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MASSACHUSETTS BUILDING THE SUCCESS OF THE AUTO REPAIR INDUSTRY
Serving the New England Collision and Mechanical Repair Industry
April 2017 U.S.A. $5.95
PLUS: The Truth about Auto Insurance Negotiating a Total Loss Recycled Rides in Malden www.grecopublishing.com
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April 2017 • Volume 15, No. 4
CONTENTS
DEPARTMENTS VICE PRESIDENT’S MESSAGE by Adam Ioakim 8 | The Truth about Auto Insurance LOCAL NEWS 18 | ADALB Targets Unlicensed Appraisal Service by Joel Gausten
22 | AASP/MA Shop Presents Refurbished Vehicle to Local Gold Star Family LEGAL PERSPECTIVE by James Castleman, Esq. 27 | Helping Your Customer Negotiate a Total Loss NATIONAL FEATURE by Tom Slear 40 | Collision Reporting Centers: Another Possible Trap for Shops? AASP/MA MEMBER SHOP SPOTLIGHT 42 | Boston Body Works: Fast Track in a Fast World
ALSO THIS ISSUE 10 | A MESSAGE FROM THE EXECUTIVE DIRECTOR 13 | TRAINING OPPORTUNITIES: I-CAR CALENDAR OF EVENTS 13 | 2017 AASP/MA ANNUAL GOLF OUTING ANNOUNCEMENT 15 | 2017 AASP/MA BBQ WITH THE BOARD ANNOUNCEMENT 14 | AASP/MA SPONSORS
COVER STORY 33 NO TIME TO ARGUE: Why Insurers Must Follow Manufacturer Recommendations by Joel Gausten
43 | AASP/MA MEMBERSHIP APPLICATION 48 | AASP/MA CLASSIFIED FORM 49 | FOR SALE 49 | INDEX OF ADVERTISERS New England Automotive Report
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VICE PRESIDENT’S MESSAGE
THE TRUTH ABOUT AUTO INSURANCE ADAM IOAKIM
If you’ve been reading the last few issues of New England Automotive Report or taking part in industry events in and out of Massachusetts in recent months, you’re definitely aware of the growing focus on pre- and post-repair scanning in this industry. The cover story of last month’s NEAR in particular really stressed the importance of performing these procedures, as even today’s base model vehicles have hundreds of Diagnostic Trouble Codes that aren’t visible on the dashboard. Unfortunately, as my fellow shop owners in the Commonwealth continue to work hard to incorporate appropriate scanning equipment and procedures into their businesses per OEM recommendations for the safety of their customers, some of them are reporting to AASP/MA that they are encountering resistance from a few carriers that are either refusing to pay the shop’s charges for scanning or electing to pay seemingly arbitrary amounts pulled from thin air. In a few cases, insurers are assigning blanket amounts of time to scanning or telling shops, “This is all we’re paying for this procedure.” While we all hear that last sentence A LOT from carriers in our day-to-day dealings with them, it’s important for us to always remember that it has NOTHING AT ALL to do with auto N
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insurance. Auto insurance policies are indemnity policies. When an insurance company comes in and says to you, “This is all we pay for this item,” you need to remember that these policies are not like a health insurance policy with a set schedule of benefits. An automobile insurance policy exists to indemnify a policyholder for their loss and make them whole again. For an insurance company to try to talk you into believing otherwise is for them to attempt to deny the provisions of the policy they’ve sold their customers. The fact remains that the body shop is the entity that can accurately determine the extent of the damage sustained to an automobile in a collision, and that facility’s invoice is the proof of loss and the cost of that repair. If the items included on that invoice cost more than what the insurer originally stated, then I firmly believe that the carrier should be responsible for covering those costs per the indemnity policies they sell their customers. MASSACHUSETTS BUILDING THE SUCCESS OF THE AUTO REPAIR INDUSTRY
ADAM IOAKIM is the co-owner of Hogan & Van
Auto Body in Medford, MA. He can be reached at (781) 436-0366 or adam@hoganandvan.com.
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AUT M TIVE STAFF
AASP/MA EXECUTIVE COMMITTEE PRESIDENT
PUBLISHER
CREATIVE DIRECTOR
Thomas Greco (thomas@grecopublishing.com)
Lea Velocci (lea@grecopublishing.com)
SALES DIRECTOR
EDITORIAL ASSISTANT
VICE PRESIDENT
Alicia Figurelli (alicia@grecopublishing.com)
Nick Fernandes (nick@grecopublishing.com)
Adam Ioakim
EDITORIAL DIRECTOR
PRODUCTION
SECRETARY
Joel Gausten (joel@grecopublishing.com)
Donna Greco (donna@grecopublishing.com)
Molly Brodeur
Ray Belsito, Jr. TREASURER
PUBLISHED BY: Thomas Greco Publishing, Inc. 244 Chestnut Street, Suite 202, Nutley, NJ 07110 Corporate: (973) 667-6922 / FAX: (973) 235-1963
Kevin Gallerani IMMEDIATE PAST PRESIDENT Paul Hendricks
AASP/MA STATEWIDE DIRECTORS COLLISION DIRECTOR Rick Starbard www.grecopublishing.com New England Automotive Report is published monthly by TGP, Inc., 244 Chestnut Street, Suite 202 Nutley, NJ 07110. Distributed free to qualified recipients; $48 to all others. Additional copies of New England Automotive Report are available at $5 per copy. Reproduction of any portions of this publication is specifically prohibited without written permission of the publisher. The opinions and ideas appearing in this magazine are not necessarily representations of TGP Inc. or of AASP/MA. Copyright © 2017 by Thomas Greco Publishing, Inc. Images courtesy of www.istockphoto.com
AASP/MA DIRECTORS Darlene Andrade Matthew Ciaschini
MASSACHUSETTS BUILDING THE SUCCESS OF THE AUTO REPAIR INDUSTRY
Gary Cloutier
AASP/MA EXECUTIVE DIRECTOR
Alex Falzone
Jillian M. Bukhenik 12 Post Office Square, 6th Floor Boston, MA 02109 Phone: (617) 574-0741 Fax: (617) 695-0173 Email: jzywien@aaspma.org
Joshua Fuller Kevin Kyes Peter Langone
WWW.AASPMA.ORG
Frank Patterson Mike Penacho
8 April 2017
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A MESSAGE FROM THE EXECUTIVE DIRECTOR
THE ADALB: A BETTER WAY TO SEEK CHANGE JILLIAN BUKHENIK
Dear Members,
Over the years, there have been countless interactions between the Auto Damage Appraiser Licensing Board (ADALB) and AASP/MA on matters of importance to the industry, appraisers in the Commonwealth and insurers. Many of these interactions have left us all with a bad taste in our mouths and have some suggesting that the ADALB is not a place for resolution. I am here to tell you that those feelings could not be further from the truth. As you are aware, the Governor appointed three new members to the ADALB Board in 2015: Rick Starbard, Lyle Pare and William Johnson. Joe Coyne and Chairman Cox remained Board appointees. Prior to those appointments, the Board members had not changed since 2009. Not only have the newly appointed members breathed new life into the Board, but they have also encouraged change and have consistently asked for input from appraisers. Following these appointments, the Board voted to repeal an Advisory Ruling that allowed photos and videos from unlicensed appraisers to be considered a “personal inspection.” Not only was this ruling dangerous for consumers and the public, but it also violated Mass. General Law Chapter 26 8G, which requires an inspection sticker to be removed if the vehicle is deemed unsafe during the initial appraisal. The Attorney General agreed with this repeal, as their office had recently fined an insurer for violating that law. In accordance with the Governor’s Executive Order, the ADALB opened their 212 CMR regulations for proposed changes. The Board hosted a listening session and urged members of the public and members from both the auto body and insurance industries to submit comments. Only three individuals/organizations, including your association, submitted comments. The Board incorporated several language changes sought by AASP/MA. The proposed language was submitted to the DOI’s general counsel. We are awaiting the next steps, which will likely take place this spring. The Board’s next course of action was encouraging the Division of Insurance to host a meeting outside of
