June 2024 Midwest Edition

Page 1

Automatic Emergency Braking to Be Standard on All New Vehicles by 2029

The National Highway Traffic Safety Administration (NHTSA) on April 29 announced it has finalized a new rule that will make automatic emergency braking (AEB), including pedestrian AEB, standard on all passenger cars and light trucks by September 2029, in a bid to significantly reduce rear-end and pedestrian crashes.

NHTSA projects the new Federal Motor Vehicle Safety Standard will save at least 360 lives a year and prevent at least 24,000 injuries annually.

contact with a vehicle in front of them up to 62 mph, and that the systems must detect pedestrians in both daylight and darkness. In addition, the standard requires the system apply the brakes automatically up to 90 mph when a collision with a lead vehicle is imminent, and up to 45 mph when a pedestrian is detected.

This final rule applies to vehicle weighing 10,000 pounds or less, which includes nearly all U.S. light vehicles.

AEB systems use sensors to detect when a vehicle is close to crashing into a vehicle or pedestrian in front and automatically applies the brakes if the driver has not. Pedestrian AEB technology will detect a pedestrian in both daylight and in darker conditions at night. The NHTSA said the new standard will significantly reduce injury or property damage and associated costs from these crashes.

The new standard requires all cars be able to stop and avoid

The vast majority of light vehicles sold in the U.S. already come equipped with the feature. In December 2023, it was announced 20 automakers had fulfilled a voluntary pledge they signed in 2016 to equip nearly all the light vehicles they produce for the U.S. market with AEB. The list included Toyota, Honda, Ford, GM and Stellantis. That pledge had been brokered by the NHTSA and the

Toyota to Invest $1.4 Billion in Indiana Plant for Electric SUV Production

Toyota announced another $1.4 billion investment in its Princeton, IN, facility to assemble a new three-row battery electric SUV, bringing Toyota’s total investment in the plant to $8 billion. The move is expected to create up to 340 new jobs and is part of Toyota’s

broader $18.6 billion investment in its U.S. operations aimed at enhancing electrification efforts.

“Our team members are the heart of Toyota,” said Tim Hollander, president of Toyota Indiana. “We take great pride in producing quality

l

REGIONAL NEWS

CIF Raises Nearly $11,000 for Technician Injured in Car Crash

The Collision Industry Foundation (CIF) recently presented a check for $10,845 to Gary Noble, a technician at Louisville Collision Center in Louisville, KY, who was injured in a severe collision in November 2023 that required a lengthy hospitalization and rehabilitation.

The funds were raised by a “challenge grant,” announced by CIF in late February. Through March 8, CIF matched every dollar donated, to go to Noble, who has still not been able to return to work, to meet immediate needs.

In the crash, Noble suffered a broken ankle, fractured ribs and a ruptured sternum.

“I want to say thank you to everyone at CIF!” Noble said. “My wife and I are so grateful for the money that was raised. The funds will keep us from getting behind on our monthly bills, especially since we now have several medical bills, also.” Steve Olson, who owns Louisville Collision Center, presented the check to Noble.

IL / IN / IA / KS / KY / MI / MN / MO / NE / ND / OH / SD / WI MIDWEST E DITION YEARS 42 AUTOBOD YNEWS.C OM Vol. 13 / Issue 9 / June 2024
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CONTINUED ON
l CONTINUED ON PAGE 22 REGIONAL NEWS
l CONTINUED ON PAGE 18
Columnist Mike Anderson: Battery Reconnects Lead Police to Visit Shop 3 Times Until Solution Found 6 Columnist Abby Andrews: Car Insurance, Repair Cost Increases Far Outpace Overall Rate 20 Columnist Stacey Phillips Ronak: Talent Acquisition Program Leaders Share Insight During IBIS USA 4 Columnist John Yoswick: Associations Working to Enact State Laws on OEM Procedures, Right to Appraisals 8 INSIDE THIS ISSUE PRESORTED ARANDST D S.U. AGPOST E AIDP P ERMIT 8#28 ,ANAHEIM CA P.O. BOX 1516, CARLSBAD, CA 92018 Change Service Requested

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Index of Advertisers

REGIONAL NEWS

AASP-MN Awards $16,000 in Scholarships to Auto Students 30

Auto Color & Equipment Joins Wesco Group 42

Autoworkers Vote to Strike at Stellantis’ Warren Stamping Plant 40

Car ADAS Solutions Announces New Licensee in Michigan 22

Christian Brothers Automotive Opens New Shop Opens in Papillion, NE 39

CIF Raises Nearly $11,000 for Technician Injured in Car Crash 1 GM to Shift Headquarters to Detroit’s

NATIONAL NEWS

ALLDATA Launches Repair Planner 16

Automakers Report Strong Hybrid, EV Sales in April 38

Automatic Emergency Braking to Be Standard on All New Vehicles by 2029 1

Average Length of Rental Continues Decline from Post-COVID Highs 48

Brian Martin Joins AkzoNobel 30

Caliber Launches Nationwide Food Drive 34

CIF Announces Repeat Annual Donor 42

DSG Acquires S&S Automotive 39

Fix Auto USA Celebrates 200th Store Milestone 35

COLUMNISTS

Mike Anderson Battery Reconnects Lead Police to Visit Shop 3 Times Until Solution Found 6

Abby Andrews Auto Glass Now Launches Campaign Emphasizing Nationwide Reach, Speed 23

Bosch Bringing EV Training to Technicians Nationwide 17

Car Insurance, Repair Cost Increases Far Outpace Overall Rate 20

Health Insurance-Buying Pool Can Counteract Trends Driving Up Costs for Collision Repairers 32

New Event to Give Repair Shop Owners Tools to Attract, Develop, Retain Top Talent 10

Performing Dynamic Calibrations In House Can Mean Big Returns on Minimal Investment 24

Hudson Building 36

Kansas Car Dealer Fined $418K for Deceptive Sales Practices 45

Stellantis Cuts 200+ Supplemental Workers Amid Union Tensions 34

Toyota Kentucky Plant Now Producing 2025 All-Hybrid Camry 18

Toyota to Invest $1.4 Billion in Indiana Plant for Electric SUV Production 1

Young Auto Body Shop Owner Joins CARSTAR 16

Ratings Expose Driving

46

to Lead Development of asTech Mechanical 51

Investigating Ford’s BlueCruise After Fatal Crashes 40

Forester Excels in Tough New IIHS Crash

Stacey Phillips Ronak

AkzoNobel Collision Industry Experts Event Focuses on Business Strategies for Repairers 28

Collision Facility Owner Sees Value in Supporting Customers, Employees, Community 12

Talent Acquisition Program Leaders Share Insight During IBIS USA 4

John Yoswick

Associations Working to Enact State Laws on OEM Procedures, Right to Appraisals 8

CIC Adopts Distinct Definitions of ‘Estimate’ and ‘Repair Plan’ 29

Shop Owners: Insurers Could Take NonFinancial Steps to Improve Claims 14

autobodynews.com / JUNE 2024 AUTOBODY NEWS 3 Contents
Ford
Losses
Hyundai,
Thefts in
IIHS
Subaru
WIN
Leadership
WIN
Seeks Supplier Cuts Amid EV
50
Kia Lead Surge in Vehicle
2023 42
Automation Flaws
Johnson
NHTSA
Tests 51
Announces 2024-25 Board
36
Annual Conference Encourages Women in Collision Repair to ‘Dream Out Loud’ 44
3D International LLC 22 ADAS Solutions LLC 10 Auto Data Labels 11 Audi Wholesale Parts Dealers 49 Axalta ����������������������������������������������������� 5 BMW of Des Moines����������������������������� 30 BMW Wholesale Parts Dealers 49 Borton Volvo 40 Buerkle Honda 42 Certified Automotive Parts Association 14 Classic BMW MINI 34 Classic Chevrolet 31 Classifieds 50 Columbia Hyundai 40 CPS Products 6 Ford Wholesale Parts Dealers 46 Gandrud Parts Center 21 Gerald Kia 32 GM Wholesale Parts Dealers 47 Herkules Equipment Corporation 17 Honda-Acura Wholesale Parts Dealers �26-27 Hyundai Wholesale Parts Dealers ��������� 45 Jake Sweeney Chevrolet 24 Kelly BMW 39 Ken Ganley Subaru North Olmsted 35 Ken Ganley Volkswagen North Olmsted 28 Kia of Lansing 38 Kia Motors Wholesale Parts Dealers 43 LaFontaine Buick-GMC-Cadillac 34 Laurel Auto Group of Westmont 33 Luther Bloomington Acura-Subaru 41 LKQ Corporation 7 Luther Brookdale Mazda 42 Maplewood Toyota 36 Mazda Wholesale Parts Dealers ������������ 51 Midwest Parts Group ���������������������������� 13 MINI Wholesale Parts Dealers 48 Molle Volkswagen 20 MOPAR Wholesale Parts Dealers 25 Morrie’s Brooklyn Park Subaru 38 Morrie’s Minnetonka Mazda 32 Nissan/Infiniti Wholesale Parts Dealers 51 NorthAmerican Bancard 29 Polyvance 16 PPG 19 Pro XL Refinish Solutions 15 Richfield Bloomington Honda 36 Rydell Chevrolet-Buick-GMC 37 SATA Spray Equipment 2 Sears Imported Autos, Inc 39 Spray Booth Products ��������������������������� 52 Subaru Wholesale Parts Dealers ����������� 44 Sunmight USA 9 Toyota Wholesale Parts Dealers 48 Volkswagen Wholesale Parts Dealers 48 Zip’s AW Direxct 23

Stacey Phillips Ronak — Solving the Tech Shortage

Talent Acquisition Program Leaders Share Insight During IBIS USA

With various talent acquisition initiatives being implemented for the collision industry, five program leaders recently shared insight about the technician shortage during a panel discussion held in March at the International Bodyshop Industry Forum (IBIS) USA conference in Anaheim, CA.

Dave Smith, an independent consultant for the collision industry, moderated the panel, which focused on what is being done to address the talent issue and the collaboration taking place.

Erick Bickett represented the Collision Career Institute as its cofounder and CEO. The institute provides a defined career path and training for entry-level technicians. The executive director of the Collision Repair Education Foundation (CREF), Brandon Eckenrode, discussed CREF’s support of educational programs, schools and students to create qualified, entry-level employees and connect them with career opportunities.

Dara Goroff, I-CAR’s vice president of planning and industry talent programming, shared information about I-CAR’s Collision Careers platform, created for the industry and external partners to collaborate to help reposition the industry as a growing, exciting and stable field. The Collision Careers website includes information about industry roles and explains a typical career path. It also has downloadable posters and printed materials for school administrators, advisors and counselors to share with career seeking students.

