this industry costs lives and billions of dollars. This problem must be solved, and Estify’s team and technology is uniquely positioned to solve it.”
58 NOVEMBER 2016 AUTOBODY NEWS | www.autobodynews.com
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www.autobodynews.com | NOVEMBER 2016 AUTOBODY NEWS 59
Shop Showcase
Ed Attanasio is an automotive journalist based in San Francisco, California. He can be reached at era39@aol.com.
Northern California Body Shop Paints Huge Coffee Cup for Major Artist with Ed Attanasio
Body shops are adept at painting cars, but they often get asked to paint a wide range of other things such as golf carts, kid’s toys, old appliances, statues and in this case, an enormous coffee cup
looking for a body shop that was willing to take on a rather large project for an upcoming art show at the CCA Wattis Institute for Contemporary Arts in San Francisco last August. When one shop opted out, Regal Collision in Vallejo, CA, stepped up and completed the project on time and with an artistic flair. After visiting one shop that his curators had found for him, Fried decided to start looking around for another shop via Yelp. “The first shop we went to didn’t seem to be very excited when we deArtist Howard Fried (far left in the blue shirt) was a scribed the project to them,” hands-on customer and oversaw the delivery of his he said. “I wasn’t getting a sculpture from start to finish real positive vibe from these that was displayed at an art gallery in folks, so we bailed. So I started San Francisco, CA by a major nationsearching for a shop near to my studio ally-renowned artist. in Vallejo. I used Yelp and found It all began when Howard Fried, Regal Collision. Their reviews were an artist based in Vallejo, CA, was great, and I got the sense that they
might be the right shop for our unusual request.” Kirk Kapfenstein, the general manager at Regal Collision, has painted a lot of things in his career as a painter, but never a 1,000-lb. coffee mug, that’s for sure. “Howard called
us out of the blue and we were definitely interested in talking to him about it,” Kapfenstein said. “We love out of the ordinary, challenging jobs, so we looked at it and said ‘Heck yes.’ The gallery was pretty much up against their deadline so if we didn’t agree on the spot, they probably would have been in real trouble.” Howard Fried, 70, is a highly-regarded conceptual artist who became known in the 1970s for his pioneering work in video art, performance art and installation art. He founded the video and performance department (currently the New Genres Department) at the San Francisco Art Institute and is associated with the first generation of In excess of eight feet tall, painting Howard Fried’s conceptual artists in the San enormous coffee cup (Derelict #5) was easier to paint Francisco Bay Area, includthan move, according to the crew at Regal Collision in Vallejo, CA ing other trendsetters such as
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ing, but the cost was prohibitive. So we were basically in the hands of Jim, Shellie and Kirk at Regal. We knew that we would be juggling 100 things right up until the show and getting this cup painted and delivered to the gallery was at the top of the list.” In addition to priming and painting the sculpture, it also had a few cracks to repair from past shows, due to the fact that the cup (called Derelict #5) was the reincarnation of five previous art pieces. “We worked out the changes and Regal had to repair all of the cracks that had developed over the years. Before this show, it was on display at the University of Berkeley back in 1983. Regal also had to repaint it with a waterborne paint, because the paint we used in ‘83 was oilbased and now it’s illegal.” Jim Boyle, the owner at Regal Collision, isn’t going On its big opening night at the CCA Wattis Institute for to disclose how much he Contemporary Arts in San Francisco, Derelict #5 wows charged for the job, but he the critics and art lovers alike will at least admit he made a people at Regal Collision assured me nice profit. “Working on this project not to worry,” Fried said. “At one has given us a better understanding of point, we considered the idea of re- how an artist develops his work and fabricating the piece using 3-D print- how much they care about their creTerry Fox, Lynn Hershman, David Ireland, Paul Kos and Tom Marioni. His early works dealing with issues like decision-making, conflict situations, control, predictability, learning, and cognitive processes gave him international fame. With a tight deadline of two weeks and a show that was well-publicized and anticipating a large turnout for opening night, Fried was concerned but not ready to panic—yet. “I admit, I was a little nervous, but the
ations. Howard was intense and was here in the shop almost every day, sometimes before I showed up in the morning. Working with him was a lot different from painting a customer’s vehicle because he had a vision and passionately wanted it achieved.” In the end, the shop made money and they also received the most unique 5-star review on Yelp that they’ll ever get from the CCA Wattis Institute for Contemporary Arts in San Francisco. “Regal Collision went above and beyond for us. We had an artist who needed a sculpture repaired with the same methods that are used in auto body repair. The sculpture is very large and extremely heavy. When we asked Regal Collision if they were interested in a very different than normal challenge, they jumped at the chance, despite being a consistently busy shop. They spent weeks working with our artist and treated the sculpture with unbelievable care. The end result is absolutely perfect. We feel so lucky to have found them. They are one in a million!”