Boston. The Board recognized that it is difficult for shops in other parts of the state to attend meetings because of their location. They moved a meeting to Assabet Valley Technical High School in Marlborough, and they also hosted a meeting at Putnam Vocational School in Springfield. At each meeting, they asked for input from the shops in attendance. The Board members want to hear from shops and insurers about best practices, what challenges they are facing and how they can help improve the industry in Massachusetts. Several months ago, the Board approved a new complaint process that will streamline the procedure and improve transparency. Prior to this new process, many of the complaints filed were not heard. This year alone, the Board has heard over six complaints. Most recently, they issued an Order to Show Cause on one complaint. That case is still ongoing, and we expect to report results later this year. The AASP/MA Board of Directors and our leadership continue to encourage appraisers to interact with the ADALB. They cannot make a difference if they don’t hear from the industry they represent. To continue to build the success of the collision repair shops in the Commonwealth, we need to make more noise. We need shops to be willing to submit complaints, seek input from the ADALB and encourage their presence in your area. I hear from members daily about issues they face, and I would encourage you all to put your thoughts and interactions into a formal complaint. AASP/MA can be helpful, but we need your commitment to effect change. For more information about the ADALB and what your association is doing, please feel free to contact the association. Sincerely,
MASSACHUSETTS BUILDING THE SUCCESS OF THE AUTO REPAIR INDUSTRY
Jillian Bukhenik
AASP/MA EXECUTIVE DIRECTOR JILLIAN BUKHENIK (formerly Jillian Zywien) has been a senior account executive at Lynch Associates for over eight years. She can be reached at (617) 574-0741 or via email at jzywien@aaspma.org. 10 April 2017
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in Massachusetts
For more information, visit i-car.com
April 5, 2017 Adhesive Bonding Enterprise Rent-A-Car (Burlington, MA) April 11, 2017 Full-Frame Partial Replacement Fuller Auto Body (Auburn, MA)
SAVE THE DATE AASP/MA ANNUAL GOLF OUTING July 19, 2017
BUILDING THE SUCCESS OF THE AUTO REPAIR INDUSTRY
Where: Blackstone National Golf Club 227 Putnam Hill Road Sutton, MA 01590
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Time: 11:30AM: Lunch for Golfers ONLY 12PM: Shotgun Start 5PM: Dinner & Award Ceremony
April 19, 2017 Sectioning of Steel Unitized Structures IRA Collision Center (Danvers, MA)
Pricing: Single Golfer: $150 Foursome: $600 Dinner Only: $60
April 25, 2017 Steel Unitized Structures Technologies & Repair Fuller Auto Body (Auburn, MA)
MASSACHUSETTS
Please go to AASPMA.org to find out more information on registration and sponsorship opportunities!
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AASP/MA ASKS YOU TO PLEASE SUPPORT OUR SPONSORS!
AASP/MA NEWSLETTER SPONSOR
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Contact AASP/MA at (617) 574-0741 / jzywien@aaspma.org for information on becoming an AASP/MA sponsor! 14 April 2017
New England Automotive Report
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2017 AASP/MA BBQ
With the Board Friday, May 19, 2017 SAC Park 438 Lake St. Shrewsbury, MA 5PM – 10PM
TICKETS ADULTS: $30 CHILDREN (Ages 0-13): FREE
SPONSORSHIPS Dinner & Dessert- $500 (2 Available) General Raffle Sponsor-$500 (3 Available) Grand Prize Raffle Sponsor- $250 (5 Available)
Children’s Entertainment Sponsor- $450 (1 Available) Children’s Meal Sponsor- $250 (1 Available) Children’s Goodie Bags-$250 (1 Available)
DINNER, DJ, GAMES, RAFFLES & MORE! To purchase tickets or to become a sponsor (or if you would like more information),
please go to aaspma.org or call us at (617) 574-0741.
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[LOCAL] NEWS by Joel Gausten
ADALB tARgEtS
uNlicENsEd AppRAisAl sERvicE If an insurance company is operating in Massachusetts and writing appraisals for Massachusetts insureds, it must utilize appraisers licensed to do business in the state. This was the message driven home by the Auto Damage Appraiser Licensing Board (ADALB) during their March 1 meeting at the Division of Insurance in Boston. Board member Joseph Coyne, Jr. introduced the topic by revealing that he had recently been informed of a Georgiabased company called Access General Insurance Adjusters LLC that is currently writing appraisals for claims in the Commonwealth without venturing into the state to view the vehicles in question. To illustrate his concerns, he distributed a letter that Access sent to an insured to his fellow Board members. “This is not even an insurer; this is a middle man that handles claims for different companies throughout the country, and they’re writing in Massachusetts,” he said. Below is an unedited portion of Access’ letter to the insured: Please follow the step process below in order for us to properly appraise the damages to your vehicle. 1. Have the shop assist you in taking photos of the damages to your vehicle related to this loss. If they do not offer that service, you will need to take the necessary photos. The required photos should include: Your vehicle’s vin number (there is a sticker on the inside of the drivers front door) Your vehicle’s current mileage Step back picture of the front end (so we can see both headlights, hood, windshield, etc) Step back picture of the rear end (so we can see both tail lamps, trunk/tailgate, etc) Step back pictures of both sides of the vehicle (so we can see from the front bumper to the rear) At least 4 pictures of the damaged area (use multiple angles for the best review possible) The letter later states the following key points: “Make sure not to leave the vehicle at the shop, as we will not pay for any storage of your vehicle.”
ADALB member Joseph Coyne, Jr. is taking aim against insurers using unlicensed appraisers.