Jennifer Maher, CEO of the TechForce Foundation, talked about the nonprofit’s dedication to helping young people explore the technician profession and champion them throughout their journey. The national marketing and engagement director of Collision Engineering, Molly Mahoney, explained their partnership with colleges focused on delivering an immersive apprenticeship training model for collision repair training programs to help build a new generation of collision professionals.

Creating

Industry Awareness Panelists stressed the importance of bringing awareness to the collision industry.

“There are almost 160,000 new technicians needed every year to keep up with demand,” said Maher.

She noted all skilled trades — auto, diesel, motorcycle, marine, motorsports, welding, etc. — are facing a shortage.

“At the end of the day, you’re not only competing with the other sectors of the mobility industry, you’re competing with all skilled trades so you have to cast that net wider,” she advised. “You have to be able to fill the pond and they need to hear that the technician profession is a great career path.”

“We’re essentially in a trade war,” added Eckenrode. “We’re competing against the other trades for people. We want to be the first choice for these students.”

Maher said prospective candidates need to see what the industry is like and how they fit in.

“Some will be very passionate about collision; some might not be,” she said. “You need to bring them in because they may start as an auto tech, but then their curiosity is piqued, and they might migrate to collision.”

Bickett pointed out the industry needs a larger funnel.

“We need a good sample to look for the right aptitude and attitude — what’s in the head and the heart — because we’re going to spend a lot of time and energy to help these new entrants be successful.”

Goroff suggested casting that wide net through social channels, YouTube videos and other places where students are already looking for information. The Collision Careers YouTube channel has seven videos, with more to come, ready for industry use and geared towards attracting future technicians to all roles.

She also recommended creating belief.

“If somebody doesn’t believe that they will find their fit in our industry, be respected and have a career path, it doesn’t matter how much we

market to them,” she said. “We truly want people to be able to picture themselves thriving as a collision repair technician.”

When looking for employees, she suggested reaching out to a diverse audience and using words and imagery they aspirationally use to describe themselves, such as innovators, dream makers, problem solvers, creators or game changers.

Eckenrode recommended working with school counselors to help spread the message.

“We’ve heard that students are being told to pick their career path at the junior high level, so we can’t wait until they get to high school to have them consider or even be aware of this industry,” he said.

Mahoney noted technical careers are increasingly being talked about in mainstream media.

“The problem is they’re not talking about collision,” she said. “What we’re seeing, especially at career fairs, is that many of those with a four-year degree are looking for different, unique opportunities.”

However, they often don’t know where the entry points are and aren’t easy to find. Mahoney said education must be part of the solution.

Someone might walk into a school and say, ‘I want to do automotive and really want to do collision,’ but they don’t know what collision is,” said Mahoney. “It needs to be better outlined. They need to know what the career path is, and they need to hear it from the students and the technicians working today.”

Financial Support for Technical Training

According to CREF’s database, Eckenrode said there are about 960 high school and post-secondary collision school programs nationwide. Many have low enrollment numbers and limited budgets.

Programs are constantly evaluated and if they don’t have enough students, they are often the first to be considered when cutting budgets.

“The support of the industry getting involved and investing in local schools is going to be key to keep them thriving and open,” Eckenrode said.

Maher said many students lack funding for tuition, even for a oneyear or community college program.

“There is a real need for tuition scholarships,” she said. “There’s also the cost of being able to afford the tools and materials.”

Whether the barriers are childcare, groceries, family work or a job, Maher said the industry’s job is to determine how to keep students learning. Many use CREF and TechForce for scholarships to help with tuition.

Goroff said a scholarship or a donation as small as $1,000 can overcome a barrier and keep a student on a learning path.

The Power of Collaboration

Bickett said a great opportunity exists for the industry to work together to address these issues.

“It’s a huge challenge and a crisis for all of us,” he said. “Everybody can play a role to help solve the problem.”

Bickett suggested the constraint comes from shops and recommended the industry adopt a learning culture.

“As more shops adopt a strategy and there’s demand for new entrants, hard work will pay off and create success in growing the organization,” he said.

“The most important thing we can do together is to make sure this industry has a stable future and we are not sustainable without new, fresh talent continuously flowing in,” said Goroff.

She recommended uplifting each other to make this an industry of choice.

“We promote TechForce and the Collision Engineering program and will hopefully be marketing our partnerships with many others in the industry, starting with those that are not for profit,” Goroff said. “This will enable our technicians to be successful as they learn.”

CREF and I-CAR collaborate with the American School Counselor Association and attend events with counselors from across the country to share information about the industry and present it in a more professional light.

In addition to talking to counselors, Maher said it’s important to speak to students and understand what they get excited about in a career.

TechForce partnered with Collision Engineering to conduct a focus group with collision students. Using the information they learned, the organizations created a video to attract students to the profession.

“Collaborating with other organizations and being able to go into schools and listen and hear and then regurgitate back to them what they’re saying is really powerful,” she said.

4 JUNE 2024 AUTOBODY NEWS / autobodynews.com
During IBIS USA, five talent acquisition program leaders shared insight about the technician shortage and the importance of collaboration.

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Mike Anderson — From the Desk of Mike Anderson

Battery Reconnects Lead Police to Visit Shop 3 Times Until Solution Found

In a column earlier this year, I shared one shop’s story about sunlight getting magnified through a small pool of rainwater that collected in the crash wrap covering a broken sunroof — causing burn damage to the interior of the vehicle. I recently heard yet another amazing and unexpected collision repair situation, this one from Ryan Clark of Eustis Body Shop, a company with eight shops in Nebraska.

Ryan told me they recently had a 2023 Nissan Altima SV in one of his shops for a routine quarter panel hit. When writing the repair plan, the shop determined it would be necessary to replace the left quarter panel on the vehicle. Part of the procedures for replacing the quarter panel is to remove the back glass from the vehicle.

“We had a sublet provider remove the back glass,” Ryan told me. “Another required operation is to disconnect the battery, something we performed multiple times during the repair. The first time the battery was reconnected in order to move the vehicle to a different department, the local police department showed up. The police officer asked if there had been a collision near our shop. We had not heard anything relative to a nearby crash, nor did the office divulge what type of vehicle had triggered the ‘crash event notification,’ so we moved on.”

My first thought as I was hearing about this from Ryan was that this was probably related to some sort of telematic accident alert system, so I would have thought putting the vehicle in service mode until repairs were completed would have solved the issue. But it probably would not have, as Ryan’s story continues.

“The second time we reconnected the battery, after the back glass was removed, the police showed up again,” Ryan told me. “It was at this time that the police told us that it was SiriusXM radio that notified the police of a crash event. We told them they were welcome to take a look around the shop, and it was at this time we determined it was the Nissan Altima leading to the crash notification. We hadn’t disconnected the rear antenna, so at first we were confused about what could be causing these calls.

“However, we did notice during disassembly that the amplifier in the rear glass was damaged upon removing the back glass,” Ryan said. “This amplifier is embedded in the urethane itself, and there was no tangible way on this vehicle to remove the back glass without damaging the amplifier. There was urethane surrounding the disconnect, so we were unable to remove the amplifier prior to removing the back glass.”

Ryan said he told the officer the crash notification would likely happen again when the shop next moved the vehicle from the paint department back to the body department.

“He told us he has to act when he gets these types of calls, so he would have to show up again,” Ryan said. “We looked through Nissan TechInfo again, and still couldn’t find a way to disable the SiriusXM radio.”

The police eventually showed up a third time, and that’s when Ryan reached out to me and my team. We also looked through Nissan TechInfo just to see if there was anything Ryan’s shop had missed. When we

didn’t find anything, we got Ryan in touch with a Nissan representative.

“Nissan disconnected the SiriusXM for us, and the next time we reconnected the battery, the police did not show up,” Ryan said. “It was the proper fix. We contacted Nissan once repairs were complete, and they turned back on the SiriusXM, we went through our normal post repair routine, and everything was functioning correctly. Eventually Collision Advice, and Danny Gredinberg with the Database Enhancement Gateway, found a work-around in the service section of TechInfo for the future.”

Ryan said this was a first for his company. The police officer told him he’d had similar calls to other body shops related to General Motors vehicles when OnStar hadn’t been disconnected, but that this was the first such incident related to a Nissan.

“We pull procedures on every

there are still things in these newer cars we must be prepared for so we can educate the customer on the potential issues that may arise,” Ryan said.

“The first time the battery was reconnected in order to move the vehicle to a different department, the local police department showed up.”

I want to thank Ryan for allowing me to share his experience. If other readers have similar unusual or unexpected repair experiences that might be helpful for other shops to know about, you can send them to my assistant, Tiffany Driggers, at tiffany@collisionadvice.com, and she

6 JUNE 2024 AUTOBODY NEWS / autobodynews.com
Ryan Clark of Eustis Body Shop was surprised to have the police show up at one of his Nebraska shops, saying they’d been notified of a crash at the location. RYAN CLARK EUSTIS BODY SHOP The disconnect for the amplifier for SiriusXM radio is embedded in the urethane for the back glass so there’s no way to remove the glass without damaging the amplifier.
autobodynews.com / JUNE 2024 AUTOBODY NEWS 7 ASK US ABOUT OUR SPECIAL PRICING! 8 8 8-8-E l i te k | ( 8 8 8 ) 8 35-483 5 www.E li te k A ut o. co m

Associations Working to Enact State Laws on OEM Procedures, Right to Appraisals

Bob Redding, chairman of the Governmental Committee of the Collision Industry Conference (CIC), drew laughter from CIC attendees in Seattle in mid-April when he polled the audience to ask: Do you think Congress is doing a good job at getting things done? Almost everyone in the room, 95% of those responding, said no.

“It’s pretty evident that this has not been the most impactful Congress in history,” said Redding, who serves as a lobbyist for the Automotive Service Association.

He pointed to legislation that Democrats and Republicans worked together to enact in 2017 to provide the auto industry with guidelines related to research and development of autonomous vehicles — a subject federal lawmakers have since failed to further agree on in the intervening years, leading to a patchwork of state-by-state regulations.

“If the federal government doesn’t do something, some or all the states will fill the void, and that’s what we’re going to talk about here,” Redding said, kicking off a panel discussion related to state collision repair associations’ legislative efforts.

‘Right

to Appraisal’

Sought Jill Tuggle, executive director of the Auto Body Association of Texas, said ensuring a consumer’s right to an appraisal when there’s a disagreement about the amount of an auto policy loss is one of her association’s key legislative priorities.

