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AUT M TIVE December 2016 U.S.A. $5.95

Serving the New England Collision and Mechanical Repair Industry

MASSACHUSETTS BUILDING THE SUCCESS OF THE AUTO REPAIR INDUSTRY

PLUS: OEMs Address Scanning Celebrating 50 Years of SEMA

www.grecopublishing.com

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New England Automotive Report

December 2016 • Volume 14, No. 12

CONTENTS

DEPARTMENTS VICE PRESIDENT’S MESSAGE by Adam Ioakim 8 | Separating Fact from Insurer Fiction SPONSOR SPOTLIGHT by Chloe Durante 18 | Sponsorship & Success: A Conversation with Enterprise Rent-A-Car

NATIONAL NEWS 28 | Fully Restored American Graffiti Hot Rod Unveiled at SEMA 2016 30 | I-CAR, OEMs Address Growing Need for Vehicle Scanning 32 | AASP/MA Attends National Affiliate Meeting by Chloe Durante 34 | Celebrating 50 Years of SEMA by Chloe Durante LEGAL PERSPECTIVE by James A. Castleman, Esq. 40 | Substitute Transportation Issues

TECH CORNER by Joel Gausten 46 | The Power of Profit: PMCLogic’s P&M Solution

ALSO THIS ISSUE 7 | TRAINING OPPORTUNITIES: I-CAR CALENDAR OF EVENTS

COVER STORY

10 | A MESSAGE FROM THE EXECUTIVE DIRECTOR

by Joel Gausten

14 | AASP/MA SPONSORS 50 | FOR SALE 51 | AASP/MA CLASSIFIED FORM 54 | AASP/MA MEMBERSHIP APPLICATION

22 | CASINO NIGHT 2016: HONORING MEMBERS, CELEBRATING SUCCESS

58 | INDEX OF ADVERTISERS New England Automotive Report

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AUT M TIVE STAFF PUBLISHER

CREATIVE DIRECTOR

Thomas Greco (thomas@grecopublishing.com)

Lea Velocci (lea@grecopublishing.com)

SALES DIRECTOR

EDITORIAL ASSISTANT

Alicia Figurelli (alicia@grecopublishing.com)

Chloe Durante (chloe@grecopublishing.com)

EDITORIAL DIRECTOR

PRODUCTION

Joel Gausten (joel@grecopublishing.com)

Donna Greco (donna@grecopublishing.com)

PUBLISHED BY: Thomas Greco Publishing, Inc. 244 Chestnut Street, Suite 202, Nutley, NJ 07110 Corporate: (973) 667-6922 / FAX: (973) 235-1963

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 © 2016 by Thomas Greco Publishing, Inc. Images courtesy of www.istockphoto.com

MASSACHUSETTS BUILDING THE SUCCESS OF THE AUTO REPAIR INDUSTRY

AASP/MA EXECUTIVE COMMITTEE

in Massachusetts December 6, 2016 Hazardous Materials, Personal Safety & Refinish Safety Fuller Auto Body (Auburn, MA)

December 7, 2016 Hazardous Materials, Personal Safety & Refinish Safety IRA Collision Center (Danvers, MA)

December 8, 2016 Wheel Alignment & Diagnostic Angles Fuller Auto Body (Auburn, MA)

PRESIDENT Molly Brodeur

December 10, 2016 Plastic & Composite Repair IRA Collision Center (Danvers, MA)

VICE PRESIDENT Adam Ioakim SECRETARY Ray Belsito, Jr. TREASURER Kevin Gallerani IMMEDIATE PAST PRESIDENT Paul Hendricks

AASP/MA STATEWIDE DIRECTORS

December 15, 2016 Steel Unitized Structures Technologies & Repair Fuller Auto Body (Auburn, MA)

COLLISION DIRECTOR Rick Starbard

AASP/MA DIRECTORS Darlene Andrade Matthew Ciaschini

December 17, 2016 Aluminum Exterior Panel Repair & Replacement IRA Collision Center (Danvers, MA)

Gary Cloutier Alex Falzone

December 20, 2016 Understanding the Cycle Time Process Fuller Auto Body (Auburn, MA)

Joshua Fuller Kevin Kyes Peter Langone Frank Patterson Mike Penacho

AASP/MA EXECUTIVE DIRECTOR Jillian M. Zywien 12 Post Office Square, 6th Floor • Boston, MA 02109 Phone: (617) 574-0741 Fax: (617) 695-0173 Email: jzywien@aaspma.org

WWW.AASPMA.ORG

December 21, 2016 Steering & Suspension Damage Analysis Fuller Auto Body (Auburn, MA)

For more information, visit i-car.com

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VICE PRESIDENT’S MESSAGE

SEPARATING FACT FROM INSURER FICTION ADAM IOAKIM

As our industry continues to find ways to respond to what I-CAR calls the “technical tsunami” affecting the vehicles we’re seeing in our bays these days, more and more shops are embracing the need to perform pre- and postrepair scans. Several major automakers have published official position statements recommending (and in some cases, requiring) scans on vehicles to ensure they have been fully repaired to the manufacturers’ specifications, while the MOTOR estimating guide recently added verbiage encouraging users to refer to these recommendations. I’m not just talking about scanning BMWs, folks; the Volkswagen Jettas and Nissan Sentras that hit your shops need this critical procedure performed, too.

At my shop, we have actively worked to implement scanning in our regular work and are making it a point – as always – to follow what the OEMs say is the appropriate way to repair their vehicles. I’m pleased to report that I get calls all the time from AASP/MA members who have made the same commitment to professional repair and consumer protection.

Unfortunately, not everyone is embracing vehicle

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scanning in this way. I have received many reports that some insurers in Massachusetts are refusing to pay shops for these legitimate operations. In fact, I’ve heard of at least one carrier that claims that scanning “isn’t covered” in their customer’s policy. Think about that for a moment. A vehicle owner purchases a collision policy from an insurer, and that collision coverage doesn’t include scanning the vehicle for diagnostic trouble codes that assist the shop in bringing the car back to pre-accident condition? How does that possibly make sense? Frankly, that sounds to me like an unfair and deceptive practice. This kind of scenario adds further pain to a customer who is already in a negative place because of their accident. The attitudes exhibited by certain insurers are making their customers’ problems even worse.

Let’s say you accept insurer pressure and don’t perform the appropriate pre- and post-repair scan. What happens when the car gets into a subsequent collision due to something you could have identified and fixed when it was in your shop? Who is liable for such a thing? There is no wiggle room here; you must complete repairs in a manner approved of by the manufacturer. Anything less puts you, your shop,

your employees and your livelihoods at risk. Additionally, if you don’t charge for your services, how do you expect to ever recoup the cost of the equipment you use to scan the vehicles in the first place?

AASP/MA is very interested in hearing from our members on this very important issue. Have insurers refused to pay for pre- and post-repair scanning? If so, how did they justify their position? If you pushed back against this resistance, were you successful? What documentation/ argument did you use to achieve this goal? If you have a story to share, please reach out to us. Your help and insights will help us paint a clearer picture of what we’re up against. Of course, if you are experiencing problems in any other areas of the industry, please don’t hesitate to let us know. We are ready and happy to help you.

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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A MESSAGE FROM THE EXECUTIVE DIRECTOR

AN AMAZING YEAR FOR AASP/MA! JILLIAN ZYWIEN

Dear Members, As the year winds down, I would like to take the time to reflect on all that AASP/MA accomplished in 2016.

For the first time in the association’s history, your Legislative Committee filed five matters before the Legislature at the start of the session. For the last several sessions, the Labor Rate was our only filed matter. While it is still a priority piece of legislation, the Committee diversified our efforts to address other matters of importance to include the ADALB, steering and aftermarket parts. Not only did we have success with our matters, but we were also able to defend many initiatives that would negatively impact the industry. As an example, insurers filed a bill that would eliminate the inspection sticker, jeopardizing consumer safety. AASP/MA successfully defeated this bill.

As you are aware, the Automobile Insurers Bureau (AIB) filed a new Massachusetts Automobile Insurance Policy that was approved by the DOI. This standardized policy did not automatically change insurance policies in Massachusetts; however, it sets the standard for insurers to use in their own specific filings. Any insurer that wished to adopt the policy (in whole or in part) must file the same with the DOI, but with the recognition that certain terms have already been approved.