“They will sit in their office in Georgia or South Carolina or wherever it is and then write an appraisal and send it back to the consumer,” Coyne observed. “I understand that we have e-pics and stuff that other companies have out there, but this is ridiculous. And they send it in writing right to their customers…It’s not fair for the companies in the state that are playing by the rules; this is not right at all.” Coyne suggested that the Board act to prevent Access from continuing to operate in the Commonwealth in this manner. “Access is an independent firm that is writing appraisals in the state of Massachusetts and not licensed. [We need to] tell them to either get licensed or cease and desist.” After considerable discussion on whether to contact Access directly with their concerns or instead reach out to the offending insurers, the Board chose to table the matter until their April 12 meeting to allow Coyne time to compile a list of companies that are employing Access to perform appraisals on their behalf. Also slated for discussion at the next meeting will be Board member Bill Johnson’s proposed Advisory Ruling that seeks to remind all licensed appraisers in the Commonwealth that Massachusetts regulations state that if they are performing a desk appraisal using a photograph and note a safety item that needs replacing, they are to perform a personal inspection of that vehicle. Videos of the March 1 meeting and other past ADALB events are available in the Members Only section of aaspma.org. MASSACHUSETTS BUILDING THE SUCCESS OF THE AUTO REPAIR INDUSTRY
“Once these items are received, our desk review team will complete the estimate promptly and forward it to your assigned adjuster. You will then be contacted by your assigned adjuster and made aware of the investigation outcome as well as walked through the next steps in [the] claims handling process.” 18 April 2017
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WE KNOW WHAT YOU’RE THINKING. YOU WANT TO KNOW IF THE PART’S IN STOCK, HOW MUCH IT COSTS, AND WHEN IT’S GONNA GET THERE. We get it. You want the best part for a Toyota, but you’ve got to know when and how much. Well, now you can. In addition to tools that can help you find and order the right VIN-based parts, now you can see if it’s in stock, schedule the delivery, even see your shop’s net price from your participating Toyota Dealer.* Now you’re thinking: “Cool!”
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Prime Toyota of Boston 1605 VFW Parkway West Roxbury, MA 02132 PH: 617-469-1022 Fax: 617-469-8987 www.driveprime.com kmcisaac@driveprime.com
20 April 2017
IRA Toyota of Manchester 33 Auto Center Road Manchester, NH 03103 Toll Free: 800-828-6076 Direct: 603-657-2410 Fax: 603-657-2419
Wellesley Toyota 216 Worcester Street Wellesley, MA 02481 PH: 800-734-0006 Direct: 781-237-4042 FAX: 781-237-3481
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IRA Toyota Danvers 161 Andover Street Danvers, MA 01923 PH: 800-774-8411 ext.1 Direct: 978-739-8306 FAX: 978-739-8098 www.iramotorgroup.com
New England Automotive Report
Bernardi Toyota 1626 Worcester Road Framingham, MA 01702 Parts Direct: 800-248-3033 FAX: 508-879-7895 www.bernarditoyota.com
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[LOCAL] NEWS
AASP/MA ShoP PRESENtS
REfuRbishEd vEhiclE to locAl gold stAR fAmily
Recycled Rides volunteers and participants pose with recipient Erin Vasselian.
Photos by Paul Hammersley/City of Malden
Today’s Collision Repair Center in Malden recently participated in the National Auto Body Council’s (NABC) Recycled Rides program, in which they received a salvage 2014 Kia Sportage donated by MetLife Insurance, refurbished it and donated it to Massachusetts Fallen Heroes Gold Star Wife Erin Vasselian.
The refurbished 2014 Kia Sportage
Left to Right: Kevin Molis (Malden Chief of Police), Kevin Jarvis (Veterans Services Director), Kevin Kyes (owner, Today’s Collision Repair Centers), Gary Christenson (Mayor of Malden), Bobby Cobb (owner, Today’s Collision Repair Centers), Erin Vasselian (Gold Star Wife, vehicle recipient), Chris Lessard (Massachusetts Fallen Heroes), Kristie Croteau (Metropolitan Life Insurance) 22 April 2017
New England Automotive Report
Vasselian lost her husband, Sergeant Daniel Vasselian USMC, two days before Christmas 2014 while he was serving in Afghanistan. This is the third collaboration between Massachusetts Fallen Heroes and Today’s Collision for a restored vehicle donation. “MetLife donated a great vehicle that just needed a little TLC,” offers Bobby Cobb, who co-owns both Today’s Collision locations (Malden and Chelsea) with AASP/MA Board member Kevin Kyes. “We gave it a minor facelift, bumper repair and mechanical work. It was a collaborative effort of the employees here at Today’s Collision to get the vehicle up and running.” In addition, Enterprise Rent-A-Car donated a $250 gas card to Vasselian. The NABC Recycled Rides program and 1-800-Charity Cars helped facilitate the paperwork process associated with transferring the vehicle from MetLife to Today’s Collision to Vasselian’s driveway. Cobb and Chris Lessard, program director of Massachusetts Fallen Heroes, have announced a partnership in which they will work together throughout the year to refurbish multiple vehicles to give back to those in need. Kyes praises his Malden team for their work in honoring an American hero. “It gives us all a great sense of pride when our industry can do something like this to give back to the family of someone who gave so much to our country. Everyone involved in Recycled Rides went above and beyond, and Today’s is thrilled to have played a small part in making life easier for Erin.” Recycled Rides is a program of the National Auto Body Council in which insurers, collision repairers, paint suppliers, parts vendors and others collaborate to repair and donate vehicles to deserving individuals and service organizations in local communities. NABC partners with 1-800-Charity Cars, a nonprofit organization that donates resources to help facilitate the titling paperwork and vetting of Recycled Rides recipients. More than 1,300 vehicles
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Erin checks out the ride for the first time.
have been donated since 2007. The National Auto Body Council (NABC) develops, implements and promotes community-based initiatives that exemplify the professionalism and integrity of the collision repair industry. Members of the National Auto Body Council are recognized and acknowledged as responsible businesses that give back to the communities they serve. For more information, contact the National Auto Body Council at (888) 667-7433 or at NationalAutoBody Council.org. Visit them on Facebook at facebook.com/NationalAutoBody Council. The NABC’s Twitter feed is @AutoBodyCouncil. With two locations in Chelsea & Malden, Today’s Collision has been repairing all makes and models of import and domestic vehicles, bringing them back to showroom condition since 1989. The shops pride themselves on delivering superior customer service, setting them apart from the competition with outstanding customer reviews and recommendations. With certified technicians and state-of-the-art facilities, technology and equipment, high-end vehicles such as BMW, Honda, Land Rover, MINI Cooper, Mercedes-Benz and Porsche leave in flawless condition. More information is available at TodaysCollision.com.
