AASP/MA Continues Efforts to “Break Free in '23”

Last Fall, AASP/MA planted the seeds to “Break Free in ’23.” This past June, they watered those seeds by feeding members of the Alliance with more tools and resources to help them successfully take back the reins of the business and break away from the clutches of insurance companies who refuse to pay fair reimbursement rates for proper and safe collision repairs.

Last year’s discussion focused on the frustrations shared by Commonwealth repairers who have grown tired of insurersuppressed rates and begun to take matters into their own hands. Many shops are finding success, fighting back, regaining control and getting properly reimbursed by requiring a copay – also known as balance billing the customer. Others have been finding positive results by removing themselves from insurance repair programs as they have come to believe they set a negative tone to what shops get paid.

As a follow up to that discussion, the Alliance set out to make sure collision repairers are prepared with the tools and resources needed in order to regain the control of their businesses. Members of the Alliance gathered once again at Assabet Valley Regional Technical High School in Marlborough on June 17 for “Breaking Free in ’23 - Part Two,” which featured national speaker Kristen Felder (Collision Hub).

Felder, who has first hand knowledge of the insurance side of the fence from her background working with a major provider, led an eye-opening discussion that honed in on the proper documentation needed, and why it’s needed, in order to avoid potential issues and ultimately protect the best interests of one’s business.

It all begins with understanding what one’s rights are and how those rights are determined, she stressed.

“At the end of the day, there is the truth, there is what you believe to be your truth and then there's what you can actually defend and work with in court. Sometimes those things are the same. Sometimes they're not. And sometimes even if you're right, going to court isn't really where you want to be because you don’t have the pockets necessary.”

A business owner may think they have all the proper documentation but Felder pointed out one must make sure they have the right documentation. Contracts are key and having permission to work on the car should be in writing by way of a contract.

“Just because someone gave you their keys, doesn’t necessarily mean they gave you permission to do anything to it,” she pointed out.

Verbal communication may lead one to believe both parties are in agreement but as Felder stated, “I never met an attorney who likes verbal contracts.” She advised that if one were to receive verbal permission to immediately follow it up in writing by way of sending an email. She empathized that waiting can be painful for a shop owner who just wants to get the repair started. “The one customer you didn’t get a contract with is the one who is going to be the problem, so make sure to get that contract.”

She spoke of the importance of making sure one’s front office is talking to the back office; make sure to charge only for the work you are doing.

As for what to charge for, Felder suggests a shop can charge what it wants to charge, but it doesn’t necessarily mean someone will pay it. She also questioned who is responsible for making the determination of what is considered a “reasonable” charge.

“Our consumers will become judges. You have to think about that perception. What do you think a consumer will think is reasonable?” she asked.

Then when it comes to getting insurers to pay, one must be able to clearly make their case.

“Insurance adjuster turnover is high,” she noted. “Most have little experience and there is tons of pressure on them. Showing them a dollar amount versus an hourly rate makes it easier for an insurance adjuster to digest.”

Instead of saying a tear down took a certain amount of time at a certain rate, present it as a collision damage access and inspection continued on pg. 12