The model policy contained language that, if implemented, would have adversely impacted body shops and consumers.

Due to overwhelming pressure from AASP/MA, the AIB withdrew their standard auto policy. A new policy was filed on October 1, and it incorporates key changes sought by this association. Although the language included in the new policy is a significant improvement, we remain concerned with its implementation. We continue to be vigilant on this matter and take every opportunity to weigh in on behalf of the industry.

Continue to look for ongoing coverage in NEAR as well as an upcoming article in Repairer Driven News (RDN).

Last May, the Auto Damage Appraiser Licensing Board (ADALB) announced they were hosting a listening session on 212 CMR. AASP/MA was one of three groups that testified before the Board and submitted written testimony. Over the next several months, we continued to participate in all meetings of the Board and sought changes on behalf of our industry. The Board has accepted many of the changes submitted by this association and incorporated them into their final recommendation. At their last meeting in October, the ADALB approved sending their language changes to general counsel at the Division of Insurance. We will continue to provide updates to our members through our regular communication channels.

In addition to their work on 212 CMR, the ADALB also recently approved a new complaint process that will ensure complaints are filed in accordance with the policy updates.

The complaint process will improve the transparency of Board action and provide results for the complaint filer. We appreciate the work done by the Board to improve this process and look forward to its continued implementation. As you are aware, AASP/MA records all meetings of the ADALB, and they are available on the Members Only section of our website.

After hearing feedback from our members, we significantly improved our events this year. We secured a new location for our annual Golf Outing that was more affordable and centrally located to our members. Located in Sutton, the Blackstone National Golf Club was a great venue to host this incredibly successful event. This year, we also moved our annual Casino Night to a new, exciting venue – Mohegan Sun! Hosting our event at a real casino offered our members the opportunity for LIVE gaming and all the entertainment Mohegan Sun had to offer. PLUS, we added the opportunity for vendors to exhibit and showcase their products and services. In January of 2017, we will be hosting Jake Rodenroth of Collision Diagnostic Services at our first Statewide Meeting of the year. His 17 years of industry expertise are sure to give our members a wealth of knowledge and information to take back to their shops.

I am proud to represent this association and look forward to improving the experience of our members, who will soon be receiving their renewal packets. I strongly encourage all of you to not only renew your membership, but also consider actively participating in the organization. There are a variety of ways you can participate: Attend a meeting or event, read your newsletters and NEAR magazines, join a committee, attend an ADALB meeting or share your concerns with us by phone, email or on our social media pages. Your membership dollars help us advocate on your behalf. We are the only association representing you in Massachusetts.

I know how important your businesses are, and I take it very seriously that you choose to belong to our association. I look forward to continuing to build the success of the auto repair industry through your participation and support.

Sincerely,

MASSACHUSETTS BUILDING THE SUCCESS OF THE AUTO REPAIR INDUSTRY

Jillian Zywien, Executive Director

AASP/MA EXECUTIVE DIRECTOR JILLIAN ZYWIEN has been a senior account executive at Lynch Associates for over seven years.

She can be reached at (617) 574-0741 or via email at jzywien@aaspma.org.

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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!

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New England Automotive Report

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Mattie Audi 80 William S. Canning Blvd.

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[SPONSOR] SPOTLIGHT

by Chloe Durante

Above: Enterprise’s Amy Blair with Jameson Borey, regional account supervisor - replacement operations

SPoNSoRShIP & SUCCESS: A Conversation with Enterprise Rent-A-Car For nearly 60 years, Enterprise RentA-Car has partnered with collision repair centers and insurance companies across the nation to assist customers who have had their vehicles damaged or stolen. In addition, Enterprise has been partnering with organizations at the national and local levels in order to better understand the needs of vehicle owners and business partners. In addition to being a member of AASP/MA for the past 16 years, Enterprise continues to serve as a crucial sponsor of the association’s annual Golf Outing. With more than 5,800 offices located within 15 miles of 90 percent of the US population, the company has proven to be the majority replacement rental provider for nearly all of the top 50 insurance companies and the largest provider of insurance replacement rentals in North America.

New England Automotive Report recently spoke with Enterprise Technology Expert and Group Account Manager Amy Blair about the company’s success and involvement in the industry.

New England Automotive Report: How is Enterprise able to sustain such success throughout the years and stand out from the competition?

Amy Blair: Because Enterprise started as a neighborhood operation, we have always been very engaged at the local

level. That’s precisely why we view car rental and car sharing as an integral part of the local transportation infrastructure in towns and cities of all sizes. Regardless of whether we’re providing access 24/7 with a quick card swipe or offering customized service from a brick-and-mortar facility, our service has always been a direct reflection of local demand and consumer preferences. Complete customer satisfaction is the principle that has guided our company along our journey so far, and it remains our goal today. From the beginning, we have focused on providing customers with a level of service that keeps them coming back.

Enterprise’s global network offers a total transportation solution that extends beyond typical day-to-day car rental operations. For example, we play a unique role in providing local transportation alternatives when tornadoes, wildfires, floods and other natural disasters strike. With more than 6,400 neighborhood and airport branch offices [all three brands – Enterprise Rent-A-Car, National Car Rental and Alamo Rent-A-Car] throughout the United States, we are prepared and staffed to respond quickly and seamlessly to move vehicles around the country and into affected areas, as well as to support insurance companies, collision centers, utility companies and government agencies so they can get the recovery and restoration process underway as quickly as possible.

NEAR: What are some of the topics currently being discussed in focus groups,

and what is the reasoning behind collecting this data and sharing it with people in the collision industry?

A.B: When Enterprise unveiled its Automated Rental Management System [ARMS] in the early 1990s, it changed the way insurance companies, collision repair centers and rental car companies worked together.

ARMS increases efficiency and enhances customer service by streamlining communications between these groups. The data gathered by ARMS tracks the length of time replacement vehicles are rented to collision center customers [LOR] and is considered a proxy for vehicle repair time.

Enterprise began sharing length of rental information – at no cost – with collision repair centers over six years ago in an effort to highlight belowmarket-average cycle times and provide critical performance data for consistent industrywide comparisons.

Although ARMS can help to decrease the duration of rental periods, Enterprise has embraced the system as an opportunity to increase customer service and provide added value to its collision repair and insurance partners.

NEAR: Please explain the services your company provides to the collision repair industry.

A.B: In addition to our ARMS technology and LOR reporting, Enterprise also supports the Collision Repair Education Foundation (CREF), which was founded by I-CAR in 1991. CREF has been supporting the continued on page 37

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[COVER] STORY by Joel Gausten

The industry changed a lot in 2016, and so did the AASP/MA Casino Night.

The 2017-2018 AASP/MA Board of Directors. Left to right: Jillian Zywien (executive director; Lynch Associates), Matthew Ciaschini (director; Full Tilt Auto Body), Alex Falzone (director; Guy’s Auto Body), Gary Cloutier (director; Cloot’s Auto Body), Darlene Andrade (director, DeLuze Collision Center), Peter Langone (director, Langonet Auto Body & Frame), Mike Penacho (director, Mike’s Auto Body), Josh Fuller (director, Fuller Automotive), Molly Brodeur (president, Al Brodeur’s Auto Body), Kevin Gallerani (treasurer, Cape Auto Body), Ray Belsito Jr. (secretary, Arnie’s Auto Body), Kevin Kyes (director, Today’s Collision), Rick Starbard (collision director, Rick’s Auto Collision). Not pictured: Adam Ioakim (vice president, Hogan and Van) and Frank Patterson (director, Patterson Auto Body)

After two successful years at Gillette Stadium, the association held the ninth annual edition of the year-end event at Mohegan Sun Casino in Uncasville, CT on November 12. In addition to offering a full day of education and fun at one of the country’s most popular destinations, Casino Night was used by AASP/MA as an opportunity to thank some of the special people who have gone above and beyond in helping the association and the industry it serves. Collision Director Rick Starbard took a moment to express the Board’s appreciation to Outgoing Director Paul Hendricks, who recently retired from the collision repair field, and present him with a special Harley-Davidson watch.

“Guys like Paul were always there, leading on through the MABA times and [being] instrumental in helping with this merger to put the three associations together. It was always a lot of fun having Paul in the meetings and being able to talk to him on the phone. He’s always been a wealth of information. Good for Paul that he’s been able to retire, but bad for us that we needed to replace him on our Board, because he’s going to be missed.”