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24 April 2017
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Audi Shrewsbury 780 Boston Turnpike Shrewsbury, MA 01545 508.581.5880 Fax: 508.581.5880 email: parts@wagnermotors.com www.audishrewsbury.com
Hoffman Audi 700 Connecticut Blvd East Hartford, CT 06108 860.282.0191 Fax: 860.290.6355 www.hoffmanauto.com
Mattie Audi 80 William S. Canning Blvd. Fall River, MA 02721 800.678.0914 Fax: 508.730.1283 www.mattieaudi.com
Audi Cape Cod 25 Falmouth Road (at the Hyannis Airport Rotary) Hyannis, MA 02601 PH: 508.815.5600 FAX: 508.568.9410 www.audicapecod.com
26 April 2017
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[LEGAL] PERSPECTIVE by James A. Castleman, Esq.
hELPINg yoUR CUStoMER NEgotIAtE A totAL LoSS I have received several questions lately from collision repair shop owners who have been trying to assist customers in settling total loss claims with their insurers. In particular, these are shop owners with patrons who do not speak fluent English or who are not knowledgeable about what they are entitled to get paid. These shop owners seem to be willing to help their customers navigate the sometimes choppy waters encountered when maneuvering through these claims. Somewhat to my surprise, there appears to be resistance from several insurers in dealing with the shops as agents for their customers. The biggest issue that the customers seem to have is getting paid the full actual cash value for their car. But I also have been asked about cars that should be totaled that insurers think should be repaired or vehicles that are repairable that insurers want to total. In some cases, the insurers have failed to respond to the shop owner; in some cases, the insurers have just told the shops outright that they will not deal with them as agents for their customers. CAN A Shop ACT AS TheIr CuSToMer’S AgeNT IN TryINg To SeTTle The CuSToMer’S ToTAl loSS ClAIM? I am seeing novel excuses given by insurers as to why they will not deal with shops as agents for their customers. They say things like, “You are not a lawyer, and so we can’t deal with you,” or “You are not our insured, and the insurance is not transferable to you.” In my opinion, these excuses are absurd and have no validity whatsoever. Massachusetts law (and the law of every other state) clearly allows a person to appoint someone else as an agent to represent them or act for them when dealing with third parties - including with insurance companies. The agent does not have to be a lawyer, unless they are representing the person in court, in front of an administrative agency or are performing legal services for the person – which is not what a shop advocating for their customer on a total loss disagreement would be doing. (Note that some administrative agencies do allow non-lawyer agents to
represent people before them.) Various types of agency relationships are common. People regularly hire real estate agents, stockbrokers, insurance agents, talent agents and other types of representatives to hopefully protect their interests and negotiate for them. I routinely draw Durable Powers of Attorney for clients; this formally appoints another person to act for them as an agent for either broad purposes (giving them authority to manage all of their financial affairs if they become incompetent) or for limited purposes (giving authority for the one-time function of signing documents at a real estate closing that they cannot attend). Auto body customers almost universally appoint their shop to represent them in negotiating the cost of repair of their damaged vehicle. There is no required language that must be used to establish an agency relationship - except for certain specialty types of “Durable Powers of Attorney,” which are not relevant to the situation being addressed in this article. In fact, a writing may not be required at all to create an agency relationship, although it is certainly a good idea to establish it in writing, especially if you are going to be dealing with a resistant insurer. In Massachusetts, there is no requirement that a written appointment of an agent be witnessed or notarized. Moreover, by statute, a written New England Automotive Report
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[LEGAL] PERSPECTIVE document that appoints an agent is not even revoked by the person’s incapacity, disability or death if the agent is acting without actual knowledge of those issues. In response to one of the insurer excuses I have seen, it is clear that when a collision repair shop acts as an agent for their customer in negotiating a total loss claim, it has nothing to do with transferring the customer’s insurance. It is true that insurance policies are binding contracts with insureds that are not transferable, but that just means that the insured cannot transfer the insurance to another person or to another vehicle. It has nothing to do with the insured appointing the shop to be their agent to negotiate a claim on their behalf. The customer is merely appointing the shop to stand in their shoes for the purpose of negotiating on their behalf.
Also, what is true salvage value and the true cost to repair the car?
WhAT CAN you NegoTIATe for your CuSToMer? Once you have convinced your customer’s insurer that you are their insured’s legitimately appointed agent, what can you negotiate? Is the car truly a total loss? This is an issue on which you must be careful. Generally, under the standard Massachusetts auto insurance policy – on a first-party collision or comprehensive claim – the insurer has the ultimate right to determine whether a car should be totaled. It is strictly their option. The thought behind this is that if an insurer is going to pay their insured the true actual cash value of the vehicle, plus sales tax, towing, storage and substitute transportation (thereby fully reimbursing your customer for their loss), why should an insurer not have the final say? For many decades, the official position of the Massachusetts Commissioner of Insurance has been that the insurer always has the final say, and the policy reflects this. However, the vehicle owner may have more leverage on a third-party property damage claim. While third-party damages still cannot exceed the actual cash value of the vehicle (plus ancillary costs, such as sales tax, towing, storage and substitute transportation), there is no absolute right of the third-party insurer to declare a car to be a total loss, nor to take title to a total loss vehicle. But if the claimant retains the vehicle, then the insurer is only obligated to pay the actual cash value less salvage value. There is no statute, regulation or court case that definitively states what constitutes a “total loss.” But the
What is the ACV of the vehicle? Again, there is no strict definition of actual cash value. However, it is generally considered to be what a willing buyer would pay a willing seller in an arm’s length transaction (with neither party being under an obligation to act). This is all subjective; the value is in the eye of the beholder. Division of Insurance regulations give some guidance in the factors that should be considered, being: “(a) the retail book value for a motor vehicle of like kind and quality, but for the damage incurred; (b) the price paid for the vehicle plus the value of prior improvements to the motor vehicle at the time of the accident, less appropriate depreciation; (c) the decrease in value of the motor vehicle resulting from prior unrelated damage, which is detected by the appraiser; and (d) the actual cost of purchase of an available motor vehicle of like kind and quality but for the damage sustained.” But this is only guidance, and there is no indication which factor should be given the most weight in any given situation. Additionally, each of these factors is also subject to differing views: What is true “retail book value”? Is Edmunds or Kelley more accurate? Is their evaluation for a car truly “of like kind and quality”? If one person negotiated a better price with their dealer for a car than another owner of the same vehicle with the same equipment, which price governs? What is appropriate depreciation? That certainly is a matter of opinion. What is the true loss in value attributable to old damage? If an insurer can purchase a similarly equipped equivalent vehicle in San Diego for less money than in Massachusetts,
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generally accepted rule, which is hinted at in Division of Insurance regulations, is that a car is a total loss if the cost of repair plus salvage value exceeds the actual cash value of the vehicle. That said, it may make a difference – even if it is not supposed to – under these conditions: Whether the damage to the vehicle can be safely repaired at a reasonable price Whether the car is new or old Whether the vehicle is “high end” Whether the remaining loan on the vehicle exceeds, or is close to, the actual cash value of the vehicle, etc.
