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Business Tools | Friday September 19 NABC Questions Skewed Auto Body Fraud Statistics from California BARThe use of selective rather than random sampling by the California Bureau of Automotive Repair (BAR) has been misinterpreted as representative of auto body fraud in the entire collision repair industry according to the National Auto Body Council..By investigating vehicles with auto body complaints, the BAR concluded a 43 percent incident of fraud, far greater than any random sample would show. according to Chuck Sulkala, Executive Director of the National Auto Body Council (NABC). “While accurate”, Sulkala said referring to the statistics made public (Sept 10), “there is a distinct difference between accuracy and validity, as well as a very questionable predisposition to finding fraud.” The BAR study did not consist of a random sample of repaired vehicles. The individual repairs were investigated by the BAR after being contacted by the vehicle owner, Sulkala said. “Is it surprising that BAR found problems with 43 percent of the vehicles they examined? Hardly, considering the way the sample was skewed by the BAR’s methodology. It is more surprising that 57 percent of the repaired vehicles showed no problems at all.” Sulkala said the California BAR has done this before. Last year, BAR inspectors were quoted as saying that as high as 90 percent of the repairs they inspected contained some level of fraud. “These statements, and coverage of the BAR study have been presented as a representative sample of the work of our entire industry. That is clearly not a fact supported by the BAR’s research methodology,” Sulkala said. Sulkala said a greater concern is that other groups, particularly insurers, have started using what he called pseudo-statistics as part of advertising and public relations campaigns. “In essence, they are trying to improve the image of their segment of the industry at the expense of another segment, and are doing so by misusing BAR information they should know lacks any statistical validity. The National Auto Body Council finds this behavior unacceptable.” Sulkala called auto repair fraud a serious problem facing consumers and the collision repair industry. “The National Auto Body Council has supported numerous efforts to inform both the public and repairers on both the issue and methods necessary to prevent repair fraud. The misrepresentation of results from the BAR’s report on auto body fraud only serves to confuse consumers further,” he said. The National Auto Body Council is a not-for-profit association whose sole purpose is to improve the image of the collision repair industry in the eyes of the general public and to recognize the pride and professionalism of its members. Members and sponsors are all employed in some aspect of the collision repair industry. For additional information about the National Auto Body Council, call 888-667-7433, or visit the NABC website. ©2003 Collision Repair Industry INSIGHT | FEATURED
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