Continued from Page 56
The Art of Business
next because they DON’T work ON the business. They are sadly caught in a spiral of doom of their own making. Right now is an excellent time to be in the collision repair business, but only for those with the right mindset, and only for those artists that are willing to learn new skills. I am a champion of small business and the hardworking people in our industry which makes me hate to say this, but, this time in our industry’s history will be very, very, tough for many business owners that are reluctant to change. The good news is that those of you reading this article all the way to the end have demonstrated that you may have what it takes to plow through the challenges and take full advantage of this time of great opportunity to create the business of your dreams. Go for it! For assistance creating a sustainable business model, contact Dave at david.luehr@elitebodyshopsolutions.com
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NHTSA Investigates F-150 Models for Brake Failure
NHTSA opened an investigation into certain 2015 and 2016 Ford F150 trucks equipped with the automaker’s 3.5-liter, turbocharged V6 engine. The feds received 25 complaints of sudden brake failure – as in, the brake pedal goes to the floor and, on 2015 models only, warning lamps may illuminate. Some of these complaints say the dealer blamed the issue on a brake master cylinder failure. There’s some precedence here. Earlier this year, Ford recalled 2013 and 2014 F-150s, also equipped with 3.5-liter V6 engines, for a similar issue. The automaker claimed the problem came from a brake master cylinder reservoir leaking into the brake booster. That caused both a loss of brake pressure and a “low brake fluid” light to illuminate. NHTSA will investigate the issue and, if need be, compel Ford to issue yet another recall. Investigations are the first step after receiving a number of complaints, which is why it’s important to submit issues like these to regulators. Ford may issue a voluntary recall before the feds make a decision, as well.
Axalta Launches New Resins, Talks Diversity, Awards “Best in Blue”
Axalta Coating Systems has announced the introduction of the Voltahyd® 2250 series T, M and E electrical insulation coatings, the company’s first waterborne impregnating resins available in China. This new series of Energy Solutions products, whose waterborne formulation is designed to be more environmentally responsible than conventional products, is suited to a number of specialized applications. According to the company, aside from significantly improved environmental, health and safety properties compared to solvent based products, the Voltahyd products offer superior bonding strength as well as good thermal and mechanical properties. “This new Voltahyd waterborne series in our portfolio enables us to bring superior solutions to the electronic industry, giving our customers a greater edge on their competition,” said Bryan Gu, Product Manager of Axalta’s Energy Solutions business in China. Recently, the company played a significant role at the Labor and Workforce Optimization for the Chemical, Petrochemical, and Refining Industries conference. Virginia Gronley, Axalta Oper-
ations Learning and Development Advisor at the company’s Mount Clemens, Michigan research and manufacturing facility, served as both a featured speaker and a panelist at the two-day event in Houston, Texas. During her presentation, titled “Understanding Demographic Shifts and Incorporating Diversity into Workforce Planning,” Gronley spoke about Axalta’s continued focus on diversity, equality, and inclusion. “We know our employees want to feel empowered, respected and valued for the work that they do,” Gronley said. “From a workforce development perspective, we focus on talent retention just as much as we focus on attracting new talent. In addition to competitive compensation and benefits, we offer mentorship opportunities, committees that focus on engagement, and varied internal communication tools to help foster a sense of community.” Elsewhere, Axalta turned the Hagley Car Show blue to celebrate its North American Automotive Color of the Year 2016: Brilliant Blue. Axalta’s booth featured a pedal car and mini hoods painted in Brilliant Blue, giveaways that featured the chromatic color, and a five foot trophy for
