In the collision repair industry, the word “NO” is often used by insurance companies, their staff, independent appraisers and internal adjusters to abruptly end discussions. However, this shouldn't be the case. “NO” should instead initiate a two-way conversation. It's crucial for vehicle owners and shop owners to understand that they too can say “NO” to an insurer.
As an industry, we should view an insurer's “NO” as a request for additional information, specifically documentation. Proper documentation has repeatedly been proven as an effective way to change a “NO” to a “YES.” For instance, a shop owner in the Worcester area has adopted the practice of creating a file for every disagreement, a method utilized by
many successful shops. Today, many vehicle owners and shops recognize the power of the word “NO.”
When insurers attempt to underpay claims or declare a vehicle a total loss, asserting “NO, that is unacceptable” during the settlement process is highly effective. It's imperative for more vehicle owners to advocate for themselves using this approach. While you, as a collision repair expert, can provide documentation, it's ultimately the vehicle owner's decision whether to pursue their insurer for full reimbursement. Pairing “NO” with “WHY” is a potent strategy for holding insurers accountable for their actions in the claims process. Demanding justification for denial forces insurers to provide valid reasons. Insisting on seeing where in the insurance policy it states the denial is a reasonable request. This persistence, akin to a child asking “WHY?” until satisfied, has led to more fair reimbursements for procedures and labor rates.
Repair shops adopting this approach understand that the issue lies between the vehicle owner and their insurance company. They grasp their role, responsibilities and liability. They realize that a properly prepared and documented “blueprint” and “repair plan” form the basis for fair compensation. The days of vague estimates are over; today, professional repairers must defend their detailed plans.
If you've meticulously prepared a “blueprint” and “repair plan,” deviating from it makes little sense. Allowing an
continued on pg. 38
Affiliate
Angelo
Jayce
Gregg Tanguay
Scott Varney AASP/MA
“Lucky” Papageorg
Membership Application 2024-2025
P.O. BOX 850210
Braintree, MA 02185
Phone: 617-574-0741
Fax: 973-235-1963
Email: admin@aaspma.org
Please complete this form and return to our office via mail, email or fax with your dues payment. Thank You!
As a member in good standing, your shop WILL BE listed on our website Click here � if you do not want your shop listed on our website map for potential customers to find you. If you have any questions about this benefit, call (617) 574-0741, ext. 1.
Yes � Please send me information regarding the following MONEY SAVING BENEFITS: � Dental plan � Healthcare plan � Credit card processing � FMLA savings program � Grant writing/training � Google presence optimization � All benefits
PLEASE ENCLOSE PAYMENT WITH YOUR MEMBERSHIP APPLICATION
Check# : _______________ (IF collision shop please note your RS# on the memo line of the check) OR CC #: ______________ EXP: ________/___________ CID: _________________
Name On Card: _____________________________________________ Signature: _____
Check here � to opt out of auto renewal using this credit card information for future renewal
Note: A 4 percent convenience fee will be charged for membership renewal via credit card transaction
I hereby make this application for membership with the Alliance of Automotive Service Providers of MA (AASP/ MA) for membership dues 2024-2025 as provided for in this contract.
*Membership Dues are for a twelve-month period commencing on your anniversary month of membership.
12/23
by Chasidy Rae Sisk
Keeping a Clean Table at the ADALB
Although the Auto Damage Appraiser Licensing Board (ADALB) entered its May meeting with a full agenda of items to discuss, votes to table topic after topic quickly cleared their plate.
The Board reviewed a request to approve a course of instruction for motor vehicle damage appraisals, which was submitted by AASP/MA Executive Director Lucky Papageorg and designed to prepare students to successfully complete the Part-I and Part-II portions of the examination for motor vehicle damage appraiser licensure. The proposed course was approved by the ADALB in January 2017 for Springfield Technical Community College and was most recently used as the basis for the MVDA course taught at Blue Hills Vocational and Technical High School.
At first, Board members Bill Johnson (Pleasant Street Auto; South Hadley/Belchertown) and Carl Garcia (Carl’s Collision Center; Fall River) argued that there was no need to approve the course since it had already been approved, but upon receiving clarification that the course was being renamed, they expressed a different opinion. “We’re going to need a syllabus, even though it’s an adopted syllabus,” Garcia acknowledged.
Papageorg indicated that he had submitted an outline and the syllabus to Attorney Michael Powers via email, but Powers denied having received it. Garcia made a motion to table the discussion, allowing Papageorg to submit a syllabus and outline on behalf of AASP/MA to review at the next meeting.
Moving on to the review of proposed amendments to the
ADALB’s Regulation, 212 CMR 2.00 et seq., Board member Peter Smith (MAPFRE) indicated that he and Garcia have engaged in discussions around some housekeeping items, such as the process of applying for and renewing licenses as well as some of the language in the regulation that needs to be updated. “One of the things we agreed on is that we need to look at the definitions,” Smith said.
Garcia indicated that he and Smith plan to share a presentation on the definitions. He feels it’s imperative to start with the definitions first because “It falls right into good housekeeping. If the definitions don’t tie in, we’re going to be cleaning the house only to get it dirty again. Once we get through the definitions, we can move to the next step, but let’s not dirty the house until we at least get it organized first.”
With an unanimous vote, the ADALB agreed to table further discussion of the regulations until the next meeting when the Board can proceed with reviewing the definitions.
The ADALB was scheduled to reconvene on June 25. Don’t miss detailed coverage of the meeting, only available in the June issue of Damage Report, AASP/MA’s members-only newsletter.