Joined by her sisters Alanna and Laura, AASP/MA President Molly Brodeur later honored their father, industry mainstay Al Brodeur of Al Brodeur’s Auto Body in Marlborough.

“Al has been a real supporter of our industry for close to 40 years and served alongside Tom Ricci on the Board of Directors for CMARA for over 20 years. He also served on the Program Advisory Board at the Assabet Valley Technical High School for almost 25 years and helped to create one of the leading collision tech programs

in the state. Al has always been there – quiet, but always helping and always doing anything that he could to improve the industry. Al has brought lots of valuable ideas and all of his wisdom – certainly to me and to anybody who’s had the pleasure of knowing him.”

Although he hasn’t technically retired from the business (which is currently overseen by Molly, who serves as COO), Al is devoting more time these days to pursuing a variety of hobbies including woodworking and blacksmithing. With this in mind, his daughters presented him with a special commemorative clock from Vermont Forge.

“You can proudly display this at your new workshop as a symbol of the time and energy that you have spent bettering the industry in Massachusetts and at large,” Brodeur said.

Brodeur also honored outgoing Board member Tom Ricci, who was unable to attend the Casino Night festivities.

“He will be greatly missed; for many of us, he was a mentor. He was there through the transition of all three associations merging together; he was actually the interim president when AASP/MA was [expanded] in 2010, and he did a great job bringing all three groups together and helping us get through that critical transition time.”

Looking back at the association’s various efforts in 2016, Brodeur praised Board member and Legislative Committee Chairman Peter Langone for his ongoing efforts on behalf of shops in the Commonwealth.

“Peter works tremendously hard on legislative and regulatory initiatives for our industry, and he really needs to be recognized for that. He’s spent a lot of time, and he’s

CASINo NIght 2016: honoring Members, Celebrating Success

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AASP/MA President Molly Brodeur and Collision Director Rick Starbard honored Paul Hendricks (right) for his many years with the association.

Congratulations to Shop Prize winner Alex Falzone of Guy’s Auto Body, who received a Nitrogen Plastic Welder donated by Boston Bumper Supply, Inc.!

Al Brodeur (Al Brodeur’s Auto Body) was honored by his daughters (left to right) Alanna Grimm, Laura Sanders and Molly Brodeur.

Left to right: Willie Hicks, Jr. (Hicks Auto Body, Inc.), AASP/MA Board member Darlene Andrade (DeLuze Collision Center), Patrick Cibotti (Boston Body Works)

made many, many trips into Boston [and devoted] hundreds of hours on the telephone making calls and strategizing. We wouldn’t be where we are in the industry today without Peter’s leadership.”

The 2016 Casino Night also served to introduce the AASP/MA Board of Directors for 2017-2018: President - Molly Brodeur (Al Brodeur’s Auto Body), Vice President – Adam Ioakim (Hogan and Van), Treasurer – Kevin Gallerani (Cape Auto Body), Secretary – Ray Belsito, Jr. (Arnie’s Auto Body), Collision Director – Rick Starbard, Directors – Darlene Andrade (DeLuze Collision Center), Matthew Ciaschini (Full Tilt Auto Body), Gary Cloutier (Cloot’s Auto Body), Alex Falzone (Guy’s Auto Body), Joshua Fuller (Fuller Automotive), Kevin Kyes (Today’s Collision), Peter Langone (Langonet Auto Body & Frame), Frank Patterson (Patterson Auto Body) and Mike Penacho (Mike’s Auto Body).

Speaking on the eve of her second term as president, Brodeur thanked her fellow Board members for their dedication and involvement.

“Being on the Board is a time commitment; it’s also a personal commitment to bettering the industry. We have some of the best people in Massachusetts on this Board of Directors, and I thank you personally for all of your hard work.”

For more information on AASP/MA activities and events, visit aaspma.org.

Sponsors and exhibitors added to an unforgettable evening.

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AASP/MA Thanks the Following Sponsors for Making this Year’s Casino Night a Success

Program Book/Board of Directors Sponsor – Best Chevrolet/Chrysler/Dodge/Jeep/Ram Dinner & Dessert Sponsor – Long Automotive, Lynch Associates, Gonello SEO

Keynote Speaker Sponsor – BASF Welcome Reception Sponsor – Spray Booth Services & Equipment Sales, LLC

Shop Owner Prize Sponsor – Boston Bumper Supply, Inc.

Additional Sponsors – Body & Paint Center of Hudson; Thomas Greco Publishing, Inc.; Keystone Automotive/LKQ Corporation; Paster, Rice & Castleman, LLC; Andy Federline/New England Collision Equipment (a Car-o-liner distributor) Exhibitors – Tasca Auto Parts; FinishMaster; Albert Kemperle, Inc.; and Boston Bumper Supply, Inc.

“Focus on What You Can Control” In keeping with the spirit of change that drove this year’s Casino Night, the ninth annual event kicked off with a special afternoon keynote presentation by Troy J. Neuerburg, north American zone manager for BASF. An engaging speaker, Neuerburg is a 16-year industry veteran whose career has included a stint with Sherwin-Williams and various roles in sales, management, performance group oversight and employee training and development. Entitled “Focus on What You Can Control,” his Casino Night discussion offered a highlevel view of the collision industry today and in the future.

As Neuerburg sees it, shops will be able to move forward and thrive only if they make a commitment to focusing on improving things within their direct control. These include the amount of work a shop team can bring into their facility, how quickly that work is produced and the shop’s culture and brand reputation.

“Each and every one of you in this room control your own success…The consumers don’t know what your shop is versus somebody else’s. How do you change that? That’s up to you.”

Above all, Neuerburg’s message to the independent shop owners in attendance was one of hope. As talk of massive shop consolidation continues to escalate through the industry, he was quick to calm concerns over how the trend would ultimately impact smaller repair businesses. According to his figures, there are 1,400 consolidator locations in the US - only four percent of the total number of shops in the industry.

These shops generate $4.3 billion in gross sales, which sounds like a lot until you realize that this is only 13 percent of the total sales of the collision repair industry. Neuerburg also noted that despite the insurance industry’s growing influence over the repair field, there is still plenty of room for advancement in the non-referral market.

“If I’m not mistaken, only 48 percent of the cars that get wrecked actually go to a DRP facility. They’re not getting fixed by their preferred shops anyways; the customers are still controlling where they take their own vehicles because of the reputation and the brand [of the shops]. You can differentiate yourself from that as well.

“In 2015, collision claims increased 4.2 percent versus the prior year,” he added. “Despite industry competitiveness, growth opportunities exist for high-performing shops…The opportunities are there; you just have to do it a little bit better than your closest competitor.”

How does one accomplish this? In Neuerburg’s mind, getting involved in OEM certification programs could provide a

lifeline for a shop eager to grow. He revealed that 63 percent of all vehicles sold last year in this country were part of a certified collision repair program – that’s over 11 million light vehicles of the 17.47 million sold. Clearly, manufacturers will have a strong advantage in the repair marketplace moving forward.

“OEs will control 80 percent of BASF’s troy J. Neuerburg kicked off Casino Night the market by 2019...This is where with a high-level look you have the opportunity to inside the industry. change yourselves for the future.

Insurers will no longer have the opportunity to offer [consumers] a repairer of choice…When that car is in an accident, the manufacturer or the certified shop in that area will be notified [of] how hard that car was hit, where that car is, if it needs a tow truck sent to it, if the car was hit hard enough to deploy the airbags and if we need to send an ambulance. There’s a lot of things in technology that’s going to control [things] into the future and take control away from others and put it back into the hands of the manufacturers.”

Neuerburg encouraged those shops interested in pursuing manufacturer certification to focus on specific OEMs instead of attempting to cover a multitude of companies.

“You can’t buy six welders at $70,000 or $80,000 apiece and just hope you have that car come into your facility; it doesn’t make sense. But if you can be really good at what you do with your specific brands, you can be successful.”

Not surprisingly, the seminar also tackled the hot topic of pre- and post-repair scanning, with Neuerburg stressing that of the 100 million-plus lines of code in some vehicles, only a very small fraction will actually trigger a warning light.

Later in the evening, AASP/MA President Molly Brodeur expressed her appreciation for BASF’s involvement in the Casino Night and for providing such an insightful educational opportunity to the membership.