the winner of Axalta’s “Best in Blue” award. The car show, held in Wilmington, Delaware, hosted more than 500 automobiles including antiques, restored cars, and trucks. According to Axalta, many displayed an impressive use of the color blue, but the standout vehicle and “Best in Blue” winner was Dennis Whitaker’s 1965 Superformance Shelby Cobra replica from Newtown Square, Pennsylvania. Whitaker was awarded with a trophy, a “Best in Blue” grille badge, and a replica No. 88 Axalta Chevrolet SS diecast car autographed by Dale Earnhardt Jr. The vehicle was also awarded pole position in the car show parade. “It was a pleasant surprise to win Axalta’s Best in Blue award at the Hagley Car Show,” said Whitaker. “I am proud of my Superformance Shelby Cobra replica and it is an honor to be recognized by a leading paint supplier.” For more information, visit www .axaltacs.com.
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WIN Kicks Off 2017 “All In For WIN” Membership Drive
On October 1, The Women’s Industry Network (WIN®) announced the kickoff of their 2017 #ALLIN4WIN Membership Drive. According to the organization, everyone who joins or
rejoins WIN before December 31st will be entered into a Grand Prize drawing for a Free 2017 WIN Education Conference Registration Fee. WIN membership is open to all women and men in every segment of the North American collision repair industry. WIN has kept its annual membership pricing unchanged for the past 8 years. As the organization is growing and expanding its offerings, WIN will be increasing the cost of an annual membership to
Free
$95 as of 1/2/2017. However, according to the organization, anyone who joins during the membership drive will pay the current $75 membership fee, save $20, and receive the remainder of 2016 included with their 2017 membership. “Our 2017 #ALLIN4WIN Membership Drive is about spreading the word to the thousands of women in our industry,” said Michelle Sullivan, chair of WIN’s membership committee. “The membership drive goes until December 31st. As WIN enters its second decade, I am thrilled to see the membership growth and program expansion that we have accomplished. I want to encourage women and men to increase their professional network and become a WIN member. WIN’s mission is to engage women in our industry through education, networking and sharing of resources.” For more information, visit www.womensindustrynetwork.com
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www.autobodynews.com | NOVEMBER 2016 AUTOBODY NEWS 63
SCRS Announces Panelists for OEM Collision Repair Technology Summit Session on Scanning The Society of Collision Repair Specialists (SCRS) has announced additional details on the morning session (9:30–11:30am) of the OEM Collision Repair Technology Summit (Summit). The Summit, to be held Thursday, November 3rd during the 2016 SEMA Show in Las Vegas, NV, will continue to focus on emerging trends in vehicle construction and technology and how those aspects influence vehicle repairability. According to the SCRS, the program is designed to put SEMA Show attendees in a room with innovators in automotive structural design and technology, providing one of the most unique networking and learning opportunities available to the collision repair industry. Attendees can register now to attend any of the three different segments offered throughout the day, which can be selected individually or collectively as part of the RDE Full Series Pass. Registration options can be found at www.scrs.com/rde. The first session (OEM1 | Restoring Vehicle Functionality through Electronic Technology and Diagnostics) will discuss how vehicle technology and function advancements meet consumer expectations for safety, convenience and luxury options, and the role of di-
agnosing accident and repair related failures in the systems. Restoring the functions, calibrating sensors and documenting the restoration of the technological elements in the vehicle become a pivotal part of the repair process.