AASP/MA members are strongly encouraged to listen to the recording of the May 14 meeting in the Members Only section of aaspma.org for a glimpse into the inner workings of the ADALB. View the meeting agenda at bit.ly/ADALB051424.
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by Chasidy Rae Sisk
New England Shops Celebrated as Collision Warriors at Spartan 300 Symposium
Spartans – Greek warriors renowned for their abilities over 2,500 years ago – were known to be the elite among soldiers of their day. They did not take up arms only when battle raged; they trained constantly in order to be prepared when the need for war arose. And their formidable courage allowed no trepidation even when they were vastly outnumbered.
Auto body shops often indicate a feeling of being “the only one,” but similar to the warriors of ancient Greece, the Collision Advice Legacy Group Spartan 300 serves “to bring together likeminded individuals to take a stand for safe and proper repairs and change the course of history.” Last month, Mike Anderson (Collision Advice) and his team celebrated the best of the best during the 2024 Spartan Symposium, recognizing shops for everything from Customer Convenience to Estimating Accuracy, Scanning Compliance and more.
Congratulations to AASP/MA member shop Akiki Auto Repair (Hyde Park, MA) and fellow New Englander North Haven Auto Body (North Haven, CT) on their awards!
Akiki Auto Repair received the coveted Spartan Rookie of the Year award. Presented by Milva Paton and Charel Lock of
Collision Advice, the annual achievement honors a rookie Spartan member who wholeheartedly embraced everything the Spartans stand for.
“Earning the respect of our colleagues is an important component to our definition of a successful business,” Elias Akiki, owner of Akiki Auto Group, wrote on Facebook when he accepted the award. “Dad, this one is for you.”
This achievement is particularly meaningful to Akiki for several reasons. “First, it was awarded by our colleagues in the industry, and these particular shops are some of the best in the world,” he explained. “The third reason is about what makes them the best in the world – to become a member of the Spartans, there isn’t a high monetary fee; instead, there’s a strict requirement for honor and integrity. This group puts a lot of emphasis on doing the right thing, and it’s really special to receive an award from these specific colleagues.
“It feels great to be recognized for simply doing the right thing for our customers,” Akiki added. “It inspires us to continue doing those things and to best our previous ‘best.’ I believe that anyone who continues to do the right thing will also continue to be recognized for it. It really sets a new standard for us to shoot for.”
North Haven Auto Body was recognized with the award for Repairify Top Volume for Total Calibrations Performed, which was based on the highest number of calibrations performed with asTech per location and presented by Andy Noyes (asTech).
North Haven Auto Body received the Repairify Top Volume for Total Calibrations Performed award.
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GENESIS OF WEST WARWICK
405 Quaker Lane
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TOLL FREE: 800-992-6220
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“We received an award for most diagnostic services performed,” noted North Haven Auto Body owner Robert McSherry. “We follow manufacturers’ repair procedures, and diagnostics play a big part in doing this correctly. We use asTech along with multiple factory scan tools we have on site. The scan tools assist in painting a far more complete picture in proper damage assessment. It’s another vital tool in the ever-growing toolbox we utilize on a daily basis. Today’s vehicles are computers on wheels, and they want to communicate what they discover.”
Learn more about Collision Advice’s Legacy Group Spartan 300 at collisionadvice.com/spartan-300.
Akiki Auto Repair was named Spartan Rookie of the Year.
Pictured L-R: Charel Lock (Collision Advice), Elias Akiki (Akiki Auto Repair) & Milva Paton (Collision Advice)
Pictured: Andy Noyes (asTech) & Robert McSherry (North Haven Auto Body)
Passenger & Commercial Repairs No Longer a Big Worry Thanks to the Big-Bench Frame Machine
Collision repair facilities seeking big solutions to every size job that comes their way need look no further than the Big Bench universal frame machine and bench system. This hybrid drive-on / drive over system is specially designed to accommodate all passenger vehicles as well as select commercial vehicles. Its new pulling tower provides smooth and accurate 180º movement, with optional removable side ramps to cater to vans and extra-long sedans, while double safety device and twin lifting arm features ensure that you can trust the accuracy of every lift and adjustment. The basic package includes a 10-ton pulling unit, mountable on any of the four sides of the bench, as well as a pad set, arms for clamp set, high clamps set, electrohydraulic unit and wheel stands set. Additional towers can be added if needed to assist technicians in repair. This universal bench system is the comprehensive solution for most auto body shops.
Whether you’re dealing with a minor fender bender or a major collision, the Big-BENCH is versatile, precise and able to make meticulous adjustments to ensure vehicles are restored to the highest standard. Additional accessories including pulling tower extensions, clamps, anchoring systems, adaptors & convertible ramps are
The Big-BENCH universal frame machine and bench system is designed to handle any size job with accuracy and versatility.
available. Contact Reliable Automotive Equipment today to learn more about the Big-BENCH universal frame system and our wide variety of products, training and support at raeservice.com
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If anyone should know the ins and outs of the ADAS world, it’s Owen VanEck. He’s come at it from all sides, thanks to his experience in the automotive world. A former estimator and former ADAS technician, it was only natural that VanEck would come to find his own business devoted to making ADAS calibrations more accessible and more affordable for today’s technician.
VanEck is the founder and CEO of ADAS Find, an ADAS identification software that made its official launch in late 2023.