“We’ve submitted that [legislation] twice in Texas, and it’s going to be high on our agenda for 2025,” Tuggle said. “When the right to appraisal was removed from some insurance policies, we were able to get the attention of the Texas

Department of Insurance. It was kind of an ‘uh-oh moment’ for them that they realized that they let these policies kind of sneak through.

“It is outlined on their website that they believe that the right to appraisal is a consumer right, but it is not anywhere on the legal books in Texas,” Tuggle continued. “Luckily, between the DOI and the Office of Public Insurance Council, they kind of put their thumb on that, but in the meantime, we do need to get some legislation passed. So while we will still be submitting our safe repairs bill and championing that all the way to the finish line, the right to appraisal is going to be something that we put extra effort into.”

That “safe repairs bill” would have prohibited an insurer from disregarding any repair operation or cost identified by an estimating system, or any procedure recommended by the vehicle manufacturer. Tuggle said she was surprised by the opposition to the legislation from the alternative parts industry.

“We removed any OEM-partsonly language from the bill a couple sessions ago, so it’s been several years since we’ve had anything like that in there,” Tuggle said.

She said member shops often tell her they can make more money using non-OEM parts if those parts have been tested “for the same tensile strength, weight and fitment, [so that shops] had a little bit more peace of mind that the parts would fit properly and crash the same way. So standards are really the only thing parts-wise that enters into our bill language.”

She said she truly believes shops “have the power to change policy both on the state and national level” if they use their voice as someone who lives and works within their legislators’ district.

“Oftentimes, our opposition has very deep pockets, and it would take years and years for us as

independent repairers to pool the money and resources necessary to get some of the meetings that they get very easily,” Tuggle said. “But the one thing that they don’t often have is constituents in the [lawmakers’] district. And so when they go down to the state Capitol to testify in opposition of our bills, they are often flying in from other states.

It’s pretty evident that this has not been the most impactful Congress in history.”
BOB

REDDING AUTOMOTIVE SERVICE ASSOCIATION LOBBYIST

“Legislators do care about their constituents, and they do know that when the session is over, they have to go back and look you in the face,” she continued. “They have to see you at the barbecue joint, and they have to answer to you on why they voted against something that is very important to your business, or voted for something that hurts your business. And so I would say using our voice is the most important thing that we can do.”

Puzzled by Opposition

Another panelist, Washington state shop owner Jeff Butler, said he too was puzzled by some of the controversy earlier this year over the Washington Independent Collision Repair Association’s proposed legislation calling for the use of OEM repair procedures and giving policyholders the right to call for an independent appraisal when there is disagreement about repair costs.

“The committee chair, Rep. Amy Waylen, owns dealerships, and she decided to oppose the legislation,” Butler said. “We’re a little confused as to why that’s happening.”

He said federal standards have made cars safer, so it’s not clear why there is debate about fixing them to the standards to which they were built.

“There’s a roomful of us here talking about how to fix a car,” Butler said. “And yet we have to try to pass a law in order to be able to do that?”

He said another lawmaker had sponsored the right to appraisal bill because his family had personal experience with an insurer refusing

some repair costs after his wife’s parked car was hit.

Butler said his own claims consulting business has prevailed in 14 short-pay disputes that went to mediation.

“The average short-pay was $6,000, and some were $12,000,” he said. “This is not good faith. This is just not how business is supposed to be done. But it’s happening with some carriers. And let’s be fair: There’s bad actors in every segment of life, right? There are bad repairers. We’ve all seen that.

“So I’m not naming any names or saying the insurance industry as a whole is wrong, because that’s not true,” Butler continued. “There are good insurers out there doing the right thing. But this kind of behavior needs to change, which is why the laws need to change to ensure the right to appraisal exists in every policy.”

New CIC Chairman

Also at CIC in Seattle, Dan Risley of CCC Intelligent Solutions was named as the new chairman of CIC. Prior to joining CCC in 2018, he spent five years as executive director of the Automotive Service Association. He was inducted into the Hall of Eagles, the collision industry’s hall of fame, in 2022.

“I know Dan is very passionate about our industry, he’s given of himself to an immense extent, he’s very energetic and driven, and he gets things done,” Darrell Amberson, who has served as interim chair of CIC the past several months, said in making the announcement.

Risley follows Frank Terlep of Opus IVS, who served one year as CIC chair.

The CIC chair is chosen by a committee of those who have previously served one or two years as its chair since CIC was founded in 1983.

The conference is held quarterly in locations around the country. The next meeting is July 10 in Denver, CO.

8 JUNE 2024 AUTOBODY NEWS / autobodynews.com
Jill Tuggle of the Auto Body Association of Texas said they will again push next year for legislation requiring auto insurance policies to include a “right to appraisal” clause. Bob Redding, chairman of the CIC Governmental Committee, said while Congress is sharply divided politically, state legislatures continue to address industry-related legislation. Dan Risley of CCC Intelligent Solutions was announced as the new chair of the Collision Industry Conference (CIC).
autobodynews.com / JUNE 2024 AUTOBODY NEWS 9

New Event to Give Repair Shop Owners Tools to Attract, Develop, Retain

A new live event aims to empower repair shop owners and managers to find the right employees, develop them into a high-performing, selfmanaging team, and retain them.

The inaugural Repair Shop Growth Systems LIVE 2024 workshop is scheduled for May 31-June 2 at the Guttman Development Strategies headquarters in Mt. Arlington, NJ. Over three days, attendees from collision repair, diesel, transmission and general auto repair shops will participate in a series of educational sessions and breakout groups. Event organizers aim to hold similar workshops around the country going forward.

Chris Lawson is the founder of Technician Find, a leader in automotive technician sourcing, which is co-hosting the event with Magical Solutions and Shop Management Alliance.

Lawson said one of the scheduled presenters, Eddie Lawrence, a shop owner, has a quote that sums up the main focus of the event: “With the right staff in place, you gain freedom, and you can’t place a price on that.”

“He tells the story about how it took him 10 years to figure it out, and he could’ve saved himself a lot of pain if he’d had a workshop like this to address those items,” Lawson said.

Each of the three days zeroes in on a different piece of the staffing puzzle many shops are currently facing: the first day is about attracting employees, the second is about growing those employees into teams, and the third is about retaining them.

Main Issues in Repair Shop Staffing

Lawson said the automotive repair industry is facing many of the same problems as other trades. Older technicians are leaving at a higher rate than new technicians are coming in, partly due to a stigma attached to the idea of working in a trade.

But he said the other issue, which he sees personally through his work with Technician Find, is that shops don’t know how to market themselves to attract top talent.

“They don’t know how to package and communicate what they offer, their unique culture,” Lawson said. “All their job ads look exactly the same.”

In addition, Lawson said, job boards are not the best place to look for new employees.

“If someone is a good tech and they

want to work, they’re already working, so they’re not typically trawling job boards,” Lawson said. “So you have to go outside job boards to social media to find them.”

How

This Workshop Will Help

“All shops seem to have a sticking place,” Lawson said. “Some have problems attracting talent. Some have problems developing it, some have trouble retaining it.”

and Frank will talk about how to get employees behind causes, to increase retention and attract top quality talent.

Howard Guttman is a management consultant and trainer who works with Fortune 500 companies to develop highly productive, self-managed teams. He will present a session on how to do that in repair shops.

Shawn Gilfillan is Guttman’s nephew and owner of two auto repair shops.

There will be several breakout sessions to focus on individual “sticking places,” and attendees will receive workbooks so they leave with a plan to address theirs.

“There will be certain key action items within each of those areas, so they can pick which ones they want to implement when they go back to their shop, to help them get unstuck,” Lawson said.

Speakers

and Presentation Topics

Lawson said he will present his “technician attraction blueprint” that has helped Technician Find generate more than 80,000 applications for repair shops over the last six years.

Lawrence will share his “life calibration” strategy, which uses gears, knobs and dials to help people gain clarity and make progress in their lives, which he developed after he realized he wasn’t ensuring his shop’s 20 employees “felt their life worked inside and outside of the shop,” Lawson said.

“He started something called the ‘life calibration,’ born out of a near tragedy in his life, which he shares with his employees,” Lawson said. “He uses it as a retention tool.”

Leigh Anne Best and Laura Frank are the co-founders of Brakes for Breasts, which organizes auto repair shops to raise money every October for the Cleveland Clinic, which is working on a vaccine for breast cancer. Their nonprofit has donated hundreds of thousands of dollars since 2011. Best

out of the daily operations of his shops, because his employees are now capable of managing those tasks.

Gilfillan will also give a presentation on how to structure pay and create a profit-sharing plan to retain top talent.

“I speak with a lot of shop owners and general managers, and it surprises me how a lot of them aren’t really clear on what they should be paying their staff,” Lawson said. “When I fill them in based on prevailing rates in their area, they’re not sure how to back into that number. Shawn will teach a class on how much you should be paying and how to calculate that, by looking at your numbers.”

Carm Capriotto will share “The Rise of the Mechanical and Technology Specialist,” about rethinking techs’ job titles to make them more specific to the role they play in their shop.

Lawson said that gives the technicians clarity on their own role and boosts morale, while showing the public they have certain specialties that make them critical to auto care and maintenance.

He will talk about how implementing his uncle’s strategies helped him step

For more information and to register, visit www.repairshopgrowthsystems. com/get-tickets1712943095826.

10 JUNE 2024 AUTOBODY NEWS / autobodynews.com
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autobodynews.com / JUNE 2024 AUTOBODY NEWS 11 VEHICLEEMISSIONCONTROLINFORMATION
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Collision Facility Owner Sees Value in Supporting Customers, Employees, Community

As a young boy, Elias Akiki helped his father, Mounir, repair vehicles in their home garage in Massachusetts. The Akiki family had migrated to the U.S. from Lebanon in 1972 and Mounir worked at different facilities during the day and repaired cars at their residence in the evening. In 1986, he and his wife, Laura, founded Akiki & Sons Inc. in the Hyde Park area of Massachusetts.

Elias continued to help at the family body shop after school and during summer vacations. When he was 12, Elias asked the mechanical shop owner next door if he could purchase the business. Elias was told he would let him know when they were ready.

“Eventually, that time did come,” recalled Elias.

When he was 19, Elias purchased the family business, and two years later, in 2000, he bought the shop next store and named it Akiki Auto Repair.

I consider family.

Many employees have worked at the shop for more than 20 years and I’m very happy with everyone here. I don’t have a lot of turnover. If somebody decides to leave, it’s usually a mutual understanding. It’s never disgruntled; it’s just somebody going in another direction.

We want our coworkers to develop as human beings and grow, not just within our company. If that road makes them grow and they end up outside these walls, we’re fine with that as long as they’ve experienced personal growth.