Moderator John Ellis of Ellis & Associates will lead a two part panel to explore the responsibilities expected of the collision repair providers and solutions available for the industry to fulfill those tasks. This session will feature two distinguished panels. The first will be comprised of automakers with documented positions outlining the necessity to perform preand post-repair scans as part of the repair process. The conversation will
ARA Applauds Introduction of New OEM Parts Indemnification Legislation
In September, Representative Adam Kinzinger (R-IL) introduced legislation in the U.S. House of Representatives that would require automotive manufacturers to provide OEM parts data to professional automotive recyclers and other vehicle owners. The Automotive Recyclers Association (ARA) commends the initiative, which the organization feels will “help protect consumers, support small businesses, and improve vehicle safety,” according to ARA CEO Michael Wilson. The newly proposed legislation, HR5967, expands upon the new federal requirement included in the 2015 Highway Bill, which requires manufacturers to provide parts data for recall automotive parts. In addition to requiring automotive manufacturers to provide consumers with all part names, part numbers and build sheet data specific to individual VINs, HR5967 would dictate that automotive manufacturers provide this information in a standardized format via web access
which is electronically searchable with batch access to the information. Congress has already shown support for requiring automotive manufacturers to provide automotive recyclers with parts data for all parts through the version of the Highway Bill introduced by Rep. Kinzinger, which has passed the House of Representatives. In Europe, automotive manufacturers are legally obligated to provide this information to insurance estimating companies and automotive service and repair facilities in the U.S. “Having the parts data on all vehicle parts allows professional automotive recyclers to more precisely match the needs of a consumer with the VIN specific vehicle,” Wilson pointed out. “Every consumer deserves access to a competitive replacement parts marketplace. We believe there is strong bipartisan support in Congress for protecting consumers’ service and repair rights that help ensure a level playing field for a fair and open marketplace for consumers.”
64 NOVEMBER 2016 AUTOBODY NEWS | www.autobodynews.com
cover the technological developments that are precipitating the need for a more systematic approach to identifying, documenting and correcting Diagnostic Trouble Codes. The panel will include: ▪ FCA | John Hughes, Collision Repair Responsible ▪ Nissan North America | Justin Miller, Planner, Certified Collision ▪ American Honda Motor Co. | Chris Tobie, Collision Business Specialist ▪ Toyota Motor Sales, USA | Eric Mendoza, Collision Repair & Refinish Training Assistant Manager The second panel will feature diagnostic equipment and service providers that have developed technological solutions for the industry. The conversation will identify different mechanisms available to the collision repair community and address the unique challenges and advantages associated with each. Repairers in attendance will leave with a better understanding of options available to their business. The panel will include: ▪ AirPro Diagnostics, LLC | Chuck Olsen, Executive Director of Operations ▪ Robert Bosch LLC | Bob Pattengale, Training Manager ▪ Collision Diagnostic Services |
Doug Kelly, CEO ▪ Snap-On Diagnostics | Jason Gabrenas, National Diagnostics Trainer ▪ I-CAR | Jason Bartanen, Director - Industry Technical Relations According to SCRS, this is a “can’t miss” session. “The future of the collision repair industry is highly skilled professionals working on highly sophisticated automobiles that require the industry to embrace the necessary investments in training and equipment; but it also relies on informed business owners who understand how to define for themselves what a sustainable and successful business model to support that investment looks like,” a statement from the SCRS read. Attendees are encouraged to register early, as space will be limited for each of these sessions. The 2016 OEM Collision Repair Technology Summit is made possible with support from Capital One® Spark Business®; PPG Automotive Refinish; Audatex; AkzoNobel; BASF; CCC Information Services Inc; Reliable Automotive Equipment; and Toyota Motor Sales, USA. For more information, visit www .scrs.com.