“Body shops or calibration businesses can input estimates into the software, and in return, we create a report in just a couple seconds to determine the required ADAS calibrations for that car as well as the repair procedures,” explains VanEck. “We identify what calibrations are necessary via the report, and we include the links from the manufacturer to prove that calibrations are required.”
Documentation is key toward repair planning, not to mention the role it plays when it comes to billing for necessary
procedures with the insurance company. ADAS Find “also provides research fees to bill the insurance company, for a sense of return on using the software,” according to VanEck.
“When I worked in the field, I noticed the lack of utilizing a tool like this,” he elaborates his reason for launching this venture. “Our software is similar to other well-known ADAS software. While working as an ADAS calibration technician, I was encouraged to get customers to use software like this. A lot of people did not want to use it because they found it to be expensive and could not justify the cost. We started ADAS Find to provide another option to the industry, one that was not extremely expensive, so people don’t have to pay a ton of money to have a way of catching these requirements when fixing cars.”
Through their research in creating the ADAS Find tool, they found they’ve been able to improve upon it. “We’ve found a way to make ADAS Find be more consistent as we use a different source for how we provide requirements. Typical tools out there use ALLDATA. Because I work in the
industry, I have access to a lot of documents, so we created our own table of requirements instead. The reason we did that – as great as ALLDATA is – there are few hiccups that would be missed along the way. We wanted to make our software as best and cost effective as possible by using our own table. It also gives us a bit of an edge over the competition.”
VanEck put gears in motion in January 2023 to develop ADAS Find, and it’s been quickly growing its footprint since it officially opened to the marketplace in midOctober. Based in Michigan, the company is serving the entire US and Canada. “We are looking to expand as much as possible, including outside the US and Canada.”
ADAS Find is being utilized by shops in Massachusetts and has gotten involved with AASP/MA. The company recently came on board with the Alliance’s Vendor Affinity Program as a Silver level sponsor.
VanEck was introduced to AASP/ MA through Board member Don Dowling (Marblehead Collision), who has been a customer since last December. “Don is a great customer. He provides great feedback, and he told us about AASP/MA, suggesting we get involved. Don is a great guy, and we wanted to show our support and connect with other shop owners like him.”
Providing solutions and easy access is what ADAS Find is all about.
“ADAS continues to grow, and we want to do our part in helping to provide an ease of understanding around it. As it continues to grow and become more complicated, we want to provide an all-in-one resource of knowledge in addition to the tool. When I was an ADAS technician, part of my job was to educate people on why we perform these calibrations and why they are necessary and important. We want to provide a platform that will provide ease of access to what they need, so there is no need to spend hours on the internet trying to find information on all the different complicated systems. That is what we are looking to provide.”
COLLISION SIMPLIFIED
“Gary, I wanted to thank you for your continued support for my latest purchase of the Autel ADAS Calibration system. You provided the training we needed and most importantly you provided a direction when calibrations needed a little more technical advice. I’ve had the good fortune of finding you many years ago to supply my necessary computer scan tools to stay current and relevant in this everchanging environment.
I use the analogy of running a business is like being a captain of a ship. My job is steering the ship and plugging the money holes all while navigating into calm profitable waters. After 36 years in business, I can say buying from you and attending many of your Technical Training classes has directly facilitated my continued success in the Auto Repair business.
I’ve owned the Autel ADAS system for over a year. HUGE Success.
Your extensive technical training background has led you to a great business opportunity to provide a valuable needed service that many garages and body shops don’t provide. Most cars leave body shops and repair facilities not getting the necessary Calibrations. The more I know the more I see the opportunity to make cars safer for everyone. One of the lessons I’ve learned is that business owners don’t tell other businesses where their Honey hole is. Buying from you with your training and after purchase support is a honey hole they don’t have to miss out on.”
Bill Murphy, Owner Auto Clinic -Pepperell, MA
GENUINE NISSAN PARTS MAKE ALL THE DIFFERENCE.
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Contact these Nissan dealers for all your parts needs:
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Quirk Auto Dealers 115 E. Howard St. Quincy, MA 02169
Toll Free: 877-707-8475
Balise Nissan of Warwick 1350 Post Rd. Warwick, RI 02888
TOLL FREE: 800-992-6220
FAX: 800-254-3544
wparts@baliseauto.com
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AASP Leaders Tour 3M Training Facility in Minnesota
AASP/MA Executive Director Lucky Papageorg joined fellow leaders of AASP National recently for a tour of the 3M training facility in St. Paul, MN. AASP National leaders learned about the equipment, extensive training and the importance of the proper use of the product while being led through the state-of-the-art 15,000-square-foot facility.
Front Row: Lucas Underwood, Tricia Sauls & Judell Anderson. Back Row: Barry Burkholder, Tom Elder, Bob Gottfred, Ken Miller, Will Latuff, Dan Sjolseth, Lucky Papageorg & Avi Olitzky
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IRA Toyota Danvers
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Grieco Toyota 415 Taunton Ave.
East Providence, RI 02914
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Bernardi Toyota 1626 Worcester Road
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BMW of Stratham 71 Portsmouth Avenue
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Navigating the rapidly advancing technology of the collision repair industry has created many challenges for shops as they struggle to keep pace with all the changes happening on what seems like a daily basis. These days, properly repairing vehicles requires investing in specific tools, equipment and training – all of which vary drastically depending on the vehicle make and model.
It can be difficult to see the forest for the trees, but technology truly presents some amazing opportunities for those who are willing to take a step back and embrace some different ways of proceeding. The path forward may look different than previously imagined, and many industry professionals believe the map to a successful future circles around the concept of specialization. Because modern vehicles are so complex, many shops recognize the benefits of obtaining certifications from specific OEMs instead of trying to repair everything that comes in their doors, thus working with advancing technology instead of working against it.