Q:

How have you supported that growth through training?

A:in Boston, with about 7,000 moves a month. As the three businesses grew, Elias relocated to a larger location in Hyde Park. This includes the 20,000-square-foot collision repair facility and 10,000-square-foot mechanical shop. They currently have 100 employees, 20 of whom work in the collision business.

Autobody News talked to Elias about the importance of supporting customers, employees and the community, as well as becoming OEM-certified.

Q: What sets your business apart from others in the industry?

A: Our commitment to customers whom we consider friends, our community, and the people who work within the walls here — our employees — whom

We pay for all training our employees want to attend to help advance their career. As an I-CAR Gold Class facility, our technicians take I-CAR classes. We also arrange training for employees to keep up with their skills, such as welding. In addition, we receive training through our OEM certifications. As far as personal growth, we have a partnership with Collision Advice and Discover Leadership where we send our management and leadership team, as well as our service writers and those who interact with customers. We also have an in-house program for employees to develop their personal and professional growth.

Employees know that I’m committed to them and their growth while working together to achieve our mission of providing a world-class service and product. At the same time, I want our team to take it to another level and get paid for the work we do without putting in 10 hours of overtime. A good quality of life is important.

Many in the industry don’t want to bother training anyone because they feel the person will leave. They might and they might not. You need to put your best foot forward and think of the goodwill of the industry.

Q:

Why is it essential to be OEM-certified?

A: We are OEM-certified in every brand we can be —Acura, Ford, Chevrolet, FCA, Honda/Acura, Hyundai, Infiniti, Kia, Nissan, Rivian and

Subaru. We are working to become certified with auto manufacturers that require invitations or sponsorships. It’s essential to be OEM-certified to demonstrate that the business is dedicated to the ultimate standard of repair. Consumers know that our facility repairs vehicles according to the manufacturers’ procedures.

I explain to customers that other shops may not repair vehicles to the certified standard. We let them know that we are the only people in this entire process of repairing vehicles that work solely for them. We tell them that “You are our boss. You give us the instruction on what to do.” You can never explain that enough to customers.

Many people are always thinking about doing what is right. I tell my team to do what is right for the customer.

Q:

What is your strategy when hiring new employees?

A: I have developed relationships with the vocational schools in our area and I reach out to the school liaisons, as well as local leaders and politicians. They will introduce me to potential candidates because of my activity in the community. When you’re involved, you are going to meet local politicians who have connections with vocational schools, night programs and adult retraining programs, which helps bring in new people for internships.

A:Q:How do you and your team support the community?

We support the community in many ways and make sure we are present and accountable. If the community needs help, we step up and take care of it, whether it’s street cleaning, litter pickup, tow truck service or a road race. We sponsor every event we are asked to sponsor. We’re boots-on-theground and very present. I believe it’s important for the community to know that we feel it’s our community, too, and we’re helping to create a better place for everyone.

I take pride in being accessible. I’m vice president of the Hyde Park Main Street Association, which supports the area in many ways. We’ve remodeled about 20 abandoned homes in the neighborhood and rented them to families. I’m also a member of the Hyde Park Board of Trade. By

improving the surroundings, my neighbors are healthier and happier, which gives more prestige to the area.

A lot of shop owners think that they’re visiting the community where they work but need to realize they are improving their circumstances when they improve their surroundings. It’s not just a $100 donation. It’s a way of life.

I’ve been active in the Alliance of Automotive Service Providers (AASP)-Massachusetts for about four years and encourage colleagues to join and help support the industry. We have a lobbyist who is helping us increase reimbursement rates. When association members were picketing at the statehouse in 2021, I took coworkers with 60 of our towing trucks and wrecked cars. Although the law wasn’t changed, our labor rates have increased over the last couple of years, probably more than they’ve gone up in 30 years.

It makes a difference getting together and speaking up 100%. You may not get everything you ask for, but people take notice.

We are also members of the Society of Collision Repair Specialists (SCRS). The national organization has a lot of information that helps the industry. We reach out to them to learn about their offerings, such as the health care and 401K plans.

For the past year, I’ve taught the appraisal class in the evenings at the local vocational school for those who want to become a Massachusetts licensed appraiser. Two students in the class are now working with me and two people in the auto body program next door have joined my company. By putting in that time, I was able to hire four employees. That might not have happened, but you need to be willing to do the work and give back to the industry that has given so much.

Q: What is your advice to shop owners about getting involved in the industry?

A: I’ve noticed that some people feel it’s someone else’s job. I used to be one of those people until I realized that if everyone keeps thinking that, then no one will do it. In the generation before me, someone carried the torch. It’s a tiring, thankless job but we must pass the torch continually. Everyone needs to carry a little bit so that the load isn’t that much and we are making progress, even if it’s slowly.

12 JUNE 2024 AUTOBODY NEWS / autobodynews.com
Stacey Phillips Ronak — Shop Strategies
Many of Akiki & Sons’ employees have worked at the collision repair facility for more than 20 years.
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Shop Owners: Insurers Could Take Non-Financial Steps To Improve Claims

Ask collision repair shop owners what they wish auto insurers would do differently, and most will start their list with “pay a higher labor rate” or “compensate us for the OEM repair procedures we are performing.” But shops say there are also some nonfinancial things insurance companies could do that would improve the claims process for shops and consumers — and maybe even for the insurers themselves.

Sue Black, who with her son co-owns Dean’s Auto Body in Sheboygan, WI, said she’d like insurers just to better think through the “hidden” costs of parts sourcing.

“We all know that parts are hard to get our hands on anyway,” Black said. “If we would be able to order these supplemental parts from vendors that were within a 50- to 75-mile radius for us, for example, rather than from way across the country, I think that would cut down on some time as

actually hinder customer service and the claims process, and increases cycle time and rental expense,” Latuff added. “They could look at tracking different things that would reward the appraiser for making the right decision on that claim. But right now, the appraiser who does the right thing on that claim for that car, for that consumer, can be the nail that sticks out, and they get [negative] attention because their file scored higher on some report.”

Improved Communications

For Tom Ricci, owner of Body & Paint Center in Hudson, MA, his idea for an improvement insurers could make is something that’s “as easy as flipping a switch.” Too few insurers in his state, he said, allow a shop to download an insurer-prepared estimate, resulting in wasted shops’ time rekeying those estimates and not being able to upload supplements.

“Open the communication lines.

well, waiting for those parts to come in.”

Black also pointed to long wait times for supplement approvals as another such hidden cost. Latuff, president of Latuff Brothers Auto Body in St. Paul, MN, agreed virtual claims processing has seemed to add to the need for better shopinsurer communication.

“Since COVID, it’s been very difficult,” Latuff said. “They don’t necessarily owe us a conversation when they send the supplement because it is the customer’s policy and not ours, but it sure helps the process move a lot faster and smoother, with less rework. So I think even if they’re going to maintain a virtual presence for handling supplements, that process needs to be refined.

“I think the insurers should realize that the restrictions and guidelines that they put on their appraisers

Tiffany Silva of Accurate Auto Body in Richmond, CA, would like to see more insurance companies offering — and marketing —auto policies with OEM parts endorsements.

“They just don’t seem to be carrying the same message from here in New Mexico to Nebraska to California.”

“It is amazing when we have a customer come in that has that endorsement and we don’t even have to look for used or aftermarket parts,” Silva said. “So we’re trying to educate our customers to add that endorsement to their policy so the next time when we see them, there isn’t all the talk about aftermarket parts and the objections to them. It’s so incredibly inexpensive. My last

of having to track down money,” she said. “My office manager spent so much time on that. There’s no communication. Sometimes it gets deposited straight into the customer’s checking account, and they spend it having no idea that it was even in there. One customer spent $10,000 and then couldn’t pay us. But we had released the vehicle because the insurance company didn’t tell us they had pre-paid them.”

She said the shop has made multiple changes to its authorization form in an effort to find out if a customer received funds from the insurer, and to make the customer aware that money will be owed to the shop.

AUTOBODY

14 JUNE 2024 AUTOBODY NEWS / autobodynews.com
New Mexico shop owner Scott Benavidez thinks insurers could improve the consistency of their messaging from the top of their claims organization down to local markets
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Young Auto Body Shop Owner Joins CARSTAR

Marcos Mejia is only 24 years old, but he can already call himself an owner in the collision repair industry, as his shop recently became CARSTAR Team JC Auto Rebuilders in Rockford, IL.

His shop was already a full-service operation, offering complete auto body repair, aluminum repair, glass replacement, PDR, ADAS calibration, SRS services and calibrations, mechanical repairs as needed for the collision repair, and much more. But he wanted to continue growing his operation, so he signed the paperwork to join CARSTAR in early 2024.

“I wanted to be part of a major collision industry known all over the country and in other countries,” said Mejia. “Being in the industry, I realized that there wouldn’t be anything better than joining the program, and being part of the CARSTAR family!”

The facility, situated at 3238 W. State St., boasts a sprawling 20,000 square feet, with 17,000 dedicated to production. The location also features 25,000 square feet of secured parking

and additional customer and delivery accommodations.

Mejia’s passion for collision repair was ignited at the age of 8. When he was 12, with the encouragement of his father, he took his first step into the industry by helping his uncle, who had a mobile repair business, fix a suspension.

with CARSTAR as well.

“It was really hard to get there,” Mejia said of his journey to owning his shop at age 24. But since joining CARSTAR, “it’s going pretty smooth.”

That led him to try his own mobile business when he was 17, but he decided it wasn’t for him. He opened a shop in Chicago with a partner in 2020, which later became CARSTAR UCar Auto Rebuilders the following year.

In 2022, he opened his first independently-owned shop, and, since he was already familiar with the process, decided to align it

PLASTIC REPAIR

Mejia is committed to building his team and providing the training they need to deliver advanced repairs. He currently has four auto body technicians and two refinish technicians, two estimators and a detailer. He plans to keep on adding people to the team as the business grows.

They are an I-CAR Gold Class certified shop and are also A/C servicing certified 1234YF or regular 134-Freon.

“Marcos Mejia has already shown exceptional promise, and I eagerly anticipate witnessing his journey as he expands his impact within CARSTAR, achieving new milestones along the way,” said Damien Reyna, COO, U.S. collision, Driven Brands.

ALLDATA announced the launch of Repair Planner, the newest addition to the company’s integrated collision repair platform.

ALLDATA Repair Planner is a timesaving software tool that automates the repair planning process and helps shops plan necessary inspections and structural repairs with original equipment manufacturer (OEM) accuracy.

It works with the three major estimating systems and integrates seamlessly with ALLDATA Collision® for oneclick access to related OEM information and procedures.