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www.autobodynews.com | NOVEMBER 2016 AUTOBODY NEWS 65
ASA Hosts Largest Regional Education Program of 2016 during AAPEX
The Automotive Service Association (ASA) has announced a strategic partnership with the Automotive Aftermarket Products Expo (AAPEX), which is co-owned by Auto Care Association and Automotive Aftermarket Suppliers Association (AASA), a division of the Motor & Equipment Manufacturers Association (MEMA), to promote and support ASA’s 2016 regional training initiative for automotive service facility owners and repair professionals. ASA’s largest regional education program of 2016 will take place during AAPEX in Las Vegas, NV at the Venetian from Monday, October 31 - Tuesday, November 1. “The partnership and ongoing collaboration among the associations is a defining moment for the industry,” said Dan Risley, ASA president and executive director. “Working together and leveraging each other’s strengths will benefit service repairers, suppliers and consumers. We are committed to continue exploring ways to deliver value to our members and helping the industry.” Shop owners and managers attending the two-day training sessions will receive credit from the
Automotive Management Institute (AMi) toward earning their Automotive Accredited Manager (AAM) designation. All sessions during this two-day management training are AMi-approved for credit. The cost is
$150 total for the two days, which includes free admission to AAPEX / SEMA. According to the ASA, the program will feature some of the top speakers in the industry, including: • Bogi Lateiner • Greg Marchand • Amy Mattinat • Bob Ward • Jeremy O’Neal • Bob Greenwood • Donny Seyfer • Jorge Antico • Bill Haas
• Jude Larsen
Sessions focus on vital topics for managers to run and grow their business, including profitability secrets, targeted marketing, succession planning, effective leadership, servicing connected cars, data management, process improvement & LEAN, selling maintenance, growing your customer base, hiring processes, and more. “Delivering quality education and training at convenient times and locations for repair shop owners and managers is more important than ever,” said Bill Hanvey, Auto Care Association president and CEO. “Faced with rapidly developing vehicle technology, advanced management systems and higher customer expectations, these professionals must possess the knowledge and skills necessary to run efficient and profitable businesses. We look forward to collaborating with ASA on this and other initiatives to further enhance educational opportunities for the auto care industry.” For the complete agenda and information, please visit www.aapexshow .com/asa.
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©2016 MINI, a division of BMW of North America, LLC. The MINI name, model names and logo are registered trademarks. 66 NOVEMBER 2016 AUTOBODY NEWS | www.autobodynews.com
American Honda Motor Co., Inc. has approved Sherwin-Williams Automotive Finishes paints for its warranty and goodwill repairs. Included in the approval are the Sherwin-Williams AWX® Performance Plus™ waterborne system and Ultra 7000® solventborne refinish system. “Sherwin-Williams has supported American Honda for many years, so we are proud to be included in the latest issued approved paint lines service bulletin,” said Jason Crager, Sherwin-Williams OEM business development manager. “These approved refinish materials will not only meet, but surpass, our customer’s needs and provide them with an outstanding finish when they receive their vehicle after a repair has been completed.” According to the company, Sherwin-Williams will continue to provide Honda and Acura collision centers with training, color support and local service from its company-owned branches and training centers. For more information, visit www.sherwin-automotive.com. Original BMW Parts
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Many Steps Add to Huge Productivity Gains
up front is one step but expediting parts, mirror matching parts and ensuring all parts are received before dispatching the repair, is another huge Recently I had the opportunity to sit in undertaking for the parts department. on a meeting with shop ownThis allows the vehicle to be ers discussing cycle time and “ready” to process for the touch time. The conversation technicians. The vehicle and centered on their KPI’s and parts cart need to be “kitted” how they thought implewith everything required for menting Damage Analysis the repair. and Blueprinting would imThink of your doctor or prove their output. Many dentist office – all paperwork, were stunned that their times supplies, tools and patient are Judy Lynch were not moving quickly just inspected and checked in