What exactly does it mean to specialize? The Merriam-Webster dictionary primarily defines specialization as “to concentrate one's efforts in a special activity, field or practice,” but an alternate meaning makes even more sense when talking about specialization in the collision industry: “to change adaptively.” After all, that’s precisely what shops need to do to stay at the forefront of the field
these days – change and adapt in keeping with the technology that constantly does the same.
Change is never easy, but as shops around the country adapt to the reality that repairing every vehicle make and model may not be feasible, many see specialization as the path to future success.
“We need to look at it like we are the doctors for the vehicles; doctors specialize,” suggests AASP/MA Executive Director Lucky Papageorg. “We cannot be all things to all people – if shops try to be everything to every car out there, they are shooting themselves in the foot. Specializing results in a higher ROI, plus it helps with workflow and cycle time since the shop’s technicians become more familiar with specific makes and models.”
According to the New England Automotive Report 2023 Industry Survey, 38 percent of Massachusetts shops were already certified by at least one OEM, while 18 percent of respondents indicated that they were working toward certification. The benefits of OEM certification vary from shop to shop, but nearly 70 percent of shops indicated that enhanced access to OEM procedures and a positive impact on the shop’s reputation are the main draws for maintaining certification.
Additional incentives include access to OEM training, direct marketing through the OEM and better access to OEM parts,
as well as increased workflow and revenue. “The differentiation of being certified supports our labor rate and justifies a co-pay,” according to one shop. Shops mentioned 17 distinct manufacturers for which they’ve received the necessary training, tools and equipment to achieve their certification; certified shops held 4.7 certifications on average.
“You cannot repair enough cars to see a return on investment if you have 13 certifications,” Papageorg points out, recommending shops “focus on certain brands based on your area’s market conditions. When you’re working on similar lines the majority of the time, it improves efficiencies within the shop.”
Josh Fuller (Fuller’s Collision Center; Auburn) agrees. “Our focus is on the top five or six manufacturers in our market, which is a combination of foreign and domestic vehicles. That’s what we specialize in. Can we repair others? Of course. We’ll triage the loss to see if it’s within our realm of experience. We’ve definitely concentrated a lot on EV technology as well. It’s important to be aware of all the requirements when repairing electric vehicles; if we’re certified in a manufacturer that offers a separate EV certification, we want to be certified to fix their EVs as well.”
In addition to increased productivity borne of higher efficiency, Fuller believes one of the main benefits of specialization is “a greater depth of knowledge of the vehicle. While you can see the primary damage easily enough, collision repairers who specialize in certain makes and models have an edge on determining any secondary damage; because they’re more likely to have seen a similar scenario, they have a better understanding of what other components may have been affected by the energy transfer.
“The potential drawback to that knowledge is that we’re moving toward a workforce that may be less diverse in repair procedures because they’re focusing solely on a few specific OEs,” he acknowledges, observing, “There’s a continuous change in vehicle engineering which also impacts loss circumstances, such as how fast a vehicle was going, how it was operating and whether it was under the driver’s control or if the loss was mitigated due to an ADAS feature taking over. We’re seeing different types of losses, which are often less severe, yet the damage is becoming more complicated to repair because of all the technical components on modern vehicles.”
Specialization also leads to brand loyalty, according to Rob DelGallo (Factory Collision & Restoration; Weymouth), whose I-CAR Gold shop is certified in Ford, Ford aluminum, Lincoln, Honda/Acura and GM. “A benefit of specialization is the loyalty of consumers who care about their vehicles and plan on keeping them once the loan is paid off, and they cannot be easily steered away from us because of past work we have performed on previous vehicles.”
A drawback that DelGallo has seen is continued steering by insurers “due to sticking to OUR repair plan and our hourly door rate, which is higher than the rate the insurers pay to their servant shops. They use the line, ‘You will have to pay out of pocket if you use that shop,’ which is true, but I cannot pay my techs a living wage based on the rate of compensation from insurers and will not rely on any politician to rectify the out-of-whack labor rates paid to our profession. I’ve been involved in that battle for as long as I can remember; the legislature has no place in setting any industry’s rate of compensation.
“I blame the servant shops and weak back-boned shops for allowing the insurers to use the cheapest price available,” he continues. “Those on lists seem to feel it’s acceptable to lose a little on each job if they make it up in volume. I see a lot of similarities in our trade to the doctor shortage we are experiencing. Good doctors are getting out of private practices and moving toward consolidation due to the rising cost of the administrative side of working for insurance companies, plus having to fight to get paid! Sound familiar?”
Tom Ricci (Body and Paint Center; Hudson) believes that the amount of education needed to be OE certified is a benefit in and of itself. “We had to push to become I-CAR Gold Class before getting certified in GM, Ford, Chrysler, Honda/Acura, Nissan, Subaru, Kia, Genesis and Mazda. In addition to taking a lot of I-CAR courses, we had to ramp up our tooling and training to achieve those certifications. Our techs embrace the training as a way to evolve and stay up-to-date with the technology being released. On the flip side, the cost of getting certified by 10 OEs has certainly added to our overall expenses.”
“Specialization requires an investment in training and equipment,” Fuller inputs. “In order to qualify that investment, it’s important to establish a true ROI before investing in a specific certification or the ability to repair certain vehicles. You need to determine that you’re going to get that return on your investment, whether it’s the cost of certification or the cost of training.”
