Hot Topics

The big topics are all over this September issue of INSIGHT: DRPs, aftermarket parts, estimating systems, financial performance, CIC, and I-CAR. I feel as though we are headed back to school this month, with reading assignments and homework piling up.

Our Collision Repair Industry certainly demands that we all collect a constant stream of new information, filter the useful data out, build a way to implement new tools, pass real life tests, and make enough money to keep on working.

The industry has “study groups,” to help us get the good grades we need to stay in business - CIC, SCRS, NABC, I-CAR, Mentors At Work, ASA, to name a few. It always amazes me that any industry participant can imagine going it alone without these industry associations and resources.

Our feature article this month is the first part of a series INSIGHT is offering on the current state of Direct Repair Programs (DRPs). Are DRPs equitable business relationships and workable partnerships between shops and insurers? Are DRPs raising or lowering the standards for quality repairs and customer service? Are the wrong collision repair facilities getting too much insurer business? Are some insurers misusing DRP contracts to micro-manage repair shops? Are contracts fair? These questions and many others need to be addressed.

As usual, INSIGHT advises any shop owner to do the math homework for ANY business decision: Determine if a business decision will increase profit or cost more than it is worth.

Another hot topic this month is the Illinois Supreme Court’s overturning of the 1999 Avery vs. State Farm decision that struck the aftermarket parts manufacturers and distributors a serious blow six years ago. This will certainly be a continuing hot topic for debate and discussion for at least the next year or so.

Speaking of homework: Your assignment is to register for NACE 2005 online at www.NACEexpo.com this week. The big event will be in Las Vegas, November 2 - 5.