Benefits to shops include saving hours of research time, getting access to OEMaccurate vehicle repair and help limiting liability. ALLDATA Repair Planner calls out critical OEM procedures, ensuring shops never miss required repairs and vehicles are repaired back to OEM standards according to the manufacturer’s own criteria.

16 JUNE 2024 AUTOBODY NEWS / autobodynews.com
ALLDATA Launches Repair Planner www.polyvance.com 800.633.3047
YOU CAN COUNT ON Polyvance® equipment and training will help you repair more plastics, keep more labor hours in your shop, and improve your cycle time. request a demo

Bosch Bringing EV Training to Technicians Nationwide

Bosch’s Mobility Aftermarket division, along with its supplier, AVI, is bringing the Bosch EV Training Tour to up to 20 cities around the U.S. this year, with plans to expand both the reach and depth of the mobile training events in coming years.

“The main purpose is that we really want to help technicians in the new world of mobility,” said Daniel Angelo, director of technical services at Bosch. “We have a huge [EV] market already. The early bird gets the worm.”

The tour began in March with the first of three classes for Bosch employees to validate the content before taking the show on the road.

The first single-day, eight-hour class for technicians is scheduled for July 9 in Houston, TX. Bosch has 19 more events scheduled across the country between July and January 2025. Each will have room for 20 attendees. The cost is currently $650 per attendee. See the full schedule and register at aviondemand.com/ shop/service-centers/bosch-evtraining-tour.

Angelo said the single-day course, led

by a Bosch-certified AVI professional trainer, will teach the basics to technicians with any level of familiarity with EVs. In addition to learning the fundamentals of an EV, attendees will learn about legislation and U.S.

AVI, said the training tour will prepare independent repair shops to service EV models as many are aging well past the warranty.

standards, then work hands-on with a Toyota Prius hybrid car and an EV training aid cart. After completing the course, techs will be able to perform regular maintenance and troubleshooting.

Next year, Bosch plans to offer a more intensive three-day course, after which techs will be qualified to perform more complex tasks, like opening battery packs.

Tom Rayk, director of training at

“Without firsthand experience and training, many technicians will be unable to provide these services safely and successfully, and could potentially lose business,” Rayk said. “Our technical aids, combined with the Bosch EV repair curriculum, will arm technicians and shop owners with the realworld experience they will need to prepare for the electric vehicle transition.”

Angelo said Bosch wants to schedule the tour stops so no technician has to drive more than 150 miles for the training.

“The concept is that shops don’t have to send their technicians to California, Florida or Michigan,” he said.

The tour stops are being selected based on three factors: the rate of EV adoption in the area, local shops that have requested such training, and the number of shops in the area participating in the Bosch Module

Program, an independent repair shop network. There are about 9,000 nationwide.

In addition to professional technicians, Bosch wants to include automotive and collision repair students, and is working with tech schools to get their programs involved.

Angelo said about 25 students, all under 20 years of age, attended the class held in March in Florida.

“None grabbed their phone once in about two and a half hours,” he said. “They are really paying attention. That was a good test.”

Bosch hopes the training tour helps address the technician shortage by exposing not only young people at the start of their careers to opportunities in new technology, but also more experienced working technicians possibly looking to make a change.

In addition to expanding to more cities in the next few years, Bosch plans to add training courses for more advancing technologies, like autonomous vehicles, connected vehicles, ADAS and diagnostics.

Learn more about the Bosch EV Training Tour at aviondemand. com/shop/service-centers/boschev-training-tour.

autobodynews.com / JUNE 2024 AUTOBODY NEWS 17
The Bosch EV Training Tour trailer.

Emergency Braking

Insurance Institute for Highway Safety.

In June 2023, NHTSA and the Federal Motor Carrier Safety Administration announced a separate notice of proposed rulemaking that would require heavy vehicles, including tractor trailers, to have AEB, which the agencies are in the process of finalizing.

“The new vehicle safety standards we finalized today will save hundreds of lives and prevent tens of thousands of injuries every year,” said U.S. Transportation Secretary Pete Buttigieg

“Automatic emergency braking is proven to save lives and reduce serious injuries from frontal crashes, and this technology is now mature enough to require it in all new cars and light trucks,” said NHTSA Deputy Administrator Sophie Shulman . “In fact, this technology is now so advanced that we’re requiring these systems to be even more effective at higher speeds and to detect pedestrians.”

www.autobodynews.com

Toyota Kentucky Plant Now Producing 2025 All-Hybrid Camry

Toyota’s flagship U.S. plant in Kentucky recently began production of the ninth-generation 2025 Camry, exclusively powered by a state-of-the-art hybrid system.

“Today would not be possible without our incredibly talented team members,” said Kerry Creech , president of Toyota Kentucky. “Starting production of the new Camry is another proof point that Toyota is committed to providing secure employment and has been for nearly four decades. We continue to stay true to that promise by reinvesting profits in this plant and preparing our team members for future production opportunities, including a variety of electrified vehicles.”

The redesigned Camry features the fifth-generation Toyota Hybrid System, an integral part of the company’s strategy to enhance fuel efficiency and reduce emissions while offering various environmentally-friendly vehicle options to meet diverse consumer needs. Toyota has invested more than $10 billion to

date in its Kentucky facility, the Japanese automaker’s longestrunning U.S. plant, in operation since 1986. Since the plant produced its first Camry in 1988, more than 11 million have rolled off the line there.

The Camry has not only been a cornerstone of Toyota’s production but also a leader in the passenger car market in America for 22 consecutive years. The new Camry’s introduction is set to continue this trend, with enhancements in power, fuel efficiency and overall driving experience. Toyota’s most recent

$1.3 billion investment in the Georgetown, KY, facility further boosts electrification efforts, including the assembly of an allnew, three row battery electric SUV for the U.S. market. Toyota has announced new investments totaling more than $18.6 billion into its U.S. manufacturing operations since 2021 to support electrification efforts.

“Congratulations once again to Toyota. Over the decades, Toyota has never wavered in its commitment to its employees and this community,” said Kentucky Gov. Andy Beshear “Relying on their continuous improvement mindset, they continue to find ways to renew this plant and provide future opportunity and stability for the nearly 10,000 Kentuckians who work here. They are a first-class employer in this community and state.”

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THE NEW ERA OF DIGITAL PAINT MIXING.

How PPG’s Innovations are Improving Key-to-key

Productivity and Shop Profitability

In today’s competitive marketplace, the high production collision repair center must be relentless in improving key-to-key productivity. That holds especially true in the paint operation, where color accuracy and throughput performance play a key role in a shop’s overall performance.

Taking advantage of emerging digital color tools is one area where significant gains can be achieved. For example, marrying the innovative PPG MOONWALK® automated mixing system with the ENVIROBASE® High Performance waterborne system is proof of what can be accomplished.

With over 40,000 users worldwide, the Envirobase High Performance system is well known for easy blending, color match performance and overall efficiency. The MoonWalk system was designed specifically to take the Envirobase system to the next level of color accuracy and performance.

The process of creating an automated paint mix is simple. After retrieving the matching formula, the technician loads the required toners on a dispensing rack. With one click, the MoonWalk system takes it from there. It automatically dispenses the exact amount of each toner—at an accuracy ten times more precise than the standard. To further eliminate waste, the system is designed to ensure all of the toner is used, down to the last drop.

“It mixes to the hundredth—not to the tenth—so it’s much more accurate with color match,” explains Frank McClosky, owner, McClosky’s Collision Repair, Baytown, Texas. “Knowing that the color is going to match the first time, there’s no need to mix extra paint that you might need to tint.”

“This is a great advantage for us,” adds Carl Garcia, owner of Carl’s Collision Center, Fall River, Mass. “It’s 100% accurate. No waste. And it has increased our efficiency by at least 15%.”

Going all in With Digital Tools

The MoonWalk mixing system is just one of PPG’s recent efforts to advance color-matching performance beyond paint. Recently it introduced the PPG LINQ™ ecosystem to help painters improve repair processes using an innovative cloud-based platform and interconnected digital tools:

• DIGIMATCH™ spectrophotometer, with a compact, multi-angle color camera for reading the actual vehicle color

• VISUALIZID™ digital color visualization tool enabling the technician to compare 3D “virtual sprayouts” to determine the best color variant formula

• PPG LINQ™ Color cloud-based software for easily identifying the best color from PPG’s extensive formula database

• MAGICBOX™ wireless device connects the software to the scale, enabling the technician to complete the mix quickly without the need for a separate PC

The Envirobase High Performance paint system is compatible with every tool in the PPG LINQ digital ecosystem, making it the perfect solution for modern collision centers.

autobodynews.com / JUNE 2024 AUTOBODY NEWS 19
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Car Insurance, Repair Cost Increases Far Outpace Overall Rate

The U.S. Bureau of Labor Statistics (BLS) Consumer Price Index (CPI) shows the cost of auto insurance and vehicle repairs rose 22.2% and 11.6%, respectively, between March 2023 and March 2024 — more than six and three times the overall increase of 3.5%.

In an April 16 webinar hosted by CCC to take a deeper look into its now-quarterly Crash Course Report, experts touched on the sharp increase in costs for both insurance and repairs, which are connected.

Kyle Krumlauf, director of industry analytics for CCC and coauthor of the Crash Course Report, said now-common features like

increase in 2022, though those hikes could fall in line with general inflation later in 2024, Krumlauf said.

Bahnsen said there are also increases in the percentages of underinsured and uninsured motorists — 14% of drivers are completely uninsured — and third-party claims submitted for injuries caused by uninsured and underinsured motorists have increased 40% since 2021.

“There are a lot more under- and uninsured motorists,” Bahnsen said.

“If you get in an accident with one who caused the loss, you’re going to have to make a claim where you didn’t before. That will push even more of that group into the uninsured or financially stressed category, compounding the issue.”

ADAS, infotainment setups and new powertrains are all making repair of modern cars more challenging. That is putting more pressure on insurance companies’ claims departments and auto body shops to work accurately and efficiently.

“More scans and calibrations are needed,” Krumlauf said. “That contributes to the average repair taking 14 days; 63% have at least one supplement. That adds to claims costs and rental car costs.”

Erik Bahnsen, assistant director of industry analytics, said the complexity of medical treatment for people injured in crashes is also increasing, meaning those costs are rising too. On top of that, the percentage of the population age 65 and older is increasing, and those people tend to need more procedures after being involved in a crash. Both of those factors are contributing further to the increase in average bodily injury claim payments, up 7% since 2022, which translates to higher rates passed on to customers.

Krumlauf said vehicle replacement parts have gotten more expensive, and the average number needed per repair has also risen.