“The expenses for these certifications is turning out to be a money grab for the smaller shops,” DelGallo laments. “The prices have been going up, and the perks are less. We used to get access to the info from those manufacturers, but now, it is an added cost to high participation fees in return for next to nothing from them. The equipment is very expensive, the training is expensive, and the I-CAR experience is expensive and ludicrous. We have to deal with platinum individuals from insurers who couldn’t care less about following I-CAR recommended procedures. We’ve been told we over-repair cars, meaning [we insist on] no tape lines in jams, only OEM parts and detailed operations prescribed by I-CAR and the manufacturers.”
Despite the battle with insurers for reimbursement, DelGallo sleeps better at night knowing that his shop is doing what’s right for his clients. “We can show our customers cars we have received from the insurers program shops and the unbelievable hacking and omitting of parts they were probably sending back for credit.
“Some clients get the value in our approach to training and repairs and are very loyal,” he continues. “They will send referrals based on our reputation and longevity of being in business. Others are only interested in how fast and how cheap we can repair their vehicle, so we do not entertain them. They’re not interested in understanding the educational differences between us and other shops, and repairing that one vehicle is not worth jeopardizing our reputation.”
Ricci concurs that it’s important to educate customers. “We have a discussion and inform them that before getting OE-certified, we had to first become an I-CAR Gold Class shop, and only 10 percent of US shops have invested the time and energy into by Chasidy
continued from pg. 29
becoming tooled and trained to be able to repair vehicles to this level.”
Fuller also insists on the value of educating consumers, part of which requires a consistent marketing message. “It’s about how we talk about our brand. We’ve created a certain framework that’s consistent, regardless of the platform, so each message fits and is appropriately similar across all marketing mediums,” he notes. “We explain what a certification is and how it differentiates us from other shops. It means we’ve chosen to invest in our people and the equipment. It’s a mindset because you don’t know what you don’t know. Becoming certified means being committed to research, pulling OEM repair procedures and really creating a true repair plan with documentation, which is vital to the repair.”
Customers aren’t the only ones who require education on the value provided by certification, though. “It’s also about educating the insurance company,” Fuller insists. “They don’t fix cars; they pay for the repairs to the vehicle, yet we have to explain those repairs to them and educate them with documentation, post-repair scans and additional paperwork in order to maintain complete transparency. Both the repair and claims processes have gotten more complex. There’s an increased amount of variables that now come into play and have to be properly vetted in order to have a true understanding of the accurate and appropriate repair plan and process.”
“Insurers do not care [about certification] and will gladly pay our dismantle and removal fees to bring a vehicle to another shop,” DelGallo shares. “That shows the client that insurers only want to control the whole process as the fees usually are higher than the cost difference. They pay those fees instead of letting us repair, but sometimes we get to re-repair when the customers are unhappy and aware their car was butchered. We have to get several supplemental inspections, and although the appraisers know what’s going on, they have to do the dirty work for a paycheck. A lot of them are sick and tired of the BS. Some even admit they do not know what they are looking at when we tell them about weld stress tests; they will pay but have no idea what we are talking about. A lot of them used to be mediocre body guys, and now they work for insurers.”
For Ricci, specialization has not dramatically changed the repair or claims processes, though he acknowledges “added challenges to get required procedures completed and paid for.”
Fortunately, those challenges are becoming worth the trouble as more customers are taking their vehicles to shops listed on the manufacturers’ website, according to Ricci, who also emphasizes the need for certified shops to market the expertise of their business to attract these savvy customers. “We didn’t see a lot of traction in the first two years, but over the last couple years, we have seen an increase in customers who came to the shop because we are certified, and we’ve been marketing our shop that way.”
Profitability is always a challenge in this industry of suppressed labor reimbursement rates, and DelGallo stresses, “Profits are down on insurance-based work due to paying our techs what the insurers normally pay per billable hour. But we also specialize in classic and antique/specialty vehicles. My techs have been with me for many years, and it’s very difficult to find quality minded techs, plus they are aging out. We have been a restoration shop since we started, and quite frankly, when a vehicle is involved in an accident, we
must restore the many systems of ADAS that are installed in today’s vehicles, along with energy management We want an invisible repair, and that’s what insureds are due: a pre-loss condition. We’re booked out for over a year for restoration work, and we do a fair amount of service and small repairs to these vehicles, which also get into accidents. Because there aren’t many classic car repair shops, we can charge a fair rate and get very little, if any, pushback.”
Fuller believes that specialization has positively impacted his shop’s sustainability. “The commitment to training really helps to grow our people by supporting continuous improvement. You can’t operate a facility without looking to become more productive, which only comes with training and knowledge. Those core values help to create and sustain a positive, forward thinking culture. And that type of culture helps us attract and retain the next generation of technicians entering the workforce.”
If these experiences have your shop leaning toward specialization, you may be wondering what else you need to consider.
Ricci offers some advice: “If you want to be your best, do it! There are added expenses, but the additional education is invaluable. Even with all these certifications, we recognize that we cannot do everything. We turned a customer away just today; he brought in a high-end aluminum vehicle with very minor damage, and I mentioned that we would be doing a disservice to him to take the car in due to not being certified in this manufacturer. We are no longer concerned about losing a job. It’s more important to make sure we’re doing each job the right way because we have the appropriate training to do so.”