“One of the things that AASP/MA is very good at doing is getting information into your hands that you can take back and [use to] make decisions about how your want to run your own business. Our organization is committed to continuing to be the conduit to getting you all the data that you need.”

MASSACHUSETTS BUILDING THE SUCCESS OF THE AUTO REPAIR INDUSTRY

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1515A Bald Hill Road Warwick, RI 02886 Wholesale Direct at 401-824-2313 Fax 401-824-2251 janine.brown@penskeautomotive.com MINIOFWARWICK.COM Hours: M-F: 8:00-5:00 Sat: 8:00-3:00 © 2016 MINI USA, a division of BMW of North America, LLC. The MINI name, model names and logo are registered trademarks.

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BMW OF WARWICK, SUPPORTING YOUR BUSINESS WITH ORIGINAL BMW REPLACEMENT PARTS. · Our BMW Parts Professionals know BMW vehicles better than anyone else. · Same day delivery on all in-stock parts, next day on non-stock items. · Fax or emailing your order will speed processing and delivery to your location.

Hours: M-F: 8:00-5:00 Sat: 8:00-4:30 26 December 2016

New England Automotive Report

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: awilliams@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

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

New England Automotive Report

December 2016

27

[NATIONAL]NEWS

Fully Restored American Graffiti hot Rod Unveiled at SEMA 2016 It took him decades to do it, but TV host and former NASCAR champion crew chief Ray Evernham finally fulfilled his dream on the opening day of SEMA 2016. In front of a huge crowd of automotive enthusiasts gathered at Axalta’s outdoor booth at the Show, he unveiled the holy grail of hot rods – the 1958 Chevy Impala featured in the 1973 movie American Graffiti. A lifelong fan of the movie, Evernham tracked down and purchased the car in 2015 and spent the following year returning it to its movie condition. Actress Candy Clark, who played Debbie in the legendary film, joined Evernham in the festivities.

Using Axalta’s Cromax ChromaPremier, Evernham replaced the paint and famous red striping on the vehicle to make it look exactly like it did in the movie.

“The paint was more than 40 years old and hadn’t been maintained,” he explained. “If it were left unprotected for much longer, the car would have just been bare metal. We digitized and made detailed templates of the striping for exact duplication and placement. Axalta was even able to recreate the exact paint colors, so we returned this car to the condition that moviegoers have seen for years.

“To save this car for future generations, we had to go back 44 years to its original movie condition,” he added.

“It really was a forensic preservation. We completely took it apart, cataloged every piece and then repaired those pieces.

Every piece of chrome was straightened and re-chromed. The emblems were rechromed as well. The nuts and bolts were re-plated. The interior was entirely disassembled, cleaned and reinstalled.

Everything we took off went back on the 28 December 2016

The fully restored 1958 Chevy Impala

car. Even the rear tires are original.”

Clark, who was absolutely blown away to see the restored version of the car she helped make famous more than four decades ago, spoke to New England Automotive Report about American Graffiti’s enduring popularity, “It’s very much Americana, and it took place in simpler times when [there were] the simple pleasures of just cruising and looking for a little action and maybe a little drink of liquor. Nobody carried guns on them; it was just a more idyllic time…Some people I’ve met have cried talking about the movie; that’s where they took their wives on their first date, and they’re still married. That was back in the days when you didn’t have to leave the theatre, so some people saw it over and over; it really got implanted in people’s heads.”

Clark believes American Graffiti also paved he way for the most successful SciFi adventure film series of all time.

“Without American Graffiti’s success, [director] George Lucas probably wouldn’t have gone on to do Star Wars.

He had done [1971’s] THX 1138, and then he did American Graffiti. Universal Studios thought this was just going to go straight to drive-ins. They didn’t understand it and didn’t like the title American Graffiti.

In fact, on the set, [producer] Francis [Ford] Coppola went around and said, ‘We’ve got to come up with a new title; Universal doesn’t get the word ‘Graffiti.’’

I remember Francis came up with Rock Around the Block, and I’m like, ‘That is so bad. American Graffiti’s got a good flow – Amer-i-can Gra-ffiti.’” Luckily, they stuck with it, and now of course Universal loves the film. It’s made millions and millions of dollars on its initial investment, which was $850,000.”

New England Automotive Report

Actress Candy Clark gives the car her seal of approval.

Ray Evernham was more than happy to show off his prized possession.

With the SEMA debut under his belt, Evernham plans to show the car at a range of car shows across the country. The restoration will appear in an upcoming season of AmeriCarna on Velocity. For more information, visit AmeriCarnaTV.com. For more information on Ray Evernham, follow @RayEvernham on Twitter.

MASSACHUSETTS BUILDING THE SUCCESS OF THE AUTO REPAIR INDUSTRY

Quality Repairs Start With Volvo Genuine Parts.

For over eight decades, the Volvo name has been synonymous with unmatched quality and performance. That legendary Volvo quality starts with Volvo Genuine Parts.

Rely on Volvo Genuine parts to get the right fit, at the right price, right now.

Please contact the following dealers for your Volvo parts needs:

Volvo Cars Cape Cod 270 North Street Hyannis, MA 02601 Parts Direct: 888-823-0093 Fax: 508-568-9250 www.volvocarscapecod.com

Prime Volvo Cars 425 Lincoln Street Hingham, MA 02043 Parts Direct: 781-829-3120 Fax: 781-829-3193 www.volvocarssouthshore.com

Volvo of Wellesley 962 Worcester Street Wellesley, MA 02482 Parts Direct: 800-247-3033 Fax: 508-651-1220 www.volvoofwellesley.com

www.volvogroup.com New England Automotive Report

December 2016

29

[NATIONAL] NEWS

I-CAR, oEMs Address growing Need for VEhIClE SCANNINg The collision industry’s top education provider is joining automakers in helping repairers across the nation get up to speed on scanning.

On November 1, I-CAR announced the creation of a vehicle-by-vehicle guide to calibration requirements for advanced driver assist systems (ADAS) for every 2016 make and model sold in the US. The “OEM Calibration Requirements Search” feature, available online through the I-CAR Repairability Technical Support (RTS) Portal (rts.i-car.com), describes calibration requirements for each vehicle when repairing vehicles equipped with systems such as: · · · · · · · · ·

“We have to make this very clear – indicators are for driver notification; they are not diagnostic tools.”

Although the post-scanning is “100 percent mandatory” on all Nissan and Infiniti vehicles that are structured to support scanning technology, Nissan representative Justin Miller told Summit attendees that his company only recommends pre-repair scans.

“I think there are some instances in collision repair where it wouldn’t be justified. I will tell you [that] in conversations with my engineering [people], they say it needs to be done.

But I think if you apply that to the way the collision industry is right now on the ground, I think it might be a little pushy to ask the shops to do it every single time.”

Conversely, Fiat Chrysler Automobiles (FCA) is working hard to stress to the industry that it is critical to scan their

adaptive cruise control; active park assist; 360-degree camera; collision warning; collision braking; blind spot detection; lane departure warning; lane keep assist; and backup assist.

The portal is free to professionals at I-CAR Gold Class and Road to Gold shops, those who have earned Platinum recognition and individuals currently undergoing training.

There are approximately 110,000 current subscribers. The first phase of the calibration matrix will include information on up to 90 percent of 2016 model year vehicles sold in the US. In early 2017, I-CAR expects to have 100 percent coverage of 2016 US models, with a focus on 2017 model-year vehicles and ongoing tool enhancements beginning shortly thereafter.

Two days following the I-CAR announcement, major automakers gathered to participate in “Restoring Vehicle Functionality through Electronic Technology and Diagnostics,” a special panel discussion held during the 2016 OEM Collision Repair Technology Summit at the SEMA Show in Las Vegas. Hosted by the Society of Collision Repair Specialists (SCRS), the morning event provided the participating manufacturers an opportunity to discuss their current position on scanning procedures. Although Diagnostic Trouble Codes (including those that don’t trigger an indicator light) have been a reality in automobiles for several years, current industry conditions dictate a greater focus on them than ever before.

To illustrate the importance of scanning, Honda Collision Business Specialist Chris Tobie noted that even a basic car like the Honda Fit has around 500 codes – and only a few of those would even trigger a warning light. To catch them all, a technician must perform a scan.