Labor rates have also increased — up 7.4% in 2023 on top of a 7%

tech — AI can offset some menial tasks people do in insurance.”

He said it remains to be decided how and when to integrate that technology, and how to pair it with the talent and processes within companies.

“We all have been resilient over the past couple of years,” Krumlauf said. “We need to continue to be agile and prepared for change. We don’t know if these are the norms we can expect to see in the future.”

Bahnsen said there has always been complexity in the nature of casualty claims. He agreed repetitive tasks should be automated using technology to prevent “accuracy leakage” when those tasks are done by hand.

“We need to start from 2022 and go forward,” he said. “The same old formulas just don’t work anymore.”

One webinar attendee asked what the industry should focus on to control claims costs, since inflation is not in repairers’ and the insurance companies’ control.

Christ said total losses make up a disproportionate amount of claim losses as a whole.

“We need to figure out how to better control total loss costs,” he said. “It takes 25 days on average to determine a total loss. If we can speed that up, we can reduce the cost to determine, and that will have an affect on claims as a whole. We need to improve operational efficiency to bring down cost as well.”

Tim Christ, solution expert, said that lack of coverage for some drivers also affects subrogation, which affects cycle time.

As used car prices soared during the pandemic — the average adjusted vehicle valuation amount increased 49% between 2020 and 2022 — and then cooled off, that has affected which cars get totaled, Krumlauf said. There was a 1.5% increase in vehicles flagged total loss in 2023, primarily due to used vehicle values decreasing. Krumlauf said 70% of valuations are for vehicles 7 years or older.

The increased total loss frequency decreases the ratio of repairable vehicles. Higher physical damage severity losses, which might have been repaired a year ago, are more likely now to be totaled, increasing shop capacity and lowering overall cycle times.

Further, the used vehicle loan to value ratio in Q1 2023 was 126%.

“More people are starting to default on auto loans,” Krumlauf said. “Credit card delinquencies and debt have both increased over the past couple of years. Delinquencies are at levels not seen since the 2008 recession. As households are confronted with affordability challenges, [insurance customers] might increase deductibles, decrease limits or eliminate some coverage.”

Key Takeaways

Christ said he is “super interested in tech but also frustrated with the industry” being slow to adopt it. He said he recently spent 30 minutes on the phone with his insurance company to report a claim.

“We are not using tech to make filing claims easier. We need to create as streamlined and efficient a process as possible,” he said.

Using 10 to 15 years of data to create benchmarks don’t work anymore, Christ said.

Krumlauf said “talent, tech and resilience” are the main points of the Q1 2024 Crash Course Report.

“There are talent challenges within the collision repair industry and insurance market as well,” he said. “Part of that can be confronted with

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CIF Raises

“CIF is an amazing program!” Olson said. “Thank you very much for all your help. What a huge blessing for Gary.”

CIF’s mission is to secure and distribute donations to individuals in the collision repair industry who have experienced significant losses due to natural disasters or other catastrophic events.

It is funded by many annual donors and by its annual fundraising event at the January Collision Industry Conference in Palm Springs, CA. The foundation is managed by industry volunteers who donate their time to help get the funds to individuals in need. The organization’s biggest challenge is making more people aware of the benefits it offers.

“I wouldn’t wish my situation on anyone, but I hope that my experience will at least help raise awareness of the great work CIF does,” Noble said.

For more information on the Collision Industry Foundation, visit www.collisionindustryfoundation.org.

Car ADAS Solutions Announces New Licensee in Michigan

Car ADAS Solutions welcomed Lakestate Calibrations as a new licensee. Owned by Joel Butler, the 3,000-square-foot calibration facility is in Gaylord, MI.

“We are proud to offer our customers the best calibrations in our new state-of-the-art facility designed specifically for ADAS calibrations requirements,” said Butler, who has more than 30 years of experience in the collision industry and is a partner in a nearby body shop. “Our team is comprised of knowledgeable industry professionals and works with America’s top insurance companies.”

“Joel has been in the collision space for many years and is a

pillar in his community,” said Kevin Caruso, COO of Car ADAS Solutions. “He prides himself on providing quality repairs and is excited to extend their outreach in the calibration space and ‘Making the world a safer place to drive.’”

Butler learned about Car ADAS Solutions by reading industry articles and listening to CEO Greg Peeters speak about ADAS calibrations during a PPG event. After meeting with Peeters and learning about the company’s support, Butler decided to open a facility.

“Calibrations are an important part of the repair process to ensure vehicle safety,” said Butler.

Since working with the Car ADAS Solutions team, Butler said he has been very pleased with their process for setting up the facility and making it operational.

“It has been unbelievably streamlined and efficient,” he said. “I’m extremely impressed with the rollout.”

Butler said their location is in a unique geographic area and will likely face some logistical challenges. He anticipates they will be servicing shops about 40 to 60 miles away.

“It’s probably one of the most rural areas in the country calibrating vehicles,” he noted.

However, Butler said they are equipped with the latest tools and technology and technicians are trained to deliver superior calibrations to ensure vehicles receive the highest level of experience and service.

The facility’s technicians are I-CAR trained and certified through the Car ADAS Solutions ADAS Calibration Technician Certification Program, which was recently qualified by I-CAR as Industry Training Alliance Accredited. Future plans include opening an additional calibration facility.

“I can’t say enough about the level of support Car ADAS Solutions has provided and their partnership,” said Butler. “They’ve pretty much thought of literally almost every detail.”

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Auto Glass Now Launches Campaign Emphasizing Nationwide Reach, Speed

Auto Glass Now recently announced a new marketing campaign, its first as a nationwide brand, to establish name recognition among potential customers and drive home the “now” part of its name.

Auto Glass Now has more than three decades of service as a regional company. It acquired 11 other similar companies across the U.S. to create a national brand, which then joined Driven Brands in 2022. It currently has more than 200 locations in 35 states, as well as

more than 700 mobile units, offering auto glass repairs, replacements and ADAS calibration.

The new campaign, which will encompass social media, web, instore displays and vehicle branding, emphasizes Auto Glass Now’s key offerings, including same or next day service, convenient appointments, a price match guarantee, choice of in-store or mobile repairs and the acceptance of all insurance.

Kyle Ankrom , Auto Glass Now’s vice president of marketing, said about half of all customers looking for auto glass repair don’t have a specific brand or shop in mind when searching for service.

“Now that we have this power of this national brand, we want to help customers know who we are and what we stand for,” Ankrom said. “We wanted to do it in a bold way to break through from what we see as a ‘sea of sameness’ of the options that are out there.”

The 12 brands that came together under the Auto Glass Now banner were all strong competitors at their regional levels, but neither had a national presence.

“They’ve always had this sort of underdog mindset and spirit,”

Ankrom said. “We wanted to emphasize that as we took it to a national scale. It’s what makes our technicians and shop managers work harder for the customers.”

The campaign also focuses on the brand’s speed of service promise.

“It’s built into our name — we’re Auto Glass Now, not auto glass

new campaign is one of the first steps in unlocking the growth potential of the brands it already has.

“This is the first campaign we’ve launched as an integrated Auto Glass Now brand,” said Nick Ouimet, president of Auto Glass Now, in a statement. “We’ve

later,” Ankrom said. “That’s the key benefit we focus and deliver on, and that’s why when you see the spot and hear the jingle, it’s all about ‘we can get your auto glass serviced now.’”

Ankrom said the company is always looking to expand, but the

completed the work to integrate multiple acquisitions under the Auto Glass Now banner, and we’re ready to make a splash with this campaign.”

Auto Glass Now collaborated with the agency Erich & Kallman to bring the campaign to life.

Improved mobility.

autobodynews.com / JUNE 2024 AUTOBODY NEWS 23
Auto Glass Now has more than 700 mobile units nationwide. An image from the new campaign.
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Performing Dynamic Calibrations In House Can Mean Big Returns on Minimal Investment

asTech, a Repairify company, hosted a webinar April 23 to encourage collision repairers to consider making the relatively small investment in equipment to perform dynamic calibrations, rather than subletting out the work.

“There are lots of reasons why I would want to keep that in house,” said Kris Bjerke, director of R&D, calibrations and implementation for asTech.

Doing those calibrations themselves, rather than paying a subletter, helps shops maximize profits, better control cycle time and improve customer satisfaction, while ensuring the work is done properly.

aftermarket tool, like asTech’s All-InOne with adasThink, which identifies required calibrations by reviewing repair estimates and comparing them to OEM service information. Those reports can also be shared with insurance companies to prove why those calibrations were necessary, Bjerke said. The adasThink tool works with all estimating systems — automatically with CCC and manually with Mitchell and Audatex.

As an example, he showed an adasThink report for a 2021 Cadillac Escalade, which identified six necessary operations as well as the required tools.

Once the dynamic calibrations have been identified, the vehicle can be driven to set them. Bjerke said certain driving conditions are necessary for accuracy.

Weather needs to be considered before performing a dynamic calibration. Heavy rain or snow will make it hard for radar systems to “see” street lights and poles or lines on the road.

Traffic also must be taken into account, as the systems need distance between vehicles to calibrate correctly.

“Rush hour is not the time to do a dynamic calibration,” Bjerke said.

always wear their seat belt while performing dynamic calibrations, as some modules won t learn if it’s not buckled.

Driving the vehicle to complete the calibration can take anywhere from 10 seconds to 20 minutes, Bjerke added. Using the adasThink connects repairers to asTech technicians, who can give an idea of the time range.

Finally, once a post-scan is complete on the entire repair, the vehicle should be taken on one more test drive.

“The dynamic calibration drive was for learning,” Bjerke said. “[The test drive] will show you if all systems are on.”

One webinar attendee asked how much training an in-shop technician needs to complete a dynamic calibration.

“The biggest thing is reading, understanding and executing on service information,” Bjerke said.

Bjerke suggested taking photos of the scan tool report to make sure all the prerequisites were met before the dynamic calibrations were completed.

He noted if the shop is using a different scan tool that doesn’t include access to technicians, like asTech’s tool, the in-shop technician

will need a deeper understanding of the process.

Another webinar attendee asked about how vehicle modifications like lifted or lowered suspensions can affect ADAS features.

Bjerke said asTech can’t guarantee calibrations on aftermarket modifications not also manufactured by the OEM. He recommended telling a customer to take the vehicle back to whoever did the modifications or to a dealership.

“It’s better to have that conversation up front, instead of getting to the point where you did the repairs but now you have to call the customer and tell them you can t complete calibrations,” Bjerke said. “Obviously you have to get estimators to notice those things at the beginning.”