beby adding a Damage Analysis bay. fore the physician actually sees the paWhat they failed to realize is that there tient. This should hold true for the is not one magic bullet for improving vehicle before it hits your production cycle time or touch time, but a require- floor! ment of several steps that together, will Although the above is imperative contribute to major production im- to reducing cycle time, there are also provements. many other factors in play. When the The concept of Damage Analysis vehicle is brought into the repair has many steps that need to be identi- process, it should be “pulled” through fied: Actually disassembling the vehi- your facility until completion. If it is cle, identifying all hidden damage, not, you need to ask your technician: ordering the correct parts, verifying “why the vehicle is idle?” parts received and then actually “kit- • Do you continue to have suppleting” the car for the technician to re- ments? Return to the Damage Analysis pair. This in itself is a major cultural and improve the process shift for many shops but the real • Are incorrect parts realized at time process is much deeper than this. Dis- of replacement? Improve mirror matchassembling and identifying all damage ing and parts receiving SOP’s by Judy Lynch, Marketing Manager, Collision Repair Design Service, Sherwin-Williams Automotive Finishes
• Are all the tools & equipment in working condition? Ensure each technician has the correct tools/equipment for task • Are supplies in the area necessary for specific task? Assemble mobile carts with specific supplies
• Is there large equipment (frame racks) in the shop not being utilized? If so, then free up productive floor space • Are there quality issues when passing vehicles to the next technician? Address training and/or SOP’s • Is one area of the shop outproducing another? Level your production and staff As you can see, many issues contribute to the cycle time of vehicles and reduce the touch time shown in your monthly reports. Be aware that although improving one task can make an impact in your shop, multiple small improvements add up to large productivity gains. Want to know how to improve your cycle time? Observe your shop floor with a Implementing Damage Analysis and Blueprinting are a good fresh set of eyes and talk to your start; but there are several more steps to consider when technicians! reducing cycle time Judy Lynch, Marketing Man• Are “dead” cars sitting in produc- ager, Collision Repair Design Service, tive work bays? Ask why – up to five for Sherwin-Williams Automotive Fintimes – if you need to get to root cause ishes, brings 29 years’ experience within of why this vehicle is even inside the the automotive industry and has become shop a key resource for assisting collision re• Is there sufficient lighting and/or pair facilities improve their performance space for each task? Mask off floor and enable them to become profitable areas to create process flow as neces- and productive in this changing econsary omy.
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Mike Cassata Joins AR Direct
AR Direct (AR.Direct) has an- cusing on Customer Service, Making nounced that Mike Cassata will the Most of Your DRP Relationships consult/serve as director of industry and Salvage Handling for DRP partrelations and technical advisor for ners. Cassata’s company, Hammer the company. Insights, welcomes additional oppor“Mike brings a wealth of expe- tunities and speaking engagements. rience in the insurance, “Hammer Insights is salvage and collision invery excited about our reladustries in all facets of the tionship with ARD,” CasAPD claims cycle,” said sata said. “I invite all of my Barry Barbee, executive industry friends and coldirector of AR.Direct. “We leagues to take a close look are extremely fortunate to at what ARD has to offer. have Mike Cassata on Barry Barbee has put toboard in a technical advigether a very capable and Mike Cassata sory and industry relations knowledgeable staff to asfile photo role at AR.Direct. We are sist with the evaluation and proud to be a process leader in sal- claims process. I am looking forward vage returns, total loss compliance to representing ARD at industry events tools, APD claim support, vehicle and to assisting them with technical donations and auction platforms.” claims processes.” Prior to joining AR.Direct, CasCassata is a past president of sata served in numerous leadership Greater Rochester Autobody Craftsroles at AMICA Insurance. men Guild and founding member Cassata has been speaking at and former chair of the Rochester industry events spreading the word ICAR Committee. He is also a memabout customer service, DRP rela- ber of the National Auto Body Countionships, the importance of proper cil, the WIN Network, and is a CIC photo and file documentation, ser- Gold-pin member. vant leadership, team building and pre and post scanning. According to AR.Direct, he is working with AMi, www.autobodynews.com developing DRP-centric classes fo-