30 December 2016

New England Automotive Report

Honda’s Chris Tobie: “Indicators are for driver notification; they are not diagnostic tools.”

automobiles before and after a repair.

“We wanted to make sure that the vehicle was checked pre- and post- [scan],” offered FCA’s John Hughes, who authored the manufacturer's official statement on the matter.

“Obviously, pre [scan] because you want to verify what occurred on the vehicle, number one, and see what you have in the history…We’re finding that in a lot of cases…people weren’t doing a post [scan] because they’re not doing their quality inspection.”

Toyota is another manufacturer that stresses pre-and postrepair scans, with Collision Repair and Training Assistant Manager Eric Mendoza making it clear that it is the responsibility of repairers to make sure they follow the OEM procedures as written.

“If you choose to go against the recommendation of the manufacturer or a printed document in a repair manual [that says], ‘This is required to complete this repair,’ what else can I do?”

Vehicle manufacturer position statements on scanning (and a host of other procedures) are available online at tinyurl.com/gmmahaq.

MASSACHUSETTS BUILDING THE SUCCESS OF THE AUTO REPAIR INDUSTRY

Unsurpassed Quality. Genuine Hyundai Parts.

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New England Automotive Report

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31

[NATIONAL] NEWS by Chloe Durante

AASP/MA Attends National Affiliate Meeting

Congratulations to the new AASP National Executive Committee members! Left to right: Mike Moehlenkamp, secretary-treasurer; Bill Adams, vice president; Ron Reiling, chair of executive directors; Bruce Tschida, president; Rick Starbard, immediate past president

There are constant obstacles that more often than not prevent shops from prospering the way they should, but AASP National is fighting for the rights of the collision repair industry every single day. This was made clear last month when representatives from various AASP state affiliate associations (including AASP/MA) came together at the Westgate Las Vegas Resort & Casino during the 2016 SEMA Show for their semi-annual AASP National Board meeting.

AASP/MA Executive Director Jillian Zywien discussed many of the current issues collision shops are facing in Massachusetts and how the group is taking significant steps to rectify the reality of their situation via legislation. This includes the association’s plans to refile its Labor Rate Bill.

“In response to filing our Labor Rate Bill [this past session], we actually did very well. We got it through the Joint Committee on Financial Services, and they came up with a compromise that changed our language a little bit. They added a sunset clause, which ultimately works out for our members. It would be an eight-year piece of legislation that would at least raise the floor of our Labor Rate, which is the lowest in the nation.”

In other news, AASP/MA worked to combat a new standardized auto body policy filed by the Automobile Insurance Bureau (AIB) that included language that would have been detrimental for shops.

“Fortunately, we were able to get the 2015 standard policy withdrawn,” Zywien explained. “Unfortunately, they filed another policy that changed the language slightly, but it’s still not great. No insurer has adopted this policy yet in Massachusetts, but it is definitely something we are keeping on our radar and do not want to see implemented.”

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New England Automotive Report

Immediate Past AASP President and current AASP/MA Collision Director Rick Starbard also discussed the recent and significant changes made to 212 CMR by the Auto Damage Appraiser Licensing Board (ADALB). After months of debate – and with input from AASP/MA, who suggested a number of revisions – the ADALB has sent their recommended language changes to the regulations to the DOI’s general counsel for review. With Governor Baker’s appointment of new members in 2016 and old members stepping down, there is now an entirely different dynamic, which spearheaded the regulation discussions.

“With these changes, we have found a couple of things that have been in regulation for over 30 years that weren’t in compliance with certain laws. So, we cleaned those up and added in some language that I think will be very beneficial to repairers, specifically in regards to the use of aftermarket parts.”

Starbard also stated that the Board has approved a new complaint process.

“During the initial investigation between the person the complaint is filed against and the shop [or visa versa], one of the Board members will act as a mediator between the two parties to seek resolution then and there. [Recent ADALB activities] have been a lot of fun and a very necessary change for the industry that I hope to continue to be a part of. The industry sees our involvement, and so do the insurers. We are not going anywhere.”

MASSACHUSETTS BUILDING THE SUCCESS OF THE AUTO REPAIR INDUSTRY

New England Automotive Report

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[NATIONAL] NEWS by Chloe Durante

Celebrating 50 Years of SEMA On November 1-4, nearly 200,000 exhibitors, buyers, presenters, educators and automotive repair professionals gathered within the halls of the Las Vegas Convention Center to experience some of the strongest networking, education and training opportunities available in the industry at the 2016 SEMA Show.

As far as many attendees were concerned, the 50th edition of the Show (produced under the motto “We Built This!”) was bigger and better than ever. Not only did they get to witness some of the most innovative and inspirational designs, equipment and artistry of the vehicles of today and tomorrow, they also were given the opportunity to attend various Society of Collision Repair Specialists (SCRS)-hosted Repairer Driven Education (RDE) classes for the most recent updates and information on technology and training.

Steve Osbourne, assistant vice president of the parts, service and technical division of American Honda Motor Co., gave an educational presentation on the SCRS Collision Repair & Refinish Stage about the importance of accessing and utilizing OEM collision repair procedures and

34 December 2016

documentation. During his discussion, Osbourne emphasized the consequences of “bad repairs” by showing a picture of a crushed Honda vehicle with incorrect welding after a semi-severe crash.

Instead of spot welding the vehicle like the repair information states, the shop that repaired it used MIG welding.

“The shop that did that improper weld, all they had to do was read the free information. That is why it is free – to prevent anything like this from happening...We encourage all of you to just go to the site, take a look and print out the procedures – share the information with others. Spread the truth about proper repairs on our cars.” (Please visit techinfo.honda.com or serviceexpress.honda. com for more information.)

Getting the latest OEM education is a key aspect of the SEMA Show, but let’s face it, people also want to see the cool stuff out on the floor! Amongst all the noise and chaos, New England Automotive Report was able to stop by some of the many memorable booths at the Show. Guido Pippa of Accudraft was full of energy and excited to show off their new paint booth to potential

New England Automotive Report

buyers.

“We have already had a great turnout with some very important customers,” he said during a rare break in the action on the first day.

“We want to show people the product more than anything – [and have them] touch and feel the product – but also increase relationships with distributors from across the country…We make this product a lot different than our competitors, so by having the opportunity to slam the door and feel the actual construction of the booth, it really finishes what we always say in our brochures and other advertising material that we really are different.”

While many of the products at the SEMA Show were interactive, some products were strictly for our viewing pleasure. As expected, PPG truly outdid themselves with their SEMA booth by displaying some of the brightest and most unique colors out on the floor. With outrageous reds, whites and blues (and, of course, stars and stripes), the theme of their booth was pretty clear.

According to PPG Communications Manager Cristina Fronzaglia, “The whole idea was a ‘Salute to Color’ because it’s all about the color

SEASON’S GREETINGS

In the season of giving all of us at J&R would like to thank our customers, vendors and coworkers for their friendship and loyalty by making donations to the following wonderful organizations.

THE CHARLES RIVER CENTER

ELLIE FUND

www.charlesrivercenter.org Enhancing lives of children and adults with developmental disabilities since 1956.

www.elliefund.org Providing essential support services for breast cancer patients to ease the stresses of everyday life, allowing the focus to be on family, recovery and healing.

DAVID’S SWIM, CCALS (COMPASSIONATE CARE ALS) www.davidsoldsilverswim.com David's Old Silver Swim is now a registered non-profit! Donations will go directly to Davidsswim Inc for the benefit of Compassionate Care ALS.

J&R AUTO BODY SUPPLY CO.

The Proper Mix of People and Product!

Since 1961

82 Herbert Street, Framingham, MA 01702 Phone: 508-872-3594 or 800-649-6898 Fax: 508-879-2374 www.j-rauto.com

[NATIONAL] NEWS

Charley Hutton was among the celebrity painters who donated a custom speed shape that was auctioned off during SEMA. The project raised nearly $4,000 for the Collision Repair Education Foundation and the 3M Hire Our Heroes campaign.

Program.

American Honda Motor Co. delivered memorable training and industry insight to Las Vegas.

PPG paid tribute to American heroes with this year’s booth.