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Susan Brodeur IN MEMORIAM
which price covers the “actual cost” of a similar vehicle? Can a “contract repair” be negotiated? Division of Insurance regulations specifically allow for claimants and insurers to be able to mutually agree to allow the vehicle owner to keep their damaged total loss vehicle, if both parties agree and if the car can be repaired under a fixed “contract” cost of repair. Sometimes this option may be attractive to a customer – and to their repair shop and insurer as well. The customer gets to keep their “baby” and does not have to come with money out of their own pocket to pay off their remaining car loan. The shop gets to repair the car and gets paid to make the repairs. The insurer limits its liability to the contract repair price (which cannot exceed ACV less the salvage value), and does not have to deal with additional towing, storage and costs of sale of the salvage. Yet, be aware that there are limits to contract repairs. No supplements can be requested. If hidden damage is discovered, then either the customer or shop has to absorb the additional repair costs. The customer is required to obtain a salvage title. Neither the customer nor the shop will get paid until repairs are completed, a completed work claim form is submitted to the insurer and the insurer has re-inspected the vehicle. What miscellaneous costs might you be able to negotiate? Just because a vehicle is a total loss does not mean that the car owner may not be due additional ancillary costs. What are the true charges for towing and storage, and how many days of storage should be paid for? If a car was not declared to be a total loss until some repairs were made according to an insurer’s initial appraisal, what is the value of those completed repairs - which must be paid for on top of the total loss payment? What other costs do you and your customer believe are legitimately attributable to the loss and reimbursable by the insurer? CoNCluSIoN Whether you want to assist your customer in negotiating their total loss claim is your decision. But be aware that if you agree to do so, then your customer absolutely has the right to designate you as their agent for the purpose of negotiating such a claim. If you do become your customer’s agent, then also be aware of what you can and cannot negotiate. In the end, even if negotiations do not result in a repair job, perhaps you will at least produce a satisfied customer who will remember you the next time they have an accident or when some friend or relative is looking for a reliable repair shop.
MASSACHUSETTS BUILDING THE SUCCESS OF THE AUTO REPAIR INDUSTRY
Attorney James Castleman is a managing member of Paster, Rice & Castleman, LLC in Quincy, MA. He can be reached at (617) 472-3424 or at jcastleman@prclawoffice.com.
On February 23, AASP/MA said goodbye to Susan (Bill) Brodeur, who passed away at 66 following a lengthy illness. She was the mother of AASP/MA President Molly Brodeur and the wife of longtime CMARA and AASP/MA member Al Brodeur. Susan met Al during her sophomore year of high school, and they later enjoyed 46 years of marriage. The two opened Al Brodeur’s Auto Body in 1970, two years after graduating from Marlborough High School. The family enterprise soon built a strong reputation in the region that exists to this day, with their daughter Molly now running the day-to-day operations of the current two-location business. Remembered for her caring nature, love of her children and flower gardens, Susan’s greatest joy in life was spending time with her family. In addition to Al and Molly, Susan is survived by two other daughters – Laura Sanders and Alanna Grimm. She is also survived by grandchildren Chanson, Caden, Aria and AJ and a sister, Marian E. Gibson of Harwich. She was predeceased by her brothers David Bill and John Alan Bill. AASP/MA, its Board of Directors and New England Automotive Report offer our sincerest condolences to the Brodeur family for their loss. An extensive feature on Susan’s history in the Massachusetts collision repair industry will be presented in a future issue.
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SARAT FORD LINCOLN MERCURY 245 SPRINGFIELD ST. AGAWAM, MA 01001 413-786-0430 FAX:413-789-3715 www.saratford.com
© 2017, Ford Motor Company 30 April 2017 New England Automotive Report
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It Takes Genuine Honda Collision Repair Parts To Achieve a Genuine Honda Fit. Honda collision repair parts are engineered and manufactured to Honda standards. In the collision-repair business, time is money, and you can’t waste time on parts that almost fit properly. Use Genuine Honda replacement parts. Your reputation depends on it. For Genuine Honda parts, contact these Authorized Honda dealers. Bernardi Honda 960 Worcester Road Natick, MA 01760 Parts Direct: 800-247-3033 FAX: 508-651-1220 www.bernardihonda.com
Lia Honda of Northampton 293 King Street Northampton, MA 01060 Toll Free: 800-369-7889 Direct: 1-413-586-6043 FAX: 1-413-585-0502 www.liahondanorthampton.com
Honda North 382 Newbury Street Danvers, MA 01923 Toll Free: 800-882-9797 FAX: 978-774-9483 e-mail: eadams@iclautos.com www.hondanorth.com
Kelly Honda 540 Lynnway Rt. 1A Lynn, MA 01905 Parts Direct: 800-779-7466 FAX: 781-595-2898 e-mail: mpsomosjr@kellyauto.com
Honda of Enfield 20 Palomba Drive Enfield, CT 06082 Toll Free: 800-222-6632 FAX: 860-253-5419 www.liahondaofenfield.com
Schaller Honda 1 Veterans Drive New Britain, CT 06051 Toll Free: 800-382-4525 Direct: 860-826-2080 FAX: 860-826-2083 e-mail: jkiniry@schallerauto.com www.schallerauto.com
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Lundgren Honda of Auburn 525 Washington Street Auburn, MA 01501 Toll Free: 800-777-2044 FAX: 508-721-0872 e-mail:pmccarthy@lhonda.com www.lhonda.com
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[COVER] STORY by Joel Gausten
NO TIME
TO ARGUE: Why INSURERS must FoLLoW MANUFACtURER RECoMMENDAtIoNS If there was ever a time for repair facilities and insurance carriers to better cooperate for the benefit and safety of the vehicle owner, it would be now. With even basic model vehicles loaded with more sensors and trouble codes than we could have imagined just a decade ago, collision repair shops now have to incorporate pre- and post-repair scanning into their regular repair procedures (or at the very least sublet this work out to a facility or a service that can do it for them). Suddenly, what was once considered a practice reserved for mechanics has become an unavoidable necessity for collision repairers. To help shops maneuver through these developing technologies, various automakers have stepped up and issued position statements and other materials to help illustrate to insurers why these procedures have become so important. But as events in the Commonwealth and beyond continue to unfold, it is clear that some insurers are reluctant to adapt to these changes and ensure that shops receive suitable compensation for these steps. While shops and insurers duking it out over payment is nothing new, what makes this conflict so problematic when it comes to scanning is the fact that some carriers appear to be reluctant to acknowledge a method recommended by the most prominent vehicle manufacturers in the field. In 2017, it is critical that shops repair vehicles to OEM specifications – a point recently driven home by the most recent Collision Industry Conference in Palm Springs, CA, when Emerging Technologies panelist John Eck (General Motors) revealed the “concerningly low” and “unacceptable” results of a GM survey of approximately 800 collision repair facilities that uncovered that less than 20 percent pulled OEM repair data for every job. But if shops are to perform repairs to the
