13 minute read
NY Parts Bill Takes on Insurer-Mandated Vendors
The collision repair industry’s long-standing efforts to prevent insurers from requiring certain parts vendors have taken a major step forward with New York Assembly Bill 6902. Initially filed in 2013, the fifth and current version of the legislation aims to amend Section 1, Subsection (a) of Section 2610 of the New York insurance law to the following (with the proposed new language in bold):
Whenever a motor vehicle collision or comprehensive loss shall have been suffered by an insured, no insurer providing collision or comprehensive coverage therefor shall require that repairs be made to such vehicle in a particular place or shop or by a particular concern,
nor require a repair facility to use a specific vendor or process for the procurement of parts or other materials necessary for the repair of a motor vehicle.
Sponsored by Representative Steve Englebright (D-Setauket), Assembly Bill 6902 has more than a dozen co-sponsors and is endorsed by the Long Island Auto Body Repairmen’s Association (LIABRA) and the Auto Body Craftsmen’s Guild of New York City. “It’s really just a consumer bill,” Ed Kizenberger, executive director of LIABRA/Auto Body Craftsmen’s Guild of New York City, comments. “In this case, what benefits the consumer benefits the repair industry. You select the repair shop, and they in turn are obviously and totally responsible for the outcome as far as the repair goes. So, to have an insurer interject themselves in the middle of things like parts selection really creates a situation where the repair facility is almost losing control over the type of repair that they may have chosen to do if in fact the insurer is requiring or suggesting a part that the repair shop is not comfortable using.” Assembly Bill 6902 has been referred to the New York Assembly Committee on Insurance. New Jersey Automotive will provide updates on the bill as the legislative session moves forward.
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Perseverance Pays:
The Industry Returns to In-Person Events
The light at the end of the tunnel is finally here.
After spending much of the past 15 months stuck behind home or office computer screens, the national collision repair industry is quickly returning to its tradition of in-person meetings, training and networking events. With more and more businesses resuming their regular schedules and services (and even Walt Disney World – one of the biggest attractions in the country – pulling back its temperature check requirements and making outdoor masks optional), it appears that the second half of 2021 will be a time of renewed energy and activity for the auto body field and beyond.
Back in Action
The first sign that life in the industry was returning to normal appeared in late April, when the Society of Collision Repair Specialists (SCRS) gathered in Phoenix for its first in-person Open Board Meeting since January 2020. This event was followed by a live, two-day Collision Industry Conference (CIC). Although CIC provided an additional virtual option to adhere to Arizona capacity rules and accommodate participants who were not vaccinated in time, the spirit of face-to-face comradery that is crucial to this industry’s work was felt throughout the room.
“There was nothing more rewarding about our April meeting than looking out into a room and seeing faces staring back at us rather than a computer screen!” SCRS Executive Director Aaron Schulenburg shares. “Technology has provided us with some nice stop-gap solutions, but there is absolutely nothing that replaces the face-to-face interaction that occurs at an event and the ability to answer questions, watch facial expressions and to have side conversations when the session is over. The filled room at our April meeting reinforced what we have been hearing – people are ready to get back to events! While it was rewarding to have a successful event both for SCRS and CIC, it was also a nice indicator of what we can expect for other events later this year.” “Not knowing what it would be like to jump off the cliff of having the Collision Industry Conference in person – I believe as the first multi-day industry meeting to do so – we didn’t know what to expect,” CIC Communications Manager Jordan Hendler adds. “What happened far exceeded what we anticipated as far as attendance and participation. Those joining live in Phoenix experienced a socially-distanced version of what we would call a ‘normal’ CIC, packed full of informative presentations and relevant dialogue. We also had our virtual attendees on the Zoom live with us, and even some of our presenters who couldn’t come were able to share their information to the room. My personal favorite was our outdoor reception, which was a great gathering and networking opportunity. Overall, we are thrilled to be back.” Naturally, the in-person CIC enabled attendees to get some serious work done. One of the event’s biggest highlights, a special presentation by the CIC Future Disruptions Committee, examined what automobiles – and the industry that works on them – might look like in 2035. While much of the forward-looking discussion involved electric vehicles, autonomous driving and virtual claims, perhaps the most impactful piece came when Committee Co-Chair Frank Terlep (Auto Techcelerators, LLC) cited figures from CCC to address a serious issue affecting the collision field in the here and now.
“Even today, less than 60 percent of vehicles are being pre- and post-[repair] scanned. What’s even more shocking [is that] 12 percent of present-model vehicles are receiving a calibration after a repair. All of us in the room should be scared to death.” Further inter-industry examinations of this and other critical matters will continue at CIC’s July meeting in Cleveland, which will again be presented live with a virtual option.
NORTHEAST Rises Again
Closer to home, AASP/NJ has huge plans for the fall. First, the 2021 NORTHEAST® Automotive Services Show will be held live this September 10-12 at the Meadowlands Exposition Center in Secaucus. It will mark the association’s first face-to-face gathering since the start of the pandemic. “Everyone is so excited to finally get back together,” comments NORTHEAST Show Manager Thomas Greco (AASP/NJ secretary and president of Greco Publishing). “We would be returning to in-person events this month, but we already have a virtual meeting set up for June. “We don’t have meetings in the summer, and NORTHEAST will be in September. We plan to return to in-person meetings with AASP/NJ’s Annual Meeting in October.”
