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SCRS Releases Commentary on Farmers New COD DRP Agreement Controversy Recently, industry trade publications, including Autobody News (June, 2011) have reported on the concern voiced from repair facilities across the country over intrusive elements of Farmers Insurance new COD agreement. The Society of Collision Repair Specialists (SCRS) reviewed the content, and believe that it is in the best interest of the industry to make the agreement available for public review. Insurance carriers have continued to increase pressure over repair shops to obtain the quickest/cheapest repair, while interjecting themselves further into the oversight and management of repair businesses. The industry is often disadvantaged by restriction of commu-
nication from participants of these programs, and it is important for the industry to rely on factual review of documents, rather than anecdotal musings. If we wish for business conditions to improve, it is important that our industry finds the voice to express our concerns openly and honestly without fear of being transparent. To that purpose, SCRS has highlighted some areas of interest. All recipients of this communication are notified that the materials presented are not to be construed as direction or suggestion, and is intended simply to better inform individuals acting within their own judgment, making sound business deciSee Farmers COD DRP, Page 33
Allstate to Open Electronic Communication with Non-DRP Shops by John Yoswick
Allstate Insurance will soon roll-out technology that will enable shops that are not part of the insurer’s direct repair program to communicate electronically with the insurer, much as its DRP shops do. Dan Risley, a project manager for Allstate at the company’s Illinois home office, said this new “Transactional Non-DRP” system will enable any shop to upload estimates and digital images to Allstate, receive insurerwritten estimates from Allstate, etc. “We realize not all customers use a network shop, and we want to make
it easier to do business for those shops and for our customers,” Risley said. Risley’s discussion of the forthcoming change was just one of recent news items related to insurance companies that will likely be of interest to shops. Here’s a wrap-up of some of this Dan Risley news. Insureds are shopping. Consumers shopped and switched auto insurers more aggressively in 2010 than they have for 14 years, according to preSee Allstate, Page 30
VOL. 29 ISSUE 7 JULY 2011
Two Louisiana Insurance Department Investigators Killed by Insurance Agent Two fraud investigators with the state Department of Insurance were shot and killed June 7 while trying to get information from an agent. Rhett Jeansonne, an investigator since 2006, and Kim Sledge, an 11-year employee of the inRhett Jeansonne surance department, were shot and killed by insurance agent John Melvin Lavergne. In the past, Lavergne had been cited for fraud and ordered to stop operations, Louisiana Insurance Commissioner Jim Donelon confirmed in an emotional news conference. The insurance agent had previously faced criminal charges and civil sanctions,
according to police and the insurance office. “My deepest sympathies go out to the loved ones of our two departed colleagues, in particular, the surviving spouses and children of these brave individuals,” Donelon said in a statement. Police in Ville Platte, about 50 miles north of Lafayette, got a call of shots fired Kim Sledge at Lavergne Insurance about 1 p.m., said Trooper Stephen Hammons, spokesman for Louisiana State Police. The two investigators were
REGIONAL ARTICLES in this issue...
See LA Insurance, Page 8
OK Commissioner Questions Increased Driving Record Fee . . .p. 4 Family-Owned Glass Doctor Franchise Opens in Louisiana . . . .p. 6 GM to Add 110 Jobs, $331M in Upgrades at Arlington, TX, Plant .p. 6 Joplin, MO, GM Dealer Supports Community After Tornado . . . .p. 12 CCAR Announces ‘GreenLink Shop’ Awards for TX Facility . . . .p .13 Texas Pushes Back on Federal Emissions Laws . . . . . . . . . . . . .p .13 Jackie Cooper Imports Grand Reopening in Tulsa . . . . . . . . . . . .p .14 Texas Shop Makes its Own Light Inspection Tunnel . . . . . . . . . .p. 31
NATIONAL ARTICLES in this issue...
Eileen Sottile, Quality Parts Coalition Legislative Update . . . . . . p. 10 Former GMAC, Delays IPO Due to Market Conditions . . . . . . . . .p. 18 Toyota to Face First US Sudden-Acceleration Test Trial in 2013 .p. 20 Hyundai, Kia Face South Korean Fair Trade Antitrust Probe . . . .p. 34
COLUMNS in this issue...
Attanasio — Body Shops and Yelp: It’s a Love-Hate Relationship .p. 16 Weaver — A Homemade Air Bag Light—Brilliant Stupidity . . . . .p. 21 Williams — Real Opponent in the Wholesale Parts Business . . .p. 23 Insurance Insider — The “Neutral Information Provider” . . . . . .p. 24 Danalevich — Business Financial Security Preventive Maintenance .p. 28 Franklin — How to Survive a Summer Slump . . . . . . . . . . . . . . . .p. 32 Cheney — Auto Recyclers Host Collision Panel . . . . . . . . . . . . . .p. 37
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The New Laser Welding Technology ● Two Pennsylvania Collision Associations ● NHTSA: A Car is Not a Social Networking Device
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