“Specialization is good if you are aligned with a dealer who can feed you the cars of your specialization; however, there is a strange connection with service managers and their buddy shops, which creates almost a pay-to-play scenario,” DelGallo warns. “I recommend specializing in quality, and that will get you through. You may not be rich but you never have to look back [over your shoulder for fear of a bad repair coming back to haunt you]. My crew takes great pride in a job well done, and we have many awards from different types of shows for various makes and years because we take pride in the job and always strive for quality.”
Fuller adds a few thoughts. “As a numbers person, I know it’s important to hone in on ROI and consider how fast you can recuperate your investment, but you also need to think about how that certification fits within your corporation’s framework. What’s your established mission and core values? Does investing in these certifications fit in with what you’re trying to drive in your culture?
“Your team has to be open to training and willing to invest in themselves,” he stresses. “Anyone can attend training, but not everyone is going to get the same out of it. They need to buy in and be willing to actually implement change. No one likes change, but it’s coming faster and faster. It’s actually an exciting time in our industry. There are definitely challenges with the trends toward enhanced technology, but those same advancements create a greater demand for knowledge and a more productive workflow that can really benefit your shop if you’re moving in the right direction.”
Here’s to 241 years of combined service excellence
This year, as Albert Kemperle Inc. celebrates its 83rd anniversary, BASF also celebrates its 158th anniversary. We are proud of our decades of partnership with BASF and years of serving the auto paint and body industry together. Kemperle’s founders would be proud of this relationship and the growth their company has experienced because of it.
Today, as we look forward to many more decades of service to our customers, we find ourselves filled with gratitude. The creativity, hard work, and sense of responsibility of the people working for our two companies have made us what we are today.
Thank you for your many years of loyalty.
626 E. Elizabeth Ave., Linden, NJ 07036 Phone: (908) 925-6133 Fax: (908) 925-4344 414-416 Madison Ave., Paterson, NJ 07524 Phone: (973) 279-8300
From Hoops to Harmony: Enhancing the Shop-Insurer Relationship in Massachusetts - Part Two -
Last month in part one of our series, we delved into the complex landscape that Massachusetts auto repair shops navigate daily. (For the recap, check out grecopublishing.com/newengland-automotive-report-june-2024.) We examined the stringent legal framework and the challenges presented by insurers' demands, highlighting the specific difficulties posed by one outof-state insurer's outdated requirement for a Work Completed Form. Through an analysis of the legal protections under Chapter 90, Section 34O and the broader Massachusetts General Laws, we identified the vital need for repair shops to understand and assert their legal rights to ensure fair dealings and adequate compensation.
We also discussed the potential benefits that aligning with preferred legal practices offers, not only in terms of complying with the law but also in safeguarding the autonomy of vehicle owners and the operational freedoms of repair shops. This exploration underscored the tensions between insurer-imposed requirements and the established legal standards that govern these relationships.
As we move into Part Two, we will focus on providing actionable strategies that repair shops can employ to effectively handle demands from insurers that may not align with legal norms. This includes practical advice on negotiating with insurers and a detailed script for requesting the legal justification behind their requirements. Moreover, we will explore the innovative "Forever Forms" introduced by Coverall Law, which have been designed to empower shops through enhanced legal strategies, ensuring they not only survive but thrive in an industry rife with challenges.
Prepare to equip yourself with the knowledge and tools necessary to transform your interactions with insurers, enhance your shop's bargaining power and navigate the future of auto repair with confidence and legal savvy.
Section 4: Industry Responses and Strategies
Current Challenges Faced by Repair Shops
Many repair shops in Massachusetts find themselves navigating a complex landscape where certain insurers demand the submission
of outdated forms, such as the Certificate of Work Completed Form (CWCF). Although the CWCF was a standard practice prior to the Insurance Reform Act of 1989, it has largely fallen out of use with the adoption of the direct payment system. Today, the insistence on using the CWCF by an outlier insurer diverges from the practices of most insurers who comply with the modern legal framework established by Chapter 90, Section 34O, and the accompanying regulations.
This demand for the CWCF introduces significant confusion and lack of clarity among shop owners. Many are unfamiliar with the historical context of the form and are uncertain whether they are legally required to comply. The rarity – and apparent redundancy – of such demands often leave shops without a clear strategy for resistance or negotiation, resulting in compliance driven by uncertainty rather than necessity. This situation underscores the need for repair shops to be well-informed about their legal rights and equipped with effective strategies to handle non-standard insurer requirements.
Strategic Recommendations for Repair Shops
To address these challenges and equip repair shops with effective strategies, the following recommendations are proposed:
1. Seek Clarification on Legal Basis: Repair shops should not hesitate to request a detailed explanation from insurers on the legal basis for requiring any non-mandated forms. This will compel the insurer to justify their requirements and may discourage them from enforcing unnecessary documentation.
2. Document Interactions: Repair shops should meticulously document all interactions with insurers, especially those concerning disputes over repair processes and payment practices. This documentation can be crucial in any legal challenge or negotiation, providing a clear record of the insurer's demands and the shop’s responses.
3. Educate Staff: Shop owners should ensure that their staff are well-educated about Massachusetts' insurance laws and the
shop's rights under these laws. This knowledge empowers staff to handle requests from insurers confidently and correctly.
4. Consult Legal Advisors: It may be beneficial for repair shops to seek advice from legal experts who specialize in automotive repair laws. These professionals can provide guidance on how to handle non-standard requests from insurers and how to protect the shop's interests effectively.