This year’s NORTHEAST will feature the return of the live Collision Professional Repairer Education Program (Collision P.R.E.P.), again presented by the Washington Metropolitan Auto Body Association (WMABA). The first announced live course, Frank Terlep’s “Collision Repair, 2035: Trends and Technologies That Will Force the Collision Industry to Reinvent Itself,” will provide those who missed the opportunity to attend the most recent CIC with an opportunity to gain further insight into ADAS and many of the other topics discussed during the Future Disruptions Committee presentation. As a lead-in to its live training events, WMABA will host a special virtual Collision P.R.E.P. course, ‘“Differentiating Labor Rates Based on Certification, Skillset, Tooling & Training,’’ on June 9 (with an on-demand viewing option
to be made available following the event). Presented by Mark Olson of VECO Experts, the class will explore what goes into establishing a Labor Rate based on technicians’ expertise and types of repairs performed. Olson will also discuss the growing use of the Right of Appraisal as a means of settling financial disputes that arise during the repair process. More information on this year’s live Collision P.R.E.P. schedule at NORTHEAST will be available in next month’s New Jersey Automotive.)
In addition to NORTHEAST, this fall will also see the return of the live SEMA Show at the Las Vegas Convention Center during the first week of November. After presenting a virtual version of its Repairer Driven Education (RDE) program last year, SCRS is currently finalizing its 2021 live course schedule. RDE presenters confirmed at press time included (among others) attorney and recent AASP/ NJ virtual meeting presenter Patrick J. McGuire, Mike Anderson (Collision Advice), Lee Rush (Sherwin-Williams), Danny Gredinberg (Database Enhancement Gateway) and Eric Newell of AirPro Diagnostics. (Last year’s virtual RDE program is still available through the end of August via the link featured at the end of this story.)
OEM Repair Victories
Although there is a lot to look forward to this summer and fall as the threat of COVID-19 continues to diminish, there have still been recent industry activities in the virtual world that are worth noting – particularly in the world of OEM repairs.
In collaboration with SCRS and the Automotive Service Association (ASA), AASP National has issued a position statement that “acknowledges the act of scanning a vehicle using a qualified scan tool as a necessary and not-included operation that is legitimately expressed on a repair order with either a fixed cost, in labor hours and/or [a] set dollar amount.” Additionally, the joint statement defines a “qualified scan tool” as “a device approved by the vehicle’s manufacturer (OEM) to provide a repair technician access to the status of the vehicle’s sub-systems. OEM-approved scan tools are specific to each OEM and have the complete suite of capabilities as determined by their service engineering groups.” The statement further specifies that “qualified scanning personnel should be familiar with scan tool operations, vehicle-specific set-up operations, adding battery support, researching vehicle manufacturer processes and diagnostic code interpretation.”
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AASP National also worked with SCRS and other members of the Database Enhancement Gateway (DEG) in reaching out to the industry’s leading Information Providers (IPs) to stress the importance of their products embracing OEM-centric repairs based on vehicle manufacturers’ procedures. In response to these efforts, CCC has updated its Labor Time Premise to include the following language:
MOTOR recommends a review of the OE service information at the time of estimate preparation to confirm the OE manufacturer repair procedure(s). MOTOR assumes the repair facility is equipped with the necessary tools, equipment and training to complete any given repair following published vehicle manufacturer repair procedures.
Auto Body Association of Texas (ABAT) President Burl Richards was one of the affiliate association members who prompted SCRS’ work with CCC in addressing the language in this update.
“As a shop owner, I’ve always believed that if insurers and repair facilities are expected to use the industry’s major estimating systems, then these products should be based on OEM guidelines,” Richards said in a statement. “I also know that SCRS is in regular contact with IPs in regard to potential changes and inquiries from industry
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793 11th Avenue at 55th Street New York, NY 10019 212-246-7375 Fax: 212-315-9560 MININYC.COM FACEBOOK.COM/MINIOFMANHATTAN members […] I’d love to see similar language like that turn up in the other estimating systems, and I know SCRS is actively having conversations with them to work this out.”
It’s been far too long since industry members hit airports and hotels in order to move this industry forward, but we’re finally on our way back. If you’re looking for an opportunity to get out of your house or office for a rewarding experience (and who isn’t?), now is the time to plan to attend NORTHEAST and other upcoming events and celebrate an industry that’s stronger than any crisis that comes its way.
Pre-registered NORTHEAST 2020 attendees will not need to re-register for the 2021 show, as badge data will be carried over to these new dates of September 10-12.
For updates and information on NORTHEAST, please continue to visit the official event website at aaspnjnortheast.com.
Links: AASP/NJ’s NORTHEAST Automotive Services Show:
aaspnjnortheast.com
Collision P.R.E.P.: wmaba.com/collisionprep Collision Industry Conference: ciclink.com SCRS’ Repairer Driven Education: rde.scrs.com CCC Labor Time Premise: bit.ly/CCClabortime AASP/SCRS/ASA Joint Position Statement:
bit.ly/SCRSscancomp
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