“Remember, what are the consequences if you can t get the calibration to finish?” Terry added. “If you start [a dynamic calibration on a modified vehicle], it might not be able to finish, and the worst case scenario would be you have to put the truck back to stock to complete it. Be wary of that.”

Anyone with more questions about performing dynamic calibrations or asTech’s products can send an email to info@astech.com.

While static calibrations can require more expensive investments in both equipment and establishing the right conditions within a shop, most shops can do dynamic calibrations on their own already, Bjerke said.

“Most (shops) are already doing pre- and post-scans,” he said. “With that equipment or partnerships you have, you are able to do dynamic calibrations without much more investment other than training.”

Dynamic calibrations are performed by putting the vehicle in a “learning” mode and then driving it, so it resets its calibrations itself by looking for items along the side of the road, like guard rails and stop signs, to make sure those systems are “seeing” correctly so they work properly.

Bjerke said shops will need a digital inclinometer, like the Stead & Fast Digital Angle Finder, available at most auto parts or hardware stores or through online retailers like Amazon for less than $25, and at least one level surface, either the shop floor or a frame or alignment rack.

Next, they need their scan tool, either one made by an OEM or an

Bjerke said interstates are also not the right place to most calibrations, as things like signs are too far off the roadway, and some manufacturers can specify speeds as low as 15 mph.

Most dynamic calibrations do not have a tire pressure or fuel tank level requirement, but Michael Terry, manager of R&D and calibrations at asTech, reminded shops to make sure the vehicle is in roadworthy condition before driving it.

Bjerke said it is also important to make sure there is a good WiFi or internet “hot spot” connection for certain calibrations that require one, like the long range radar sensor on the example Escalade. He said a lot of shops use the hot spot on a smartphone or tablet, but those devices will prioritize using data for incoming phone calls, text messages, emails and notifications, which could interrupt the calibration. In some cases, that pause in connection could “brick” a module. He recommended using a dedicated hot spot for calibrations.

Eric McClellan, senior training director at Repairify, who hosted the webinar, reminded repairers to

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AkzoNobel Collision Industry Experts Event Focuses on Business Strategies For Repairers

Approximately 280 shop owners from 180 cities and 28 states gathered May 9 at the AkzoNobel Collision Industry Experts Event (CIEE) in Orange, CA.

Throughout the day, attendees had an opportunity to network with colleagues and attend educational sessions led by AkzoNobel team members.

To be successful in a competitive environment, Dan Carranza, AkzoNobel’s national sales director, Vehicle Refinishes USA-Mexico, stressed the importance of continuous learning and working on the business.

“It’s the work you are doing when the lights are off, outside of 8-5, attending functions like this and honing in on your craft,” he said.

Highlights from Educational Sessions

Amy Durbin, Vehicle Refinishes key account manager and former North America talent acquisition manager, discussed small business human resources (HR) best practices and recommended managers “know what they need to know” daily to do the right thing. She said HR compliance doesn’t have to be complicated and imparted

some basic compliance principles.

Business services consultant Tony Adams talked about implementing a four-day workweek. He explored the pros and cons of how a shop owner can decide if it is the right fit for their facility. Kena Dacus, owner of Dacus Auto Body & Collision Repair in Kansas, also shared her shop’s experience implementing this atypical schedule for employees.

Tim Ronak, senior services business consultant, assisted shop owners and managers in navigating the OEM selection and application process. This included exploring the best opportunities for OEM certifications, which ones make financial sense for the facility, and how to get started. He also reviewed current tools to capitalize on OEM certification options.

To help create raving fans at a shop, Rick Fifer, services development manager, talked about the value of managing customers’ expectations and the opportunity to shape customer perception before conducting the initial damage review. He also discussed the impact a shop’s initial damage review and scheduling process have on cycle time and customer satisfaction.

Senior Services Consultant Jeff

Baker shared information on how to supercharge staff engagement to maximize profit flow with “Gamification.” He also explored using interactive tools to improve a business’s process, sustain change, improve employment engagement and enhance key measurements.

Collision coach strategies were shared by Jim Lovejoy, senior services consultant. Lovejoy explained why increased awareness of coaching is important, identified attendees’ preferred coaching style, and provided a step-by-step process for coaching employees in three standard situations.

New refinishing processes were discussed by western technical manager Ryan Brown. As vehicle technology evolves, Brown said refinishing systems may impact composite materials. He provided tips on quickly reviewing and identifying the correct refinish process and product to do a proper repair.

Michael Giarrizzo and Pam Giarrizzo from DCR Systems talked about streamlining a business’ process to focus staff and boost profit. During the session, attendees learned techniques to streamline and clearly document and communicate the shop’s process while optimizing

staff and equipment. The presenters also reviewed how to identify process waste.

Industry Speakers Provide Insight Carranza shared the one word he has used — inspire — to transform his team, business culture and personal life, based on the book “The One Word That Will Change Your Life.” He also explained his vision of how one word can positively impact the collision repair industry into a “Do Something Industry.”

Debby Robinson, executive director of the National Auto Body Council (NABC), talked about becoming a community collision repairer of choice. She shared insight into creating a community outreach program based on a business’s strategy, time and resources, the area’s needs and employees’ personal interests. From his experience working with shops, OEMs and software companies, Collision Advice President Mike Anderson discussed what a collision repairer’s business success looks like today vs. what it will look like tomorrow. This included moving to a four-day workweek, trends with OEM insurance and certifications, and how environmental, social and governance (ESG) may impact the industry.

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CIC Adopts Distinct Definitions of ‘Estimate’ and ‘Repair Plan’

Proposed formal definitions of “estimate” and “repair plan” drafted by the Collision Industry Conference (CIC) Definitions Committee received strong votes of support from CIC attendees at the conference held April 17 in Seattle, WA.

CIC has long maintained a glossary of industry terminology on

Committee chairman Chris Evans of State Farm said the new “estimate” and “repair plan” definitions were initially proposed by another CIC committee, and went through “several iterations” before being distributed to the wider industry for review prior to the Seattle meeting.

The first proposed definition states an “estimate” is “an initial assessment of vehicle damage which approximates the cost of repairing or replacing the damaged parts, including labor and materials.”

That differs from the proposed definition of a “repair plan,” which is described as a “comprehensive vehicle damage assessment of necessary steps and procedures for repair created by the repair facility to determine cost of parts, labor and materials.”

understand as a body is that CIC is not a standard-setting body,” Hendler said of the rationale to keep the definitions brief and nonprescriptive. “We’re not here to change the marketplace. So while the repair community feels very strongly that the OEM repair procedure is all there is, and that’s all that should be used, that’s not necessarily part of the definition of a repair plan. That

“We did talk about that one of the defining factors of a repair plan was that the shop is the creator, the initiator of it.”

definition as proposed.

“There’s a lot of things that could go into this definition,” Schulenburg said. “It could say that you have to pull the OEM procedures. It could say that you have to do a teardown. But when you’re looking at a definition, if a repair facility writes their repair plan, that’s still a repair plan, even if they didn’t tear it down, right? I think that’s the whole nature of if it, that it is a comprehensive assessment of everything I need for my process to bill for it. There’s a part of me that wants to see this so much stronger, to reinforce it. But the other part of me, from a definition standpoint, thinks this is probably the right definition for whatever somebody’s repair plan is within their own facility.”

Hendler concurred.

its website, available at ciclink.com/ wiki-introduction, as a way to facilitate understanding and communication within the industry.

Committee member Jordan Hendler said some of the feedback the committee received revolved around the view the repair plan definition should include reference to such a plan being based on OEM repair procedures.

“One of the things we have to

could be your practice, your business decision, but we have to be cognizant in this body that it’s not the only way it’s done, and we’re just trying to say what a repair plan is. So just keep that in mind when you’re looking at the definition: Does this say what a repair plan is, not necessarily what it should be.”

Aaron Schulenburg, executive director of the Society of Collision Repair Specialists, said he understood the need to keep the “repair plan

“We did talk about that one of the defining factors of a repair plan is that the shop is the creator, the initiator of it,” she said. “They’re the only ones that could do that. So we felt like that component was really important as a differentiator between ‘estimate’ and ‘repair plan.’”

Put to a vote of the CIC body, the estimate definition received 92% approval from attendees, and the repair plan definition received a thumbs-up from 78% of attendees.

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Chris Evans, chairman of the CIC Definitions Committee, oversaw the approval process at CIC in Seattle of definitions of “estimate” and “repair plan.”
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AASP-MN Awards $16,000 in Scholarships To Auto Students

The Alliance of Automotive Service Providers of Minnesota (AASP-MN) announced it has distributed $1,000 scholarships to 16 automotive service and collision repair students to help cover tuition or purchase necessary tools for the 2024-25 academic year.

The scholarships are funded by the Minnesota State I-CAR Committee and proceeds from the AASP-MN’s Annual Race for Automotive Education.

The selection process involved a panel of industry experts who reviewed 35 applications from students across 14 different schools. Criteria for the scholarship included scholastic achievement, financial need, educational and career ambitions, and recommendations from educators.

The recipients are:

Lillian Baas, Riverland Community College, Albert Lea – automotive service technology

Jose Benitez-Lopez, Dunwoody

l

Toyota To Invest

products while providing long-term, stable employment no matter the changes in our industry. Our team is committed to delivering this new product with the same quality and performance that Toyota customers expect.”

The investment will not only support the infrastructure required to build the all-new EV, but will also add a new battery pack assembly line. These battery packs will use lithium-ion batteries supplied by Toyota Battery Manufacturing North Carolina, set to start production in 2025.

“I feel fortunate for the years I’ve been with Toyota and am proud of the products we assemble,” said Michael Baehl , a 26-year Toyota Indiana employee. “The company’s commitment to long-term job stability and high-quality work

College of Technology, Minneapolis – auto body collision repair

Jonathan Bradt, Century College, White Bear Lake – automotive service technology

Zachary Burg, St. Cloud Technical & Community College, St. Cloud –automotive service technology

Brandon Canfield, MN State Community & Technical College, Moorhead – automotive service technology

Wyatt Dehne, Ridgewater College, Willmar – auto body collision repair

Sara Hernandez, Ridgewater College, Willmar – automotive service technology

Coleton Kiel, St. Cloud Technical & Community College, St. Cloud –auto body collision repair

Brendon Koenig, Dakota County Technical College, Rosemount –automotive service technology

Catherine McKinney, Minnesota North College, Hibbing – automotive service technology

provides me with peace of mind. Additionally, the opportunities to enhance my skills and progress in my career have allowed me to achieve goals I never imagined.”