36 December 2016

New England Automotive Report

at the SEMA Show! So we really wanted to celebrate all of the artists here and their creativity. We wanted something patriotic, but didn’t want to make an election statement or anything like that. We wanted to celebrate anyone who has fought or given up their lives for us to have freedom of choice. So for us at PPG, freedom of choice means having the choice to paint your vehicle or not or having the choice to use us as your paint company. We really wanted to embrace the people in our industry who create such beautiful color and embrace those who have fought for us to have those freedoms of creativity.

“We also partner with Penske Racing; we sponsor them and they use our paint,” she added. “They work closely with the PVA [Paralyzed Veterans Association], so we are working together at the booth to have attendees write thank you notes to our paralyzed veterans. A lot of our veterans come back home to nothing, so we want to show our support.”

New England Automotive Report had the chance to reach out to AASP/MA Executive Director Jillian Zywien for her perspective on the Show.

“SEMA is such an incredible event.

There is much to see, do, learn and explore. I am always eager to attend SEMA to better understand trends in the industry and new technologies and equipment, as well as meet with our national and state partners. We learn a lot about the industry and also about the challenges and successes other states have. It’s interesting to understand what is going on around the country. We have the unique opportunity to share ideas and concerns with people who work in the industry every day.”

SEMA 2016 also provided an inspiring reminder of the industry’s altruistic side. On November 2, the National Auto Body Council (NABC) hosted a special Recycled Rides reception where they gifted six refurbished vehicles to drivers in need.

Earlier in the week, the Collision Repair Education Foundation (CREF) awarded $750,000 to various auto body school

[SPONSOR] SPOTLIGHT continued from page 18

programs across the country. Recipients from Massachusetts included the following: Pro Spot Welder Grant – Pathfinder Regional Vocational Technical High School (Palmer) Anest Iwata Tool Grant – Greater Lawrence Technical School (Andover), Pathfinder Regional Vocational Technical High School (Palmer), Shawsheen Valley Regional Vocational Technical High School (Billerica) I-CAR Curriculum Grant Award – Bay Path Regional Vocational Technical High School (Charlton), Medford Vocational Technical High School (Medford), Shawsheen Valley Regional Vocational Technical High School (Billerica)

pre-employment segment of the collision industry for more than two decades. Together, the two organizations [CREF and I-CAR] support education for the entire industry. Locally in Massachusetts, New Hampshire and Maine, we have nearly 2,000 employees, 200 locations and 50,000 units.

With all our total transportation solutions in car rental, truck rental, fleet services, exotic brand and car sharing, we are always happy to service all customers.

NEAR: Please detail the specific regions/markets your company serves.

A.B: Enterprise Holdings, through its regional subsidiaries and franchises, operates a global network of more than 9,600 fully staffed airport and neighborhood locations under the Enterprise Rent-A-Car, National Car Rental and Alamo Rent-A-Car brands. The three brands operate in more than 85 countries and territories, including North America, Central America, South America, the Caribbean and Europe, as well as parts of Asia, the Middle East and Africa. We are able to fully leverage our diverse portfolio of car rental brands globally. Our expansion strategy enables us to provide affordable and accessible ground transportation options to more and more consumers throughout the world.

For more information on Enterprise Rent-A-Car, AASP/MA members are encouraged to contact Amy Blair at (978) 265-9602 or Amy.C.Blair@ehi.com.

MASSACHUSETTS BUILDING THE SUCCESS OF THE AUTO REPAIR INDUSTRY

Collision Repair Education Foundation $1,000 Award – Bay Path Regional Vocational Technical High School (Charlton), Greater Lawrence Technical School (Andover), Pathfinder Regional Vocational Technical High School (Palmer), Shawsheen Valley Regional Vocational Technical High School (Billerica) It’s no secret that this is a very tough industry, and many of its members often feel that no one can understand the pressures they face every single day.

However, the SEMA Show allows them to be present in those conversations that can truly influence the direction of the industry. More importantly, it allows them to come together, kick back and enjoy one spectacular four-day event.

MASSACHUSETTS BUILDING THE SUCCESS OF THE AUTO REPAIR INDUSTRY

New England Automotive Report

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37

38 December 2016

New England Automotive Report

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New England Automotive Report

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[LEGAL] PERSPECTIVE by James A. Castleman, Esq.

Substitute transportation Issues Last month’s Legal Perspective in New England Automotive Report addressed how the new standard private passenger auto insurance policy may affect insurer payments for collision repairs, towing and storage.

The new policy, developed by the Automobile Insurers Bureau (AIB) of Massachusetts and approved by the Division of Insurance for adoption by electing carriers beginning October 1, is likely to be adopted in whole or in part by most Massachusetts auto insurers. Massachusetts collision repair shops, towing companies and vehicle owners should make themselves aware of the changes in the policy.

In addition to collision repair, towing and storage issues, some of the major changes in the new auto policy will affect insurers’ obligations to pay for rental vehicles under substitute transportation coverage. As a result of these changes, it may make sense in the future for insureds to seek payment for rentals from an at-fault third party and the third party’s insurer, if applicable, rather than from the vehicle owner’s insurer under their own substitute transportation coverage. But when seeking payment for a rental from a third-party insurer, it is also important to know what the rules are.

ChANGES To SuBSTITuTE TRANSPoRTATIoN CoVERAGE One of the optional auto insurance coverages that a Massachusetts vehicle 40 December 2016

owner can purchase is substitute transportation. If you do not separately purchase this coverage, then your insurer will not pay you for a rental car.

Under this coverage, the insurer will pay a vehicle owner for up to 30 days of substitute transportation costs up to a maximum of $15 or $30 per day; that dollar amount is based on which limit the insured buys. The insurer is obligated to pay only if the insured loses the use of their vehicle either because it is being repaired or replaced as the result of a collision or it cannot be used because it has been stolen or damaged or disabled as the result of a fire or other comprehensive coverage loss. The insurer is not obligated to pay for substitute transportation unless the insured vehicle cannot be used for at least 24 hours. (For stolen vehicles, it’s 48 hours after the insured files a police report of the theft.) While most insureds make claims for this coverage for a rental vehicle, the insurer will alternatively pay the same limits for the taxicab fares, bus fares and other substitute transportation expenses if you do not rent a vehicle.

What has changed in the newly approved policy is the replacement of one line in the old policy with a full paragraph that now specifically and significantly limits how long an insurer will pay for a rental car. The old policy merely said, “We will pay only for a period time which is reasonable for having your vehicle repaired or replaced.” The replacement

New England Automotive Report

paragraph says, “Reimbursement for rental charges and transportation expenses will end the earliest of when your auto has been returned to you, repaired or replaced. We will pay for only a period of time which is reasonable for having your auto repaired or replaced. If your vehicle is deemed by us to be a total loss, reimbursement for rental charges and transportation costs will end seven business days after we offer to pay the actual cash value under [collision, limited collision, or comprehensive coverages].”

Attention should be paid to each sentence of this new paragraph.

Now, instead of paying for a “reasonable” amount of time for repair or replacement in general, the insurer will stop substitute transportation payments the earliest of when a car has been returned to the owner, repaired or replaced. No longer does there appear to be a grace period - reasonable or not - between the time that a vehicle is repaired and when it is picked up; rather, the coverage now appears to end immediately upon completion of repairs. Will insurers enforce this literally? If a car is repaired but the insured cannot reasonably pick it up for a few days, will the insurer refuse to pay for that extra time? What if repairs are completed, but the shop does not let the owner know until the next day? Will there be any flexibility, or will vehicle owners now find that they regularly are being stuck with

New England Automotive Report

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41

[LEGAL] PERSPECTIVE some portion of their rental costs? Will some insurers be more reasonable than others?

The new policy still says that the insurer will only pay for a reasonable amount of time for a vehicle to be repaired or replaced. But what is “reasonable”? If an insurer specifies the use of an LKQ part and a repair shop orders it but it takes three weeks for that product to arrive, is that considered in determining the “reasonable” time for repair? What if there are multiple snow storms this winter and repair shops get backed up with repairs so that it may be weeks before a repair can begin? What if an insurance appraiser takes a week to come out to view a car for a requested supplement, or takes a week to write the supplement? What if several of a repair shop’s employees come down with the flu at the same time and that delays repairs? Insurers look at published standards for how long certain repairs should “reasonably” take. Will some insurers read those standards as being absolute in determining the reasonable amount of time for a repair, or will they be willing to look at the problems affecting the actual repair?