Proposed Script for Requesting Legal Authority
To help repair shops tactfully inquire about the legal basis for an insurer's demands, the following script could be used:
"Hello [Insurer Representative’s Name],
We have received your request for the completion of the Work Completed Form. While we aim to comply with all necessary legal and insurance requirements, we understand that this form, historically significant before the Insurance Reform Act of 1989, is rarely used today under the current direct payment system. Could you please provide us with the specific legal authority or section of the insurance policy that mandates this form for the processing of claims and payments?
This information will help us to better understand and align with your requirements while ensuring we remain compliant with state laws. We appreciate your cooperation and look forward to your prompt response so we can proceed efficiently with the claims process.
Thank you,
[Your Name/Shop’s Name]"
This script is designed to express compliance and cooperation while firmly requesting the necessary legal justification. It positions the shop as proactive and responsible, seeking to align its practices with both legal and insurer requirements without assuming unnecessary burdens.
By adopting these strategies, repair shops can better navigate the demands of insurers, especially when faced with requests that appear inconsistent with common practice or state law. Empowered with knowledge and effective communication tools, shops can assert their rights while maintaining professional relationships with insurers. Ultimately, this approach leads to more equitable and efficient handling of repair claims.
Section 5: The Role of "Forever Forms" and Legal Innovations
Use of "Forever Forms"
"Forever Forms," developed by Coverall Law, represent a significant innovation in the legal toolkit available to Massachusetts repair shops. This suite of legal documents was meticulously crafted by a team of seven or more attorneys over seven months, aimed at aligning with Massachusetts law and leveraging case law to counteract insurer strategies that have traditionally undermined the auto repair industry. Designed to be comprehensive yet user-
friendly, these forms consolidate what initially was a sprawling 40page wish list into three streamlined pages, ensuring that member shops are equipped to protect their interests and secure rightful payments.
Leveraging Legal Rights for Enhanced Bargaining Power
The core strength of the Forever Forms lies in their ability to harness the rights of consumers under both first- and third-party claims. By embedding dozens of legal strategies within these forms, Coverall Law has created a framework that not only protects repair shops but also empowers them to claim payments for legitimate services rendered. This is crucial in an environment where insurers frequently seek to minimize payouts, leaving shops to struggle with uncompensated costs.
Each of the forms should be used in every repair job, providing a stable legal foundation that dictates the terms of financial interactions and shields shops from common exploitative practices. This consistency ensures that every transaction is backed by a robust legal framework, giving shops a significant advantage in negotiations and claims processing.
Key Components of the Forever Forms
The third page of the Forever Forms is particularly instrumental in interacting with insurers. It includes:
• Direction to Pay: This clause ensures that shops receive direct payments from insurers, thereby simplifying the financial process.
• Assignment of Rights: By assigning the rights of the consumer to the shop, this element allows shops to claim payments on the same terms as the customer, effectively bridging any gaps in payment claims.
• Expedited Supplemental Appraisal Process: This introduces a streamlined method for dealing with supplemental damages and fosters open, efficient communication with insurers for future interactions; while ensuring necessary compliance, the Expedited Supplemental Appraisal Process requires authorization by three parties: the shop, the insurer j no. In and the customer.
Industry Response and Evolution
While insurers have shown apprehension toward the Forever Forms due to their potential to shift the balance of power, Coverall Law has prioritized education and cooperation. Their approach aims to foster a balanced relationship between repair shops and insurers, ensuring that the auto repair industry can thrive sustainably. The forms are regularly updated with improvements, reflecting feedback from users and changes in the legal landscape, which helps maintain their relevance and effectiveness.
For repair shops not yet utilizing the Forever Forms, the insights provided by Coverall Law's innovation offer valuable lessons in leveraging legal tools for business protection and financial assurance. Shops can draw inspiration from the strategic use of legal forms to enhance their negotiation power and secure more favorable continued on pg. 34
continued from pg. 33
terms from insurers. As the industry evolves, embracing such legal innovations will be key to thriving in a challenging economic environment.
Through education and strategic legal positioning, "Forever Forms" not only equip repair shops to navigate the complex dynamics of insurance claims but also inspire broader industry shifts toward more equitable practices. This approach not only benefits those directly involved with Coverall Law but also sets a precedent for legal empowerment across the industry.
Section 6: Future Outlook
Empowering Repair Shops Through Education and Legal Standards
The evolving landscape of the auto repair industry in Massachusetts, shaped by legal intricacies and the challenges of insurer relationships, underscores the crucial need for ongoing education and adaptation. As we've explored throughout this article, the implementation of strategic legal tools, like the "Forever Forms," has begun to shift the balance, empowering repair shops with the knowledge and means to secure fair compensation for their services. This educational empowerment is essential, not just for individual shops but for the industry as a whole, ensuring that all parties – repair shops and insurers alike – are aligned with current legal standards and practices.
Prospects for Legal and Industry Evolution
Looking ahead, the auto repair industry can anticipate further developments and potential changes in legal frameworks that could significantly impact how business is conducted. Legislative bodies, influenced by ongoing discussions and lobbying from industry groups, may introduce new laws aimed at further protecting repair shops from varied insurance practices. These changes could include more defined regulations around claim handling, payment processes and dispute resolution, offering a clearer path to compensation and reducing the ambiguity that currently exists.
Moreover, as legal innovations like the "Forever Forms" become more widespread, we might see insurers adjusting their approaches to claims processing and shop interactions. This could ideally lead to a more cooperative and less adversarial relationship between insurers and repair shops, fostering an environment where fair play is the norm, and disputes are resolved more efficiently.