technological standards they face on a daily basis, they deserve to be paid accordingly. Below is one story closer to home that demonstrates why following OEM repair procedures is becoming mandatory – and how difficult it can still be to convince insurance appraisers of this need. BATTle lINeS IN BoSToN While nearly two dozen OEMs have issued position statements in support of pre- and post-repair scanning at the time of this writing,* not all industry stakeholders have embraced these procedures as being critical to the repair. During the March 1 meeting of the Auto Damage Appraiser Licensing Board (ADALB) in Boston, the growing chasm between professional repairers working to abide by manufacturers’ recommended procedures and appraisers unwilling to acknowledge the legitimacy of scanning widened even further during a heated – and illuminating – exchange between Board members Rick Starbard (Rick’s Auto Collision, Revere) and Joseph Coyne, Jr. (Home & Auto Appraisal Bureau Inc., Dorchester). The debate stemmed from the Board’s previous meeting on January 24, which saw Coyne recuse himself from a guest presentation by Jake Rodenroth of Collision Diagnostic Services on current scanning technologies including his company’s asTech interface (“Philosophies Clash during ADALB Scanning Discussion,” NEAR March 2017). Following up on the topic, Starbard opined during the March 1 meeting that Rodenroth’s appearance before the Board served a valid purpose. “I thought it was pretty good education to bring that issue to light. I think that it should, at minimum, have caused people to maybe do a little research and check some of the trade publications, manufacturers’ recommendations New England Automotive Report
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and all [things] surrounding that issue. But we are still getting some pushback – [from] very few [insurers], but they still exist. I get calls to my shop and have experienced it myself. I would hope that we as a Board and those who attend these meetings would take that information and bring it back to [our] companies in the hopes that we don’t start to see a trend of people with complaints filed against them for not following this new technology and the manufacturers’ recommendations, which all lead to a better repair and an indemnified consumer.” True to his previous position, Coyne remained unimpressed. “I understand that this is a hot topic, and I understand that this is a dealership recommendation – just like dealerships in the past have recommended that aftermarket parts not be used. But that’s not part of the regulation - just as this is not part of the regulation.” Coyne noted that although the ADALB recently voted to propose changes to state regulations in a matter that would officially embrace vehicle manufacturer recommendations, these revisions have yet to be adopted. “If the proposed changes are changed, then maybe this [will be] in front of us. But right now, we shouldn’t be discussing it. It’s a suggestion from the manufacturer… Maybe the manufacturer should start suggesting that once the vehicle is in the body shop, maybe it should not be started once the battery has been disconnected and so forth, and maybe these codes will occur or won’t occur. If they’ve been occurring for the last nine years and we’ve been neglecting it, once again, I’m going to ask, where is all the carnage? What happened in the last nine years because nobody did a pre-scan, a post-scan, a ‘thereafter scan,’ a road test and I don’t know what else?” Starbard argued that performing pre-and post-repair scanning enables technicians to better guarantee the quality and safety of their work at a time when vehicles are often subject to constant remote monitoring. “Every two weeks, I get emails from GM and Chrysler for two of my vehicles that give me my ‘weekly heath check’ that tells me how many miles are on my car, what the tire pressure is on my car, any codes [and] what the health of the oil is.” Expanding on this point, he explained that companies as varied as Verizon and Meineke are capable of monitoring vehicles via onboard computers and can inform owners when codes become present, regardless of whether such codes trigger a dashboard light. This adds an even greater need for shops to perform scans, since technicians often move vehicles around the premises during the repair process. For example, moving a vehicle with a door or PARKTRONIC bumper removed could impact a code. “There’s no way that you can avoid starting the car once something has been removed,” Starbard said, adding that this could open the door to considerable trouble for a shop if a scan is not performed once the repair is completed. 34 April 2017
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“I repair the car, it doesn’t get scanned, we detail it and send it down the road. Now, the consumer gets an email – whether it be from Verizon, Meineke, the manufacturer, whatever – [saying], ‘Hey, we’ve just noticed these codes have presented themselves; you’ve got to get it in for service.’ [The consumer] says, ‘I just had my car at the body shop. These guys just hacked my car!’ It’s part of the repair; it’s necessary.” “That is your opinion,” countered a visibly agitated Coyne. Starbard held firm in his support of following the OEM’s position on the matter. “Cars are changing…[Scanning] is part of performing a safe repair,” he insisted. “The vast majority of the codes that are present on the computers don’t trip a light. Lights are for consumers; scan tools are for technicians.” Shortly thereafter, Coyne voiced perhaps the most incendiary words publicly uttered since the first position statement on scanning hit this industry: “If we start following manufacturers’ recommendations, then the consumer will be paying $70,000 a year to insure their car.” How could he top a statement like that? That remains to be seen (or heard), but what he said next came pretty close. “This Board was created for the consumer, not to straighten out how much a body shop gets paid for paint and materials and whether they should get paid for a scan or not. That’s why we’re under the Division of Consumer Affairs; it was created for the consumers to make sure the consumer was getting a fair shake…We’re not here to settle disputes all the time between body shops and insurance companies; we’re not arbitrators. As long as we’re following the CMRs that regulate us…We’re not arbitrators here; there’s an arbitration clause in the [insurance] policy to follow.” “That makes no sense,” retorted Starbard. This was no ordinary ADALB meeting; this was a textbook example of the friction that exists between shops and insurers across the country when it comes to repairers receiving proper compensation for bringing a vehicle back to pre-loss condition per the OEM’s guidelines. Undeterred by the argument, Starbard made it clear that he fully intends to pursue complaints with the ADALB if he encounters insurers that don’t allow for scanning expenses. Coyne welcomed the challenge. “Bring your complaints forward and let’s see what happens,” he said. The next few months should be very interesting. *These position statements can be accessed for free at oem1stop.com. Video of the March 1 ADALB meeting is available in the Members Only section of aaspma.org. MASSACHUSETTS BUILDING THE SUCCESS OF THE AUTO REPAIR INDUSTRY
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Kelly Nissan of Lynnfield 275 Broadway (Route 1) Lynnfield, MA 01940 Toll Free: 1-800-698-9280 Fax: 781-598-8026 E-mail: BSherman@Kellyauto.com
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[NATIONAL] FEATURE by Tom Slear
CoLLISIoN REPoRtINg CENtERS: ANothER PoSSIBLE tRAP FoR ShoPS? Two thoughts typically come to mind when stopped for minor traffic infractions such as a broken taillight or exceeding the speed limit by a few miles per hour. The first: “This is *#@@#**#@!” The second: “Why aren’t the cops chasing real criminals?” Most police would question the first reaction but not the second. Take, for example, driving accidents where no one is hurt and property damage is slight. Police typically spend up to 45 minutes at the accident scene collecting information and another hour writing a report. It’s tedious work that has little to do with protecting the community.