It appears to me to be particularly problematical that insurers will now be obligated to pay for substitute transportation only for seven days after making an offer to pay the actual cash value for a declared total loss.

What if the insurer’s offer is unreasonable - a situation I have often seen in the past? Is it enough that the insurer declares the car to be a total and makes some offer, no matter how meager? I suspect that is position that most insurers will take. Yet, it seems to me to be grossly unfair for an insurer to unilaterally stop rental coverage when the insurer is not offering a fair ACV payment to the vehicle owner.

Why is the concept of a “reasonable” offer not written into the policy?

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CoNSIDERING A ThIRD-PARTy RENTAl ClAIM If someone else causes damage to your car, it may well make sense to seek payment for a rental car from the responsible party’s insurer rather than from your own insurer, especially in light of the changes to the auto policy.

If you meet the criteria for doing so, you may be able to eliminate many of the potential problems and limits that apply to substitute transportation coverage under the new standard auto policy. You can still make a claim against your own insurer for repair under your collision coverage while seeking third-party damages for rental costs from the other person’s insurer.

Initially, of course, a vehicle owner must make sure that they qualify to make such a “third-party” claim. In particular, it must be clear that the person driving the other car was responsible for damaging your vehicle. If you are more than 50 percent at fault, then you cannot make a claim against the other person’s insurer. If you have any degree of fault under 50 percent, then the amount that you will be able to collect will be proportionately reduced based on the degree of your fault. The easiest cases for making a full third-party claim are: if your car is parked when it is hit; if you are rear-ended by another car while you are stopped or moving in the same direction as the other car; if you are hit by a driver who is subsequently convicted of operating under the influence of alcohol or drugs, of driving the wrong way down a one-way street or of a different moving motor vehicle offense.

Additionally, the other driver must have insurance in effect that includes property damage coverage - a compulsory coverage for Massachusetts insureds.

New England Automotive Report

If you qualify for making a thirdparty claim, then you are entitled to collect from the other party’s insurer the amount that a court would award you for damages, up to the property damage dollar limits that the responsible party has purchased (with the minimum compulsory coverage being $5,000).

The generally accepted standard as to what a court would potentially award is the “reasonably foreseeable” damages that you have incurred. This is a much broader standard than the contractually limited standard for substitute transportation in your own policy. After all, it is “reasonably foreseeable” that it might take a repair shop a week to receive a part ordered from out of state, or for a person not to be immediately available to pick up a repaired auto on the day that repairs are completed. It is also “reasonably foreseeable” for repairs to take longer than necessary because inclement weather or ill employees cause a backup for a repair shop, or that time is needed to find a comparable replacement vehicle for a total loss.

In addition, the contractual dollar limits for substitute transportation do not exist when making a third-party claim. You are not limited to $15 or $30 per day, nor to 30 days of coverage.

You are entitled to collect whatever is reasonably foreseeable for you to pay to rent a vehicle that is comparable and of like kind and quality to the one that was damaged – and for the reasonably foreseeable amount of time to repair your car or to replace your totaled vehicle. If your damaged car is a new Porsche that reasonably takes 45 days to repair, then you are entitled to get paid the reasonably foreseeable cost of renting a new Porsche for 45 days. On the other hand, if your car is a previously damaged 2003 Ford Fiesta, then you are entitled to get paid only to rent a car comparable to that vehicle.

Recently, I have received a number of inquiries regarding insurers that try to limit how much they will pay for a third-party rental claim based on daily dollar limits arbitrarily set by the insurer (usually in line with their first party dollar limits). I also understand that people in the Division of Insurance consumer assistance office have not contradicted this position when asked. Be aware that the law in Massachusetts - and in most of the US - is clear that the substitute transportation damages that you are entitled to collect on a third-party claim are the reasonably foreseeable rental costs for a vehicle comparable to the one that was damaged.

There is an old Massachusetts case that says this is the law here.

Further, in February of 2003, the assistant general counsel to the Commissioner of Insurance wrote a letter to the Massachusetts Association of Insurance Agents confirming the official position of the Division of Insurance that this is the law here. As stated in that letter: “The insurance company must pay whatever the reasonable rental cost is of a comparable vehicle, plus the cost of repairing the auto up to [the applicable property damage coverage limits].” The letter also states that it has been the long-term practice and custom of insurers in Massachusetts to value “the fair value of the loss of the damaged vehicle as being equal to the cost of renting a comparable auto of like kind and quality.” If you run into a problem with an insurer refusing to pay for a comparable rental vehicle on a third-party claim, email me and I will be glad to send you a copy of the quoted letter.

particular, in the right circumstances, it may be well worth your while to consider seeking rental car costs from a responsible third party’s insurer rather than from your own insurer.

But if you do, know the rules and know what rights you have.

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.

CoNCluSIoN Be aware of the changes in the new standard Massachusetts auto policy that affect substitute transportation coverage, and be prepared to deal with them. In New England Automotive Report

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[TECH] CORNER by Joel Gausten

the Power of Profit: PMClogic’s P&M Solution Knowledge not only equals power, but it also can equal more profit on the work you perform at your shop.

At a time when repair facilities are facing greater time constraints and cycle time demands than ever before, it is not uncommon for an owner or manager to fall behind on tracking their numbers and identifying ways to reduce costs and get the most money on each job. But thanks to PMCLogic, shops have a unique opportunity to chart their expenses and profits without devoting extra time and staff to the effort, creating a path to a more profitable – and organized – future.

Produced by parent company ComputerLogic, PMCLogic is a revolutionary system that easily links to any repair estimating and paint mixing system and automatically calculates what specific P&M items will be needed (and in what quantity) for each unique job. This information can be used to quickly generate numerous reports and print an accurate, detailed invoice for each repair.

Invoices for the repair of vehicles are based on the shop’s target gross profit margin, not from some arbitrary “hourly rate.” Above all, the information provided by PMCLogic will help shops better manage their paint and materials costs and increase sales.

“PMCLogic doesn’t tell anyone what they should do or how much to charge for anything,” explains ComputerLogic CEO Rick Palmer. “We just provide you a program that’s malleable and flexible, give you a very accurate predictive estimate of the P&M items needed for that specific repair based off of the P&M manufacturers’ recommended usage and provide their pricing data so that you can use that to establish your true cost and selling price for each of those items.”

The best advantage of PMCLogic is the ability for repairers to finally move away from the traditional hourly ratetimes-refinish hours mindset.

“There’s nowhere else in life that I know of where you buy anything without getting a receipt. But with this paint and materials situation, everything is wrapped around the refinish hours because it’s such a huge issue to get down to the numbers.”

Since introducing PMCLogic to the industry, Palmer has worked to inform industry members of the advantages of using a P&M cost accounting system. In addition to appearing as a guest at a past AASP/MA Statewide Meeting, he served as a guest presenter at the 2015 New England Automotive Repair Expo.

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Not surprisingly, PMCLogic has built a solid user base of proactive, forward-thinking shops throughout the country.

“PMCLogic has helped our shop throughout every step of the repair process; the software helps us to accurately reflect the processes performed during a repair, seamlessly integrating in the correct amounts of materials and paint products in order to provide a detailed and correct estimate. But even more than being a great repair tool, incorporating PMCLogic into our job flow has helped ensure we know exactly what goes into every repair,” offers Jerry McNee, collision chairman for AASP’s New Jersey affiliate association. “It’s incredibly important to know your numbers - to track every aspect of every job to know where you’re making a profit, and where you’re not. PMCLogic helps us analyze our numbers and costs and helps us present transparent, accurate estimates at the same time. It’s not only a great repair tool, but a valuable business resource as well.”

“PMCLogic has helped improve our margins on materials because we actually know what we’re using,” adds Mark Schaech, Jr., owner of Mark’s Body Shop in Baltimore, MD and president of the AASP-affiliated Washington Metropolitan Auto Body Association (WMABA). “You want to be able to know your numbers, track them and accurately bill for what you use. PMCLogic gives us an opportunity to track our numbers really closely and provide involves that correctly reflect what we use. It makes a lot of sense, and after just two or three estimates, it easily pays for itself.”

Although PMCLogic offers shops an alternative to the time and headaches that are often involved in manually tracking P&M costs, the system can only succeed if it is used fully and properly. If you don’t track and review your numbers, you can’t measure them and improve your bottom line.

