Score two points for collision repairers!
Sometimes the collision repair industry can come together to achieve a
common goal, and our first clear case in point is the efforts of shops and
insurers to make their concerns known regarding the restrictions ADP was
considering and the ones CCC had put in place to access the
Estimating-to-Management System (EMS) transaction file.As you will read in our coverage of the
Collision Industry Conference (CIC) on page 14 and in our feature on
e-commerce on page 28, both ADP and CCC reversed their positions in early
April and will not restrict access to the EMS file produced by their
systems. Their change of heart brings them into line with the positions
held by Mitchell International and Comp-Est, who never sought any form of
EMS restriction.Last fall, the EMS access issue came to
light after CCC began requiring shops wanting to have their EMS-export
functionality enabled to prove that the need was strictly to interface
with a management system and not a third-party claims communications
provider. At December's CIC, the issue came front and center. Many shops,
hopeful third-party claims communications providers and insurers aired en
mass their concerns that CCC's course of action and the rumored plans of
ADP to act likewise were primarily designed to hinder competition.Action followed quickly as CIC formed a
Data Issues Task Force in January. Chaired by Jim Laning, a claim
consultant for State Farm, the task force has a range of participants that
include shops, insurers, information providers and new entrants to the
claims communications field. Several conference calls later, the impact of
the task force's was felt as ADP and CCC reversed their positions on EMS
restrictions during the CIC meeting in Minneapolis.Freeing access to the EMS file will
disconnect the estimating system from the communications system with
insurers. Some have expressed the hope that this will convince insurers to
eliminate the requirement for shops to have multiple estimating systems-a
hope that has even been expressed by Laning. (Of course, State Farm
already has put its money where its mouth is when it comes to open access.
The company already accepts estimates from any of the big three estimating
systems, and doing so has required the insurer to have each system
internally.) Many shops have multiple systems for no other reason than
their need to communicate with a wide range of insurers. Disconnecting
communications will give insurers one less reason to require the use of a
specific system.A few individuals-those who choose to not
participate-have often leveled the charge that CIC is an elite club whose
participants put their individual business interests above those of the
collision repair industry as a whole. Perhaps the success of this effort
to open access to the EMS file will finally lay that charge to rest.The second gain for collision repairers
comes with the news bit on our cover that announces the signing of a shop
licensing law in New Jersey. Repairers, working together through the
Alliance of Automotive Service Providers of the Garden State (AASP/GS),
have succeeded in putting some real teeth into a licensing law that
previously offered no real benefit to consumers or shops. (Editor's Note:
Because the legislation was signed as ABRN was going to press, we will
examine the provisions of this new licensing law in-depth in next month's
issue.)The existing licensing law in New Jersey
was little more than a shop registration requirement-pay your fee, and
you're done. But the recently passed legislation adds equipment and
training requirements, and funds gathered through licensing fees will be
used to enforce the provisions of the law. Now consumers will be assured
that the repair facilities that are licensed will have at least the bare
minimum of equipment and ongoing training necessary to repair a collision
damaged vehicle.These two successes are clear examples of
the results achieved by those people in our industry who take the time to
further not only their individual business goals but also the entire
industry. Surely, each and every one of us works to further our personal
interests-financially or otherwise. But the convergence of the individual
interests that we see at CIC meetings and association gatherings across
the country often leads to the development of ideas, programs, plans and
policies that benefit the industry as a whole.Those whose businesses allow them the
opportunity to work on the "big" issues deserve your moral
support, if not your financial support and personal time or assistance.
Sure, it's tough to find the time to get involved. Every day, you work
hard to satisfy your customers by providing quality repairs in a timely
fashion. At the same time, you must provide a safe work environment for
your employees. You do all this while trying to maintain a fair and
equitable profit in the face of ever-increasing customer and insurer
demands. Guess what? So do those who are involved.
About the Author
Russell Thrall III
Former ABRN Editor-in-Chief Russell Thrall, a second-generation collision repairer, has experienced the shop from the bottom up, starting as a clean up person and working his way to assistant manager by age 17. Thrall joined the staff of Chilton's Automotive Body Repair News in 1991 as technical editor and as senior editor in 1992. From 1993 through 2000, Thrall served as editor of Collision Repair Industry INSIGHT. Thrall returned to the staff of ABRN in June 2000 as editor-in-chief of the industry's largest monthly trade magazine. Thrall was a frequent speaker at industry events including the Collision Industry Conference (CIC), NACE, and numerous other local and regional events. He served as co-chairman of the Collision Industry Conference Electronic Commerce committee and is a member of the Board of Directors of the National Auto Body Council.
Sign up for our eNewsletters
Get the latest news and updates