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Small wonder that Howard Hall, the police chief of Roanoke County in southwestern Virginia, took interest several years back when he heard snippets of a revolutionary system in Canada for handling traffic accidents. In 2014, he got the details. At a Virginia Association of Chiefs of Police conference, Accident Support Services International talked about freeing police from the burden of preparing accident reports. The drivers bring their cars to “collision reporting centers” (CRCs) instead of the police going to accident scenes. ASSI takes care of the rest. Hall was impressed, particularly since ASSI, a
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Canadian company headquartered in Toronto, wasn’t spouting hypotheticals. They had a 20-year track record in Canada. Most important to Hall was the bottom line. Like all other public servants tied to a budget, his major concern was: How much? The taxpayers wouldn’t pay a cent, he was told. ASSI would foot the entire bill for facilities, manpower, training, software… everything. Hall was tempted to dance the Macarena. Two years later, the first – and to this point, only – collision reporting center in the US opened in Roanoke as part of a pilot program that will last through 2017. Hall concedes that there have been some bugs with software compatibility, but they are minor and solvable. For the most part, he gives Roanoke Accident Support Service, ASSI’s local subsidiary, two thumbs up. But there’s a catch for body shops. ASSI makes its nut by billing insurance companies. What Hall views as nothing but a plus for his police department and the driving public could be another trap for collision repairers. If Canada offers a model, Roanoke’s reporting center represents a gentle introduction to a system that will ultimately refashion how police in the US deal with vehicle accidents. The rules of Roanoke’s program require a police officer at every accident scene. However, if the cars are drivable and no one is hurt, the officer will send the drivers to the reporting center. (If there is an injury or if government vehicles, pedestrians or hazardous materials are involved, then the police will stay at the scene and complete a report no matter how minor the damage. Criminal activity, such as drunk driving or hit-and-runs, also rule out the reporting center.) ASSI employees at the center will prepare the accident report and if the driver wishes, contact the insurance company. Five months into the pilot program, the center has written reports for roughly 100 accidents per month, which equates to an extra 500 police hours. Drivers have enjoyed the luxury of a onestop process. They leave the reporting center with the accident report done and their insurance company notified. Insurance companies receive accident reports, including pictures of the damage, promptly. ASSI is paid by the insurance companies either per report or a flat rate over a specified period. At least there is a plausible case to be made for no steering taking place. ASSI’s dozen employees at the Roanoke center are local hires and have no professional relationship with any insurance company. Also, the rules of the program and Virginia law are unequivocal. “The only thing the center is allowed to do is provide information to the car owner’s insurance company,” Hall says. “They can’t make recommendations of body shops. Posted in the reporting center is a notice of Virginia law that allows people to pick a [repair] center of their choice.” Excluding extenuating circumstances, drivers in Roanoke have 48 hours to show up at the reporting center with their damaged car. According to Ken Eagleson, ASSI’s vice president of US insurance programs, 50 percent have done so within four hours; 80 percent within 24 hours. Less than three percent have failed to show. Drivers don’t seem to mind this new way of doing things, or at least not so much to engage in any sort of civil disobedience.
Collision Reporting Centers: A Massachusetts Perspective With the concept of “collision reporting centers” clearly raising a few eyebrows in Virginia and beyond, we wanted to bring the topic closer to home. After presenting Massachusetts auto industry attorney James Castleman with this article and additional local news coverage from the Roanoke area, we decided to get his take on the matter. “At least as it has been portrayed, I don’t see any Massachusetts laws or regulations prohibiting a system like that from being put in place,” he offers. “The question is, what really happens in practice? Is it used as a means to allow these insurers to steer customers, or is it used to reduce tow costs somehow? Also, why do the police want to get involved in making a decision about whether a vehicle is drivable or not? I can’t understand why this would be such a time saver for the police. I’m not aware that they spend huge amounts of extra time at accident scenes. The more serious accidents where they are going to have to spend more time wouldn’t be affected by this anyway. I don’t see any great advantages to the police.” Although the current Roanoke center includes signage informing drivers of their right to use a body shop of their choosing, Castleman questions what could happen if insurers decided to pursue a similar “collision reporting center” concept in other states. “It raises the red flag to me. I think the potential for steering would increase tremendously if these places were to be manned by insurance personnel.” Multiple insurers were contacted by New England Automotive Report for this story; those that responded to our inquiries refused to comment, stating that it was too early in the program’s development to issue statements to the press. The true incentives for insurers and police to get involved in a project of this nature – and indications of whether an undertaking like this would ever see the light of day in the Commonwealth – remain murky at best.
continued on page 47 New England Automotive Report
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[AASP/MA] MEMBER SHOP SPOTLIGHT
BoStoN BoDy WoRkS:
O
fast track in a fast World
riginally, Patrick Cibotti was just a car guy who spent most of his free time drag racing, but he soon realized he needed to invest more energy in learning about what goes on inside the vehicle. His true passion for the industry pushed him to explore all avenues, and he ultimately became a body man. “I would buy damaged cars, repair them and sell them. Then, all of a sudden, people started reaching out to me to repair their cars. The next thing I knew, I had my own body shop in South Boston, Pat’s Auto Body.” After years of running a successful collision repair shop, Cibotti decided it was time to switch things up. He was no longer satisfied with the name “Pat’s Auto Body” because he didn’t want customers to think this was a one-man operation. He decided to change the name of his shop to a more prestigious title, Boston Body Works (BBW). With this small change, Cibotti had revamped his shop’s entire image, which led to the increase and expansion of his clientele throughout the Boston area. A big selling point for the 9,000square-foot facility is that they perform something called “fast track repairs,” in which consumers can bring their damaged vehicle to the shop and have it repaired within 24 to 48 hours. “A lot of the cars that we repair in our shop are from the city, so the damage is usually the result of a fender bender or a light impact. We make things easy for the consumer by allowing them to drive their vehicle while we repair a part or order the parts needed. A lot of our consumers have resident street parking that requires a sticker on the vehicle to be in view at all times, so getting a rental car isn’t really an option for them. As soon as everything is ready, the consumer comes back into the shop and gets their car back that day. They can sit and wait or go across the street to have a cup of coffee.” Because Boston Body Works offers this service to their consumers, the shop’s 13 employees are able to service more than 42 April 2017
Boston Body Works is an active and accomplished member of the AASP/MA community. Inset: Patrick Cibotti and Beatriz Diaz of Boston Body Works during the 2015 AASP/MA Casino Night
80 cars a month. It is important to remember that these “fast track repairs” do not apply to every car or every consumer and are strictly based on the severity of the repair. (Their average repair cost last year was $2,500.) If Boston Body Works has the ability to accommodate the consumer safely and efficiently, they will do everything in their power to make the repair experience smooth, quick and easy. In addition to servicing the busy consumers of Boston, BBW is also heavily involved with the apprenticeship program at the local Madison High School in an attempt to recruit young people into the industry. “We take high school students in to gain experience. They either stay here or choose a different trade, but for the most part, the employees I have working here are from Madison High School and have been with me since their apprenticeship program. With that being said, in today’s world, everyone is so gadget-oriented and not interested in repairing cars. The industry needs to find a way to appeal to that generation and get young folks excited. If I were to post an ad for a technician with a starting salary of $75,000, you better believe I would have dozens of candidates knocking on my door, but unfortunately no
New England Automotive Report
one in this industry is compensated even close to what they should be paid.” Cibotti urges his fellow AASP/MA members to get involved in supporting their area vocational schools. “The schools need our help more than ever. It is really up to us to find the talent in these classes and support these kids as they work their way into the industry. We also need to work with the instructors and make sure they’re getting what they need to teach these kids properly. Our future depends on us being there on the ground floor and helping these programs along.” As frustrating as this industry can be, Cibotti finds comfort in knowing that he has support from AASP/MA, who are fighting every single day to help technicians receive adequate funds. “They have great resources. If I don’t know something or need a point of contact, I can call up the association and they will direct me to the right person to speak with. It’s almost like the industry’s own version of Google; it’s a great support system. If you want to be successful in this business, you have to stay aligned with an organization like AASP/MA.” MASSACHUSETTS BUILDING THE SUCCESS OF THE AUTO REPAIR INDUSTRY
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2017 MEMBERSHIP APPLICATION MASSACHUSETTS BUILDING THE SUCCESS OF THE AUTO REPAIR INDUSTRY
As a member of the Alliance of Automotive Service Providers of Massachusetts (AASP/MA), I will abide by the association’s bylaws and code of ethics. I understand that membership in AASP of Massachusetts is non-transferable, and I must remain current with my dues in order to be a member in good standing. I understand that if I discontinue my membership that I must immediately cease using any association promotions, logos or materials. Additionally, I understand that as part of my AASP of Massachusetts membership, I will receive New England Automotive Report, the official publication of AASP of Massachusetts, faxes, emails and other mailings.