“Our goal is not just to get shops to use PMCLogic to get paid more money on paint and materials, but it is also to make the whole supply chain more efficient and save everybody money,” Palmer says. “The only way people can do that is to use the system 100 percent. Don’t just use PMCLogic to get paid; use it as a true paint and materials management system.”

For more information on PMCLogic, call (800) 933-6565 or visit PMClogic.com.

MASSACHUSETTS BUILDING THE SUCCESS OF THE AUTO REPAIR INDUSTRY

PMCLogic automatically calculates the volume of paint and materials used on each panel that’s replaced or repaired. The product “reads” all of the lines on the vehicle estimate from CCC, Mitchell, Audatex, etc. and automatically selects these items for calculating the list of materials and how much it will take for each panel and part to complete the job.

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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!”

ToyotaPartsAndService.com

©2014 Toyota Motor Sales, U.S.A., Inc.

For Toyota Genuine Parts please call one of these authorized local Toyota Dealers: Copeland Toyota 970 West Chestnut Street Brockton, MA 02301 Toll Free: 800-856-1172 Fax: 508-559-9264

wholesaleparts@copelandtoyota.com www.copelandtoyota.com/wholesaleparts

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

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

stirrell@iramotorgroup.com www.iramotorgroup.com

parts@wellesleytoyota.com www.wellesleytoyota.com

IRA Toyota Danvers 161 Andover Street Danvers, MA 01923 PH: 800-774-8411 ext.1 Direct: 978-739-8306 FAX: 978-739-8098

Bernardi Toyota 1626 Worcester Road Framingham, MA 01702 Parts Direct: 800-248-3033 FAX: 508-879-7895 www.bernarditoyota.com

www.iramotorgroup.com

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FOR SALE

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

A slightly damaged 5.5-foot bed assembly off of a 2011 Ford F-150 Supercrew King Ranch pickup. No rust. Does not include taillights, tailgate or wheel opening moldings.

Will sell for $350

$750 CASH or best offer

Contact: Gary (413) 562-0321

Prompt &  Dependable Delivery

Experienced and Professional Parts Team

Ask about our Competitive Prices

Fax Line: 508.699.4761 Parts Hours: Mon-Sat: 7:30-5:00

Fax Line: 508.673.6338 Parts Hours: Mon-Sat: 7:30-5:00

Fax Line: 508.316.8397 Parts Hours: Mon-Sat: 7:30-5:00

www.firstfordma.com

www.firstchryslerma.com

Parts Line:

508.699.4700 270 East Washington St. North Attleboro, MA 02760

www.firsthyundai.com 50 December 2016

Parts Line:

774.888.6666

292 William S. Canning Blvd.

Fall River, MA 02721

New England Automotive Report

Parts Line:

508.316.8410 280 East Washington St. North Attleboro, MA 02760

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.

What are you getting rid of? (Be specific)

Price: $_________

Is Price Negotiable?

Do you have photos of the item being sold?*

YES _____

NO _____

YES _____

NO _____

Make/Model/Year (for parts): Model Years Spanned (i.e. 2003-2005): Part Name (Be specific): Condition (Please check one):

Excellent _____

Good _____

Fair _____

Poor _____

Where is the item located? (City/State) ______________________________________________________ CONTACT INFORMATION: Your Name: Company Name: (Optional) Contact Phone Number (REQUIRED!) Contact Email:

*IMPORTANT! If you have photos of the items being sold, please email them to joel@grecopublishing.com or call ­603®Ê680-4324 for more information.

Photos sent via Fax WILL NOT be published.

FAX THIS FORM TO NEW ENGLAND AUTOMOTIVE REPORT @ (973) 235-1963 OR EMAIL TO joel@grecopublishing.com.

Call 603 680-4324 with questions.

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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

Street

State

Zip

Mailing Address ______________________________________________________________________________________________________ Street

Phone Number ( E-mail Address

City

)____________________________________ Fax Number (

State

Zip

) __________________________________________

________________________________________ Web Site Address ____________________________________________

MEMBERSHIP TYPE (check one) Collision Repair Shop

ACCOUNTS PAYABLE CONTACT: Name: __________________________________________________

Mechanical Repair Shop

Phone Number: __________________________________________

Both, Collision & Mechanical Repair Shops Vendor

Email:____________________________________________________

RS Number (if applicable) ________________________________ ANNUAL MEMBERSHIP DUES

AASP/MA CHAPTER (check one) MidState Southeastern Northeastern Western

(The AASP membership year is from January 1 to December 31, 2017)

$40/month

$115/quarter

$425/year - BESt VAlUE!

Monthly & Quarterly Dues are Automatic Credit Card Transactions ONLY*

NEW! Political Action Committee (PAC) Donation ...............$_____ Personal Contributions Only

ADDITIONAL CONTACT FOR NEWSLETTERS AND LEGISLATIVE UPDATES Name: ____________________________________________________ Email: ____________________________________________________ Name: ____________________________________________________ Email: ____________________________________________________ Name: ____________________________________________________ Email: ____________________________________________________

Check or Cash

Credit Card:

Visa

MasterCard

Amex

Card Number: __________________________________________ CID Number: ____________ (3#s on back for Visa, 4 on front for AMEX) Expiration Date: ________________________________________ Name on Card: __________________________________________ Billing Address of Credit Card: ____________________________ ________________________________________________________

Name: ____________________________________________________

________________________________________________________

Email: ____________________________________________________

Signature: ______________________________________________

Name: ____________________________________________________

Date: __________________________________________________

Email: ____________________________________________________

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.

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Contact these Ford or Lincoln Mercury dealers for all your parts needs:

IMPERIAL FORD 6 UXBRIDGE ROAD MENDON, MA 01756 Toll Free Parts: 877-272-0332 Toll Free Fax: 877-800-6316 E-mail: johnl@imperialcars.com First Time Customers call John

© 2016, Ford Motor Company

SARAT FORD LINCOLN MERCURY 245 SPRINGFIELD ST. AGAWAM, MA 01001 413-786-0430 FAX:413-789-3715 www.saratford.com

SENTRY FORD LINCOLN 4100 MYSTIC VALLEY PARKWAY MEDFORD, MA 02155 PARTS: 617-506-6309 FAX: 781-874-9934 E-mail: pnewell@sentryautogroup.com

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LET US TURN THEM AROUND! Contact New England Automotive Report Sales Director Alicia Figurelli

(973) 667-6922

ALICIA@GRECOPUBLISHING.COM

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AUT M TIVE AD INDEX Accudraft Paint Booths ............................OBC Audi Group ....................................................15 Audi Shrewsbury ..........................................39 Axalta Coating Systems ..................................4 Bald Hill Chrysler Jeep Dodge Ram..............8 Balise Wholesale Parts Express ....................11 Best Chevrolet/Best CDJR..........................IFC BMW Group ..............................................20-21 BMW/Mini of Warwick ................................26 Clay Subaru ....................................................47 Colonial Auto Group ....................................55 Empire Auto Parts............................................9 Enterprise ........................................................19 First Chrysler-Dodge-Jeep-Ram ..................50 First Ford ........................................................50 First Hyundai..................................................50 Ford Group ....................................................57 FutureCure ......................................................43 Honda Group..................................................27 Honda ProFirst ................................................6 Hyundai Group ..............................................31 Imperial Ford ..................................................41 Infiniti of Norwood........................................36 Ira Group....................................................12-13 J&R Auto Body Supply ................................35 Kelly Automotive Group............................IBC Kia Group........................................................33 Linder’s, Inc. ..................................................58 Long Automotive Group ..............................25 Mazda Group..................................................38 McGovern Chrysler Jeep Dodge Ram ..........9 Mercedes-Benz of Shrewsbury ....................39 Mopar Group..................................................56 Nissan Group..................................................52 PMCLogic........................................................47 PPG ....................................................................3 Robertsons GMC Truck ................................45 Sarat Ford Lincoln..........................................45 Sentry Group ..................................................41 Subaru Group............................................16-17 Tasca Group ....................................................48 Toyota Group..................................................49 Volvo Group....................................................29 VW Group ......................................................53 Wagner BMW of Shrewsbury ......................39 Wagner Kia of Shrewsbury ..........................39 Wellesley Toyota/Scion ................................19 Wheel Collision Center ................................37