Insurer transparency, objectivity in providing referrals, and improved cycle times were the themes of the Collision Industry Conference (CIC) Trade Practices Committee’s proposals for improving claims handling procedures used by insurers and body shops.
The CIC made its five recommendations public Friday, and gave them to its Insurance Relations Committee for further study.
The proposals are as follows:
Published agreement guidelines for direct repair and referral programs should be published to provide transparency to insurer’s processes and objectives. Insurers should provide intended field application of the program’s policies, guidelines and metrics, along with a process for handling deviations from company policy.
Word-tracks providing consumer referrals to repair shops should not include comments, remarks or statements that disparage any collision repair business. Repairers should refrain from making disparaging remarks about insurers, direct repair programs or other facilities.
Repairers and insurers should expand collaboration efforts to improve administrative and workflow processes to cut costs and improve repair cycle time.
Collision repair processes and procedures should be consistent with labor procedures provided by the OEM, I-CAR, Tech-Cor and material and equipment suppliers. Labor practices that have been disapproved by the OEM should not be included in damage assessments, appraisal or estimate or repair.
Repair shops should be allowed to select the vendor of their choice for products and services, as long as those vendors meet performance criteria and requirements of the program. Insurers should publish requirements so qualified vendors can determine if those requirements can be met.
The committee selected these five proposals from an initial list of 28 that were voted on by members.
The CIC believes these proposals will help repairers streamline their direct repair program management activities and spend less time on administrative tasks.
Visit www.ciclink.com/fairtrade.htm for more information on the proposals.
