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Webinar Looks at Billing, Invoicing Regulations for California Auto Body Shops by John Yoswick
California Autobody Association (CAA) attorney Jack Molodanof emphasized during a CAA webinar in June the importance of collision repair shops’ final invoices accurately reflecting exactly what was done to each vehicle. This is particularly true in a state like California, where there is a specific regulator―the Bureau of Automotive Repair―overseeing the automotive aftermarket. “Include the list of all the services and repairs performed and the
price,” Molodanof said regarding final invoices. “Itemize each of the parts supplied. And I mean each part. Even if it’s free, if you put it on, you have to list it on the final invoice. “Representing the vehicle was repaired according to the final invoice, when in fact it wasn’t, is fraud. You charged for this and you didn’t do it: That’s fraud. The BAR can file an attorney general action to revoke your license based on that. That occurs. It’s happened. There are facilities out there that didn’t believe it until it happened to them.” See Webinar Looks at Billing, Page 22
SEMA Intensifies Advocacy Efforts, Connects with Congressional Reps from Washington, D.C. by Juan Torres
SEMA representatives escalated their advocacy efforts by taking part in nearly 100 meetings with Republican and Democratic lawmakers from Capitol Hill during June and July. As part of the virtual 2021 SEMA Washington Rally, more than 60 SEMA-member companies joined SEMA staff in a record-high number of meetings with officials from the U.S. House of Representatives and Senate. Discussions focused on top industry issues, chal-
lenges and concerns, chief among them passage of the Recognizing the Protection of Motorsports (RPM) Act. SEMA members also spoke with federal lawmakers in opposition to electric vehicle mandates while voicing support for increased federal investments in roads and bridges, protecting motorized offroad recreational access, tax credits for businesses participating in trade shows and ensuring aftermarket businesses can market products that are interoperable with vehicles that See SEMA Intensifies Advocacy, Page 26
39 YEARS
AUTOBODYNEWS.COM Vol. 39 / Issue 8 / August 2021
GM Promises to Leave No One Behind as it Moves to an All-Electric Future by Jamie L. LaReau, Detroit Free Press
General Motors says it wants to make sure all of its customers and its employees are included in its transition to an all-electric car company. On June 29, GM CEO Mary Barra made several promises to achieve that goal, including announcing the creation of a $25 million Climate Equity Fund. By equity, that means no one is left behind as GM transforms the company. The idea is that all people have access to electrification regardless of socioeconomic status, race or
other situations. It means that electrification will benefit society, said Jessica James, a GM spokeswoman. “Climate change does not impact every community equally,” Barra said at the Aspen Ideas Festival. “As we move to an all-electric, zero-emissions future, it is on us to lead positive change and implement inclusive solutions that bring everyone along, especially our employees and communities.” The new fund will be used to support programs that help people See All-Electric Future, Page 24
Predicting What the Collision Repair Industry Will Look Like in 2035 by John Yoswick
Where will the collision repair industry be in 2035? That daunting question was tackled this spring by the Future Disruptions Committee at the Collision Industry Conference (CIC). As the panel discussion began, Sean Carey of SCG Management Consultants pointed to a weakness in the exercise itself. “Rather than take yourself forward 14 years, take yourself back 14 years,” Carey suggested. Think about comparing a 14-year-old Honda Accord to a current Honda Accord, he said: the differences in the vehicle itself, in the repair procedures used, in how estimating is done and how the entire claim is settled. “It was vastly different from where we are today, and in 14 years it will be vastly different again,” Carey said. “It’s not always easy to conceive what’s going to happen in the future. We’re guessing at best.” With that preface, Carey said
he foresees “mass consolidation” in the industry, with the formation of at least one cross-functional entity that includes an insurance company, technology companies and a large repairer group―its “own ecosystem.” “From a moment that vehicle is in an incident, this organization, under one single ownership, takes care of everything,” Carey said. “Data is going to make that very, very possible.” Direct repair and OEM certified shop networks will give way to licensed shops, each “capable of repairing only particular types of vehicles,” he said. “This mainstream, ‘bring it all in on Monday, we’ll ship it all out by Friday,’ will be a thing of the past. [Vehicles] will not be allowed to go to an unlicensed shop.” There will be far fewer vehicle repairs, but what there are will be very costly, he predicted. “Severity will climb through the roof,” he said. “Severity today will seem laughable. Think tens of thouSee Look Like in 2035, Page 16
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