A Vision for the Future
For repair shop owners and managers, this future is not just a possibility but a goal worth striving toward. By staying informed about legal rights and responsibilities, actively engaging in educational opportunities and adopting innovative legal tools, shops can protect their interests and ensure their survival and prosperity. The journey toward a more balanced industry dynamic requires persistence, education and sometimes bold moves like adopting the "Forever Forms."
As we move forward, let this be a call to action for all involved in the auto repair industry: to advocate for fairness, embrace legal innovations and work toward a future where every repair shop can thrive. The potential for positive change is vast, and with the right tools and knowledge, the power to shape this future is in our hands.
Let us remain hopeful and proactive, ensuring that our shops not only survive but thrive in an industry that respects and upholds the value of the services we provide. Together, we can build a future where fair compensation, mutual respect and cooperative relationships are not the exception but the standard.
Conclusion
Looking ahead, the auto repair industry in Massachusetts stands at a crossroads of opportunity and challenge. By embracing the lessons of legal empowerment and advocacy, repair shops can ensure their survival and thrive in an environment that increasingly acknowledges and respects their vital role in the automotive ecosystem.
Let this series serve as a call to action for repair shops to not only defend their rights but to actively shape the future of their industry. With the right knowledge, tools and collective resolve, we can foster an era of harmony and prosperity that benefits all parties involved in the auto repair process. Let's move forward together, from navigating hoops to building harmony toward a thriving future for Massachusetts' auto repair shops.
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
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Lia Honda of Northampton
293 King Street Northampton, MA 01060
Toll Free: 800-369-7889
Direct: 1-413-587-2900
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Honda of Enfield 20 Palomba Drive Enfield, CT 06082
Toll Free: 800-222-6632
FAX: 860-253-5419
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Schaller Honda 1 Veterans Drive New Britain, CT 06051
Lundgren Honda of Auburn 525 Washington Street Auburn, MA 01501
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appraiser to undercut your figure without justification suggests inadequacies in your planning. When a “NO” cannot be turned to a “YES,” the vehicle owner assumes responsibility and must pursue their insurer using the provided documentation.
Ultimately, if the vehicle owner chooses to accept “NO,” they're subsidizing their insurer's negligence, instead of the shop owner doing it. Repair shops are akin to doctors, specialists in restoring vehicles to health. Just as patients are responsible for costs beyond insurance coverage in healthcare, vehicle owners bear responsibility in the repair process. There are noticeable shifts, especially when vehicle owners and shops challenge denials. Insurers often relent when they realize a problem won't disappear with a single word. Arguments like “We don’t pay for that” or “If you had gone to one of our shops” no longer hold weight. Welleducated vehicle owners, armed with documentation, are seeing fair reimbursements from their insurers.
For more success stories, read the June/July Damage Report newsletter (available only to AASP/MA members. See below on how to join). These include fair labor rate reimbursements and proper reimbursements for repair procedures, all achieved by asserting “NO.”
“NO” truly operates as a two-way street. If you need further proof, consider joining AASP/MA. You can find an application on page 7 or visit the aaspma.org website and click the JOIN NOW button on the home page for more information.
AASP/MA EXECUTIVE DIRECTOR EVANGELOS “LUCKY” PAPAGEORG can be reached at (617) 574-0741 or lucky@aaspma.org.
Quirk
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Boch Hyundai Boch Chevrolet
You’ve got the right tools, staff, technology and procedures to give your customers the best repair possible. The missing piece of the puzzle? Genuine Volkswagen Collision Parts. Contact an authorized dealer today and find your perfect fit.
Mattie Volkswagen 80 William S. Canning Blvd. Fall River, MA 02771 800-678-0914 fax: 508-730-1283
Lia Volkswagen 140 Elm Street Enfield, CT 06083 860-698-6890 fax: 860-265-7840 www.liavw.com
Quirk Auto Dealers 115 E. Howard St. Quincy, MA 02169 Toll Free: 877-707-8475
Volkswagen of Hartford 133 Leibert Road Hartford, CT 06120
Direct Parts: 860-543-6012 fax: 860-728-4408 email: ebautista@vwofhartford.com
Balise Volkswagen 525 Quaker Ln. West Warwick, RI 02893 TOLL FREE: 800-992-6220 FAX: 800-254-3544 wparts@baliseauto.com www.BaliseWholesaleParts.com One Call, One Truck for 14 Brands!
Mastria Volkwagen 1619 New State Highway Raynham, MA 02767
Auto body shop owners face a variety of legal challenges, from claims of negligence to disputes with insurers. Understanding the statute of limitations is crucial to protecting your business and securing the payments you deserve. In our upcoming article, we'll provide a comprehensive guide on the key timeframes you need to know, potential claims against your shop, and the claims you might need to make. We’ll also share practical strategies to safeguard your operations, with references to Massachusetts laws and expert resources to help you stay ahead. Don't miss this essential read for every shop owner aiming to protect their business and ensure timely compensation. Stay tuned!
Coverall Law Managing Attorney Sean Preston finished in the top of his law school class at the historic Howard University School of Law in Washington, DC after serving in the United States Army. He went on to excel in business and legal strategy, serving some of the world's most recognizable brands in neighboring industries. Sean recently returned from Berlin, Germany with his family (where he served in RollsRoyce's General Counsel function) and today resides in Wareham, MA, where he helps to oversee and meaningfully lead efforts in the region for Coverall Law. He can be reached at (508) 635-5329 or via email at spreston@coveralllaw.com
