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36
YEARS
VOL. 36 ISSUE 1 JANUARY 2018
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Industry Associations Pledge 2018 Resolutions
Year in Review: The Collision Repair Industry in 2017
Most folks view New Year’s Eve as a time to reflect on the recent year and make resolutions for the next as they strive to improve themselves or their lives. Collision repair industry associations have also begun preparing for 2018 by beginning to focus on their goals for next year and how they can help their members, advance their organizations and improve the industry for everyone. Several association leaders shared their 2018 New Year’s Resolutions with Autobody News. In 2017, a lot of associations focused on membership growth, bringing
Starting with the inauguration of the 45th President, moving on to the solar eclipse and three devastating hurricanes, 2017 has been a year to remember with many major changes impacting the United States. The collision repair industry has continued to change as well, with evolving technology and raging legal battles, including the now-famous John Eagle lawsuit in Texas. Associations around the country offered a variety of educational opportunities through meetings and conferences, and as the New Year
by Chasidy Rae Sisk
educational value to members and pursuing legislative initiatives to improve the industry. Industry professionals can expect to see these endeavors continue into 2018, though industry leaders anticipate taking their efforts to new heights. The Automotive Service Association (ASA) spent a great deal of this past year on legislative endeavors, and plans to continue these initiatives into the New Year. ASA Executive Director Dan Risley shared, “ASA resolves to be represented, engaged and vocal in as many meetings, conferences, hearings, summits and alike in Washington D.C. and See Industry Associations, Page 22
“Replacement Demand” From Hurricane Harvey Overhyped Says Industry Analyst by Wolf Richter, Seeking Alpha
units for the year through July, despite record incentives, historically low interest rates, and muscular all-encompassing marketing. The industry’s
The total damage Hurricane Harvey inflicted on parts of Texas, particularly the vast Houston area, may never be See Houston Auto Sales, Page 12 fully known. In terms of vehicles, the estimates were all over the place. But one thing is known: Before the flood waters had even begun to recede, the entire industry was salivating over that huge “replacement demand.” This would come just in the nick of time, as total new vehicle sales in the US had already fallen by about 300,000 Houston-area auto sales rise, but not nearly enough
by Chasidy Rae Sisk
crept up on us, Autobody News spoke with several association leaders about the best and most memorable things they did in 2017. From getting associations off the ground to establishing a broader member base, several associations focused on growth this year. Stephen Regan, Executive Director of ASA-MA/RI, shared, “The most memorable thing ASA-MA/RI has done in 2017 is open its doors. We have brought back to the region an entity dedicated solely to the advancement of collision and mechaniSee Year in Review, Page 16
Happy New Year! from all of us at Autobody News
Leading Auto Body Associations and Consumer Group Meet With Texas DOI on Safety Concerns A delegation, including members of the Auto Body Association of Texas (ABAT), the Houston Auto Body Association (HABA), and Texas Watch, a statewide consumer group, met with high-level compliance and consumer protection staff at the Texas Department of Insurance (TDI) to discuss abusive insurance industry practices and how they illegally reduce coverage and threaten Texans’ safety. The recent $42 million verdict by a Dallas jury to a catastrophically injured couple for damages caused by unsafe automobile repairs has refocused attention on the safety of the Texas motoring public. The delegation discussed common pressure tactics used by the insurance companies when contesting repairs that must be made to return the vehicle to a safe condition. Among the range of topics discussed, the group also raised the
issue of how insurers wrongly steer Texans to body shops with whom they have a pre-existing commercial relationship. Burl Richards, President of ABAT, stated: “Reimbursing shops the same based on a ‘prevailing’ rate and not taking into consideration the difference in the investment of individual shop’s commitment to training, equipment and certifications is out of touch with reality. You cannot continue to repair today’s technologically advanced vehicles the way you did even 3 or 5 years ago. You must research and follow the OEM recommended processes and procedures. “When the insurance company is dictating repair methodology based on ‘profits,’ then the consumer is put at risk. If consumer safety and proper repairs that restore vehicles as close as See Meeting with TDI, Page 6
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