Cool It
Are your customers keeping cool? Are their cars and trucks keeping cool? With front-end damage being common, cooling systems are regularly affected and must be properly restored. Even though condensers and radiators are regularly replaced, it can quickly get complicated.
Are radiator replacements a mechanical labor operation or a body labor operation? How about the condenser? Fan shroud? Hoses? Heater core? The real question here is which labor rate should be applied because there may be a significant difference in dollar amounts. The phrase "should be applied" implies some standard. If there were a universal standard in place, this would be simple. It is for some parts. It's not so universal for others as we will see below.
Why is a mechanical rate different? A complete answer could consume volumes of writing about automotive repair history and still not find a solid conclusion. It would contain arguments including the effects of third party payments, predictability of repairs and competition. For now, the difference in rates is simply a given. Let's focus on the fuzzy line between labor types.
First, let's look at where there is agreement. Air conditioning parts are prestored at the mechanical rate on all three computer estimating systems. This includes condensers, refrigerant lines, evaporators, evaporator cases and most other refrigerant system parts. Refrigerant recovery, evacuation and recharge are also prestored at the mechanical rate.
Is radiator replacement a mechanical operation? Isn't it usually done along with A/C condenser replacement? Mitchell and Audatex prestore radiator replacement as a body labor operation; it may or may not fit your situation.
Motor identifies a radiator as a mechanical part. Therefore, CCC's Pathways indicates this with an "m" on the estimate just left of the labor column. Selected normally, the radiator is automatically inserted at the body labor rate. This may be accurate for your situation. If not, the rate can be changed and an "M" will show just right of the labor column (without an asterisk). That labor amount will then be calculated at the mechanical rate.
All three prestore blower motors, heater cores and heater cases as mechanical operations, but additional parts (including fans, shrouds and hoses) are different. Audatex and Mitchell default these parts to body labor. Motor (and thus, CCC) define these as mechanical parts and are inserted similar to the radiator as above.
All three include drain and refill coolant in radiator replacement labor. Is bleeding or purging air from cooling systems included when needed? How about pressure testing the system? Do you know how your system handles these? Do you have a policy in place for estimating any extra cost for these operations?
Complications increase when a radiator support is involved. All three estimating systems prestore their labor at the body rate, but identify welded radiator supports as structural parts. If entered on the estimate with a structural rate, they could include multiple operations with different rates. Let's take a simple example of replacing three parts: a welded radiator support at the structural rate, a radiator and an A/C condenser.
If the radiator and condenser labor are included with the radiator support, their labor would be included at the structural rate. On some vehicles, CCC adds an additional line for labor if the A/C option is selected. It shows an "m," although added at the body rate. It can be easily changed. Mitchell has a head note item available, "Add to R&R Radiator Support," which can include condenser labor. It would be added at the mechanical labor rate.
Awareness is key. Know how your system works, understand the others, and have policies in place when situations come up. That way, everyone keeps cool.
"A yawn is at least an honest opinion." — Gas station in Rock Falls, Ill.
Bruce Burrow, AAM started writing estimates over 30 years ago, has worked for most of the information providers, and, as an independent instructor for the last 10 years, has trained estimators all across North America. He is ASE Master certified and an instructor for the Automotive Management Institute. Send questions, ideas, and comments that you would like to see addressed here to [email protected] and stay tuned.