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Service King Breaks Recycled Rides Donation Record
The gift of a new vehicle helped change the lives of needy families in 15 cities across the country in September as part of a massive giveaway effort conducted by Service King Collision Repair Centers and its teammates. The event marked the company’s 40th Anniversary while breaking the record for the largest
donation by an auto repair company in the National Auto Body Council’s Recycled Rides program’s history. Service King and its teammates have handed over the keys to more than 40 refurbished vehicles this year as part of its Great American Recycled Rides Giveaway, each repaired voluntarily by the company’s technicians and delivered to a family selected by local non-profit organizations. “Positively impacting our communities remains a cornerstone to Service King’s greater purpose as a family of teammates,” said Service
King president and 28-year teammate Jeff McFadden. “We uniquely recognize the impact a vehicle, and dependable transportation, has on the lives of families who need it most. It’s our sincere hope the volunteer efforts of our teammates and these vehicles touched lives in a positive way.” The recent Great American Recycled Rides Giveaway provided vehicles to single mothers, transitioning homeless families, military veterans and more in cities across the country including Dallas, Houston, Tampa, Atlanta, San Antonio, Murfreesboro, Dublin, Bellflower and more. On September 18, the effort took center stage at Chicagoland Speedway in front of more than 50,000 fans as Service King presented keys to a pair of recipients from the Women With Drive Foundation, which helps at-risk women achieve self-sufficiency. Service King is a longtime partner of the Recycled Rides initiative, which has successfully donated more than 1,000 refurbished vehicles to families in need across the U.S. since its inception in 2007. For more information, visit www .ServiceKing.com.
PCI Says CFA Insurance Rating Study is Flawed
include things such as the number of years of driving experience, previous claims, miles driven, the type of vehicle and type of coverage purchased. Insurers use a wide variety of factors that have proven to be effective in predicting the likelihood of someone filing an insurance claim or having a loss. By using a variety of rating factors, insurers are able to develop a more complete picture of a driver’s potential for filing a claim and in this way more accurately price the policy. “Consumers should rest assured that auto insurance pricing is closely scrutinized by state insurance regulators and is subject to rigorous actuarial standards which ensure that all rating factors comply with the law. “If consumers are not happy with an insurance quote or the cost of insurance, they can always shop around for a better price or another company among the dozens of competitors in each marketplace. The auto insurance market is highly competitive and consumers have a large variety of choices. “Insurers use approved rating factors that accurately predict loss and we reject CFA’s attempt to characterize factors that measure risk as ‘social economic,’ these factors are highly regulated and based on cost.”
68 NOVEMBER 2016 AUTOBODY NEWS | www.autobodynews.com
All The Genuine Lexus Parts You Need For A Lexus Finish i
The following statement by the Property Casualty Insurers Association of America (PCI) is in response to the recent study by the Consumer Federation of America (CFA) regarding auto insurance rating. The following statement is attributed to David Snyder, PCI’s vice president of policy development and research. “The CFA’s latest study on auto insurance pricing is flawed and misleading. The central flaw in the report is that it fails to take into account that all the rating and underwriting factors insurers use are proven to increase the accuracy of predicting the risk of loss. “Additionally, the driver profiles used by the CFA provide an apples to oranges comparison which calls into question their findings and conclusions. Without an apples to apples comparison, it is impossible to isolate the impact of individual factors as the CFA attempts to do by singling out a driver with a driving under the influence conviction. A component of one profile indicated that the driver went six months without insurance, which is a significant factor in predicting risk. “The main factors that determine what a driver pays for insurance
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