Autobody News July 2011 Western Edition

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Western Edition California Nevada Arizona

29

YEARS

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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 in-

dustry is often disadvantaged by restriction of communication 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

by John Yoswick

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 news. Insureds are Dan Risley shopping. Consumers shopped and switched auto insurers more aggressively in 2010 than they have for 14 years, according to preliminary survey findings from McKinsey & Co.

See SCRS Commentary, Page 42

Allstate to Open Electronic Communication with Non-DRP Shops 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

See Allstate, Page 40

VOL. 29 ISSUE 7 JULY 2011

NHTSA Administrator Strickland: “A Car is Not a Social Networking Device” The National Highway Traffic Safety Administration is studying ways to encourage new drivers to disconnect from mobile devices and the Internet while operating vehicles, Administrator David Strickland said at an automotive technology conference in Novi, MI. “I’m not in the business of helping people Tweet better. I’m not in the business of helping people post to Facebook better,” Strickland said “My job is to make sure we keep people safe behind the wheel.” U.S. Transportation Secretary Ray LaHood, whose department oversees NHTSA, has said drivers are

SPECIAL TECH

distracted by vehicle information and entertainment systems such as Ford Motor Co.’s Sync and General Motors Co.’s OnStar. The Transportation Department has launched the Web site www.distraction.gov to edDavid Strickland ucate Americans and policymakers about the dangers of distracted driving. Strickland and his boss, LaHood, are also working with the states to enforce against distraction. To date, 33 states, the District of See Auto Media, Page 49

The New Laser Technology: A Game Changer for OEMs that Might Impact Shops p. 44

REGIONAL STORIES in this issue...

CA VFW Makes Donation to Marine For Final Repair Costs . . . .p. 4 Auto Body World in Arizona to Add Eighth Location . . . . . . . . . .p. 6

East Bay CAA Chapter to Hold 25th Annual Golf Tournament . . . .p. 9

CAA Holds Quarterly Meeting in San Diego . . . . . . . . . . . . . . . . .p. 10

Audatex Offers Matching Funds For CA School Makeover Grant .p. 14

CAA San Diego Chapter Holds 17th Annual Golf Tournament . .p. 14 Mitchell Gives Local CAA Members Tour of Facilities . . . . . . . . .p. 16

COLUMNS in this issue...

Chaney — Auto Recyclers Host Collision Repairers in Panel . . .p. 20

Amaradio — Learning to Face the “Big Hill” . . . . . . . . . . . . . . . . .p. 22

Franklin — How to Survive a Summer Slump . . . . . . . . . . . . . . . .p. 23

Weaver — A Homemade Air Bag Light—Brilliant Stupidity . . . . .p. 26 Williams — Apathy in the Wholesale Parts Business . . . . . . . . . .p. 29

Danalevich — Business Financial Security . . . . . . . . . . . . . . . . . .p. 36

Insurance Insider — The “Neutral Information Provider” . . . . . .p. 36

Chess — Pan American Hosts Firefighter Extrication Training . .p. 37

Attanasio — Body Shops and Yelp: It’s a Love-Hate Relationship .p. 38

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