*** PLEASE tyPE oR PRINt LEgIBLy *** Primary Contact Name: ________________________________________________________________________________________________ Business Name: ______________________________________________________________________________________________________ Street Address ________________________________________________________________________________________________________ City
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MEMBERSHIP TYPE (check one) Collision Repair Shop
ACCOUNTS PAYABLE CONTACT: Name: __________________________________________________
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AASP/MA CHAPTER (check one) MidState Southeastern Northeastern Western
(The AASP membership year is from January 1 to December 31, 2017)
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$425/year - BESt VALUE!
Monthly & Quarterly Dues are Automatic Credit Card Transactions ONLY*
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PLEASE CoMPLEtE thIS MEMBERShIP APPLICAtIoN AND REtURN It WIth PAyMENt to AASP-MA oFFICE. 12 Post office Square, 6th Floor • Boston, MA 02109 Phone: (617) 574-0741 | Fax: (617) 695-0173|jzywien@aaspma.org As required by the U.S. Tax Code, AASP of Massachusetts, Inc. informs its members that 75% of the dues paid to the association are tax deductible. The remaining 25% is allocated to legislative activities and is not tax deductible. New England Automotive Report
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[NATIONAL] FEATURE continued from page 41
As for the police, “I don’t see any downside,” says Hall. The pilot program likely will expand in scope and spread to other areas. “Reporting centers make all sorts of sense,” says John Norris, executive director of the Collision Industry Information Assistance, a Canadian trade association with a membership of more than 300 body shops. “They will spread [in the US] like wildfire once the police realize they can save all of this money. I’m surprised it took [ASSI] 20 years.” More worrisome for shops is what happens when the experiment in Roanoke expands. In Toronto, where reporting centers have been around for two decades, police were dispatched last year to only 19 percent of the 70,000 vehicle accidents within city limits. Reporting centers handled the rest – some 56,000. The centers started out in Toronto in the mid-1990s just as the one has in Roanoke, but over the years the bar for using them has moved lower and lower. Current policy dictates that if a car is disabled, it gets towed to a reporting center. If drivers are injured, but not seriously enough to require an ambulance, they go to a reporting center. Meanwhile, police officers man the centers and prepare reports. (In Roanoke, police check the work of the ASSI employees.) Insurance representatives are also at the centers. The Roanoke reporting center will be involved with roughly 1,200 accidents throughout this year, hardly enough to get the insurance industry’s attention. That will certainly change when reporting centers catch on in major urban centers in the US and Toronto-like accident numbers begin to surface. “CRCs are definitely a reason for concern,” says Josh Fuller, president of Fuller Auto Body & Collision Center in Auburn. “But like anything else, there is also opportunity. Are you close geographically to that CRC? What do you do to provide a differentiating factor from your competition that makes you a good partner with that CRC?” “The collision industry has to get in on the ground level to make sure
this is working fairly,” says Norris. “Shops have a lot of leverage. The police don’t want to be seen as recommending one shop over another.” MASSACHUSETTS BUILDING THE SUCCESS OF THE AUTO REPAIR INDUSTRY
tom slear is a freelance writer based in Annapolis, md. he has written extensively about the collision repair industry over the last 30 years.
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GOT CLUTTER??? If you have unused, unwanted tools, equipment, parts or materials taking up valuable shop space, ÃÌÊÌ i in New England Automotive Report. Let us find someone who wants your stuff!
Fill out the form below and fax to (973) 235-1963 or email to joel@grecopublishing.com MAKE SURE TO LEAVE A CONTACT NUMBER & EMAIL WHERE POTENTIAL BUYERS CAN REACH YOU.
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FOR SALE
offer
Contact: Gary (413) 562-0321
W
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A
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AUT M TIVE
A LEFT uniside panel with full quarter panel. Bought new. Fits a 2015 Buick LaCrosse. GM Part # 22997609 List price is $931.83. Cost seller $698.88. Panel is missing a section of the lower front rocker area from the "A" pillar to the "B" pillar
Will sell for $250 or best
E
Will sell for $250 or best offer
Two Pro Spot welders
AD INDEX Accudraft Paint Booths ............................OBC Audi Group ....................................................26 Audi Shrewsbury ..........................................31 Axalta Coating Systems ..................................6 BASF ..................................................................9 Balise Wholesale Parts Express ......................4 Best Chevrolet/Best CDJR..........................IFC BMW Group ..............................................16-17 BMW/Mini of Warwick ................................11
One is new and usable; second can be used for spare parts
$1,200
Colonial Auto Group ....................................21 Empire Auto Parts..........................................23
Location: Manchester, NH
Enterprise ........................................................37
(price negotiable)
First Ford ........................................................15
First Chrysler-Dodge-Jeep-Ram ..................15
Contact: Lucie Ducharme (603) 624-4086 jenniferp@henrysab.com
Continental Flat Rack with two pulling towers, one tower dolly, four clamps and complete UMS (universal measuring system).
Imperial Ford ..................................................45 Ira Toyota of Danvers ....................................12 Kelly Automotive Group............................IBC Kia Group........................................................24 Linder’s, Inc. ..................................................50 Long Automotive Group ..............................19 Mazda Group..................................................36 McGovern Chrysler Jeep Dodge Ram ........37
or kevin@capeautobody.com
Excellent condition
Located in Walpole, MA
Mercedes-Benz of Shrewsbury ....................29
$650
(price negotiable)
Contact: Ed Balabanis (508) 668-8041 or Balshop1@gmail.com
New Left Rear ¼ Panel for VW Jetta 2005-2010 w/ small rocker section removed. Excellent condition.
$75
FutureCure ......................................................47 Honda Group..................................................32
Ira Subaru........................................................13
Contact: Kevin (508) 747-0316
Model years 2006-2007
Ford Group ....................................................30
Hyundai Group ..............................................39
$5,000 or best offer
Rear Liftgate for a 2006 Honda Odyssey (paint code R519P)
First Hyundai..................................................15
Location: Seekonk, MA Contact: Dickie-David Cabral (508) 336-7550 or srow@fullchannel.net
Mopar Group....................................................5 Nissan Group..................................................37 PPG ....................................................................3 Robertsons GMC Truck ................................50 Sarat Ford Lincoln..........................................46 Sentry Group ..................................................25 Tasca Group ....................................................44 Toyota Group..................................................20 Volvo Group....................................................35 VW Group ......................................................45 Wagner BMW of Shrewsbury ......................31 Wagner Kia of Shrewsbury ..........................31 Wellesley Toyota/Scion ................................44 Wheel Collision Center ................................23
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