We Need State Licensing — And We All Know Why Insurance Companies Fight It 

We can’t continue fighting each claim or supplement to be paid for proper repairs. We need to start pushing for state-level licensing and oversight. 
Oct. 31, 2025
4 min read

If you’ve been in this business for any length of time, you already know how broken the system is. We talk about safe repairs, we invest in training, and we battle with insurers every day just to get paid for the work we actually do. And although we often don’t get paid for all we do, we do it anyway – because we want to do a safe repair. And yet, in most states, you don’t need a single license to put a wrecked car back together. 

Let’s call it what it is: ridiculous. 

Think about it. In my state, someone needs a government-issued license to cut your hair, but the person welding a quarter panel, resetting ADAS, or reinstalling airbags? Nothing. No required certification. No license. No oversight. And it’s not because the industry doesn’t know better. It’s because the insurance companies have lobbied hard to keep it this way. 

Why? Follow the Money. 

We all know what happens if the state steps in and starts requiring technicians to be licensed or certified. Labor rates go up. Training becomes mandatory. Shops must meet actual standards. Suddenly, collision techs are recognized for what they really are: skilled professionals doing critical safety work. 

And that’s exactly what insurance companies don’t want. Because higher standards mean higher costs, and that messes with their loss ratios. 

They don’t care if the car is safe. They care if it’s cheap to fix. As long as a car rolls out the door and they can say the claim is closed, they’re happy. But safe, proper repairs done by trained techs? That costs money. That’s why they fight against licensing and regulation at every turn. 

Shops Like Ours Do It Right — But It's Voluntary 

Many of us, the reputable, long-standing shops, already invest in proper training. We send our techs to I-CAR, OEM training, and advanced courses. We stay current with evolving repair procedures and invest in the tools and equipment needed to repair modern vehicles correctly. 

But here’s the kicker: all of that is voluntary. 

It’s up to each shop to decide if they want to do things the right way. And while some of us make that commitment, there are plenty of shops that don’t. Fly-by-night shops pop up with no formal training, no certifications, no clue about OEM procedures. They “figure it out as they go” and undercut shops like ours while doing it. 

That hurts all of us. It hurts the reputation of our industry, it creates unsafe repairs on the road, and it plays right into the insurance companies’ hands. 

No Standards, No Oversight — No Accountability 

As it stands today, there’s no system in place to hold untrained or careless shops accountable. There’s no state-level standard. And without that, insurance companies can continue to dictate how repairs are done, often based on what’s cheapest, not what’s right. 

Licensing changes that. 

If collision technicians were required to be licensed — just like barbers, electricians, or HVAC techs — the game would change overnight. Here’s what we’d gain: 

  • Standardized training requirements 
  • Higher labor rates to match technician skill levels 
  • Real accountability for improper repairs 
  • Consumer trust in licensed, regulated professionals 
  • Less leverage for insurers to underpay or manipulate repair processes 

It would raise the bar for everyone and would help level the playing field between shops that invest in doing it right and those that cut corners just to stay busy. 

“Safe Repairs” Are Just a Talking Point Without Regulation 

We’ve all heard the buzz phrases: “safe repairs,” “proper procedures,” and “doing what’s right.” And we believe in that. But until there’s a legal standard, all the talk in the world won’t fix the real problem. 

If we want to change the collision industry for the better, we can’t just keep fighting claim by claim, supplement by supplement. We need to start pushing for state-level licensing and oversight. 

This is about more than money. It’s about respect for our trade. It’s about consumer safety. It’s about not letting people without any formal training put cars back together that will be driven by families at 70 mph down the highway. 

So What Do We Do? 

We need to start speaking up, not just in our shops, but at the state level. Talk to your local reps. Support industry associations fighting for technician licensing and regulation. Educate your customers. And stop accepting the idea that this is just the way it is. 

We’ve let insurance companies run the show for too long. It’s time to push back with real change — change that will raise the standard, increase pay for skilled technicians, and protect the people driving the cars we fix. 

Licensing is the first step. It’s long overdue. And as professionals who care about doing things the right way, we should be leading the charge. 

About the Author

Tiffany Menefee

Tiffany Menefee has been the owner of Pronto Body Shop in El Paso, Texas, since 2015. She is also a former insurance adjuster.

Sign up for our eNewsletters
Get the latest news and updates