“Toyota’s investment in the state began with an $800 million commitment and has grown to over $8 billion,” said Indiana Gov. Eric J. Holcomb . “Today’s incredible announcement shows just how important our state’s businessfriendly environment, focus on long-term success and access to a skilled workforce is to companies seeking to expand and be profitable far into the future.”

Toyota’s Indiana facility, home to more than 7,500 employees, already assembles models like the Toyota Sienna, Highlander, Grand Highlander and Lexus TX. The addition of the new electric SUV is set to further solidify Toyota’s role in the advancing automotive industry, particularly in the electric vehicle sector.

Vanessa Nichols, Lake Superior College, Duluth – automotive service technology

Ash Rasche, Dunwoody College of Technology, Minneapolis –automotive service technology

Jonathan Santana-Delgado, Century College, White Bear Lake –automotive service technology

Isabell Schmidt, South Central College, North Mankato – auto body collision repair

Jose Sosa-Martinez, Hennepin Technical College, Eden Prairie –auto body collision repair

Emma Wickstrom, Hennepin Technical College, Brooklyn Park –automotive service technology

The scholarship awards are the centerpiece of AASP-MN’s Automotive Education Fund, established to provide financial resources to support automotive students, enhance automotive programs and raise awareness of career opportunities in the independent automotive service industry.

Brian Martin Joins AkzoNobel ORIGINAL BMW PARTS & ACCESSORIES.

AkzoNobel announced the appointment of Brian Martin as business development manager for its Automotive & Specialty Coatings division in North America.

Martin, who has more than two decades of experience in the collision repair sector, reports directly to Dan Carranza, sales director of Automotive & Specialty Coatings for the U.S. and Mexico. In his new role, Martin is expected to be instrumental in the development of dealership collision programs. His responsibilities will include acting as the AkzoNobel brand ambassador to all OEMs, a critical function as vehicles become increasingly technologically sophisticated. His primary task will be to capture and communicate OEM collision repair procedures to clients, ensuring the company stays at the forefront of industry developments.

Martin’s appointment comes at a time when the importance of specialized knowledge in OEM procedures is more significant than ever, given the rapid advancements in automotive technology.

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Health Insurance-Buying Pool Can Counteract Trends Driving Up Costs For Collision Repairers

Small businesses, like many collision repair shops, are getting hit the hardest by trends causing rises in health insurance premiums -- making it more difficult to offer benefits in an increasingly competitive employment market.

causing premiums to go up, said Kevin Dunn, founder and CEO of Decisely. Those increases are affecting small employers more than larger ones.

“This year, for small businesses, the average increase for health care insurance was 12% to 14% year over year. For larger businesses, their rate only went up 9% to 10%,” Dunn said.

“Small businesses get more of the brunt of that increase. That unfortunately isn’t something that’s going to be changed overnight.”

retailers, etc. all around you.”

Decisely worked with SCRS to build a health insurance program for its members and their employees.

SCRS opened the plan for enrollment in September 2022, and now has about 1,500 enrollees at shops nationwide.

company can ensure it doesn’t lose money again.

“The premiums really aren’t stabilized because they’re so small,” Dunn said.

With the plan offered by SCRS, its members are aggregated together to look and buy like a large employer, Dunn said. Each employer has its own individual contract with Decisely, but the insurance carriers Decisely is partnered with look at the entire aggregate.

“That helps us to stabilize health care costs,” he said.

Joining a plan like the one offered by the Society of Collision Repairers (SCRS) through Decisely, a technology and brokerage insurance firm, can give individual shops the buying power of a much larger group. Like everything else, inflation is

Dunn said health care premiums are affecting shops’ ability to offer those benefits, which makes it harder to attract and retain employees. A survey of collision repair technicians, conducted earlier this year by I-CAR, SCRS and consulting firm Ducker Carlisle, found only 16% of respondents were offered health insurance through their employer.

“It’s tough getting people into the trade, and we won’t if no one is providing insurance,” Dunn said. “The competition is not just another shop down the street, but also restaurants,

Dunn said small businesses spend more on insurance premiums than a large organization, because an insurance carrier’s risk is spread over a much smaller pool of employees.

“The law of large numbers says it’s unlikely everyone will get sick or injured at the same time, so the (premium) rates should be stable every year, because they can spread the risk of some people being sick while others are healthy,” Dunn said.

But for a small business with 25 employees, all it takes is for one person to get very sick or injured, and the following year, premiums can rise 40% to 50% so the insurance

The program available to SCRS members also offers doctor visits, imaging and labs, generic prescription drugs, urgent care and mental health treatment with no copay. Only emergency department visits require a co-pay.

“We encourage everyone that if you have a problem, go to the doctor,” Dunn said. “It shouldn’t be your credit card that prevents you from doing that, because you have insurance and your premium should take care of it.”

Putting off care for illness drives up costs in the long term, as people often wait until it has progressed to a point they need the emergency department, or needs longer term care that takes them out of work.

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Stellantis Cuts 200+ Supplemental Workers Amid Union Tensions

Stellantis NV terminated more than 200 supplemental workers at one of its Detroit warehousing facilities, intensifying the strain between the auto manufacturer and its unionized workforce. This move comes even as the company pledges adherence to its recent labor agreement with the United Auto Workers (UAW) aimed at optimizing operations under challenging market conditions.

“Stellantis continues to review its manufacturing operations to ensure all facilities are operating as efficiently as possible in very challenging market conditions with all actions in accordance with the 2023 Collective Bargaining Agreement,” the company said in a recent statement to the Detroit Free Press, sent by spokesperson Jodi Tinson, referencing last fall’s deal with the UAW. “To ensure compliance with contractual commitments, the Company has been reducing the number of Supplemental Employees across much of our U.S. footprint.”

The latest job cuts affected 239 workers at the Freud Street parts sequencing facility near

the company’s Jefferson North Assembly Plant. Although about 20 employees were rehired due to staffing needs, the reduction marks a continuation of Stellantis’

among remaining employees, with workers at the Toledo Jeep plant launching a petition demanding the reinstatement of more than 1,000 terminated supplemental workers with full back-pay.

strategy to decrease its reliance on supplemental workers, who are typically paid less and receive fewer benefits than regular fulltime employees.

The transition has not been seamless. Some 539 were let go in January across several facilities, with another 341 cut early last month from the Toledo Assembly Complex. These widespread layoffs have spurred unrest

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This upheaval coincides with significant layoffs in other areas of the company, including about 400 white-collar employees in engineering and software divisions in March, as reported by The Detroit News. Bruce Baumhower, president of UAW Local 12, said there have also been recent layoffs at KUKA and Syncreon, two key suppliers to Toledo’s Jeep plant.

Under the recent UAW contract, Stellantis committed to converting nearly 3,000 supplemental workers to full-time status out of more than 5,200 employed nationwide as of last fall, completing these conversions by Feb. 16. However, ongoing layoffs and the plan to retain only about 500 supplemental employees have ignited concerns about job security and company loyalty among the workforce.

Caliber Collision, alongside its affiliated brands Caliber Auto Glass and Caliber Auto Care, announced the opening of its 13th annual Restoring You™ Food Drive to address the alarming rise in hunger within the communities they serve.

The food drive mobilizes Caliber’s extensive network, which encompasses more than 30,000 team members across 41 states, to contribute to more than 165 food banks nationwide.

The drive rallies support from not only Caliber’s team, but also from customers and business partners. Contributions to the food drive can be made through non-perishable food items or monetary donations at any Caliber location or online at www.caliber.com/why-caliber/ restoring-you/food-drive-2024. The deadline for contributions is July 1.

The Caliber Foundation will add an additional 25 cents for every dollar raised, with all donations being tax-deductible.

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Fix Auto USA Celebrates 200th Store Milestone

Fix Auto USA recently celebrated the grand opening of its 200th store, taking the opportunity to reflect on its progress since its founding in 2011 while looking forward to its next goals.

The 200th store is Fix Auto Palm Desert South in Palm Desert, CA, owned and operated by Henry Arroyo, a multi-store owner. Arroyo now owns five locations in California — one each in Cathedral City, Indio and Palm Springs, and two in Palm Desert.

Fix Auto USA was founded in 2011 to create a network of highperforming, independent body shops to ensure the best quality repairs and customer service. The first 30 locations banded together to bring the mission to life, quickly transitioning from a locally-known business to an industry-leading collision repair family.

“When Fix Auto USA joined the Driven Brands collision group back in 2020, it was clear that this group of owners was determined to be the best of the best,” said Sabrina Thring, collision president, Driven Brands. “The dedication to their craft, customers and one another

has laid the groundwork of this thriving network. Reaching this milestone is just the beginning, and I can’t wait to be a part of this continued growth.”

in 13 states.

Thring said the growth has been propelled by franchisees, many of whom have opened multiple locations while running the kind of

During a media roundtable May 3, Driven Brands executives said they decided in 2018, when Fix Auto had 111 stores, to celebrate No. 200. They got there by adding 20 to 25 stores every year, which they aim to do again by the end of 2025. Fix Auto now has locations

businesses that attract new owners.

“Our owners built this brand, positioning us an industry leader in collision repair,” Thring said.

Arroyo said he was honored to open Fix Auto’s 200th location.

“I joined the Fix Auto USA network in 2014 and haven’t looked

back,” he said. “Today, I own five locations, with Palm Desert South being my most recent opening. This network has given me so much and I can’t wait to continue building my business and representing the Fix Auto USA brand.”

Arroyo is deeply rooted in the communities around his facilities, giving back to the children, the homeless and any person in need through hosting toy drives, collecting coats, clothing, toiletries and more, working with Martha’s Kitchen. Arroyo is also an active member in the National Auto Body Council, participating in the Recycled Rides program to gift multiple vehicles to families and veterans in need. Most recently, Arroyo and his team donated two vehicles to local families in January.

“With owners like Henry leading the way for this brand, I have no doubt that we will continue to reach new heights,” said Brian Newberry, vice president of collision development, Driven Brands. “Opening the 200th location is just one step in our growth, and I am thrilled to see what is in store next for this brand!”

autobodynews.com / JUNE 2024 AUTOBODY NEWS 35
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Driven Brands and Fix Auto USA executives joined the team at Fix Auto Palm Desert South in Palm Desert, CA, to celebrate the store’s grand opening -- making it the 200th Fix Auto.

GM To Shift Headquarters To Detroit’s Hudson Building

General Motors announced plans to relocate its global headquarters, a move that will see the automotive giant leave the iconic Renaissance Center for the modern Hudson’s Detroit building.

with GM CEO Mary Barra and Gilbert, set to detail the future of both the new headquarters and the Renaissance Center’s site.

The Renaissance Center, which has been home to GM since 1996 when the company acquired five of its seven towers, will see a reduced number of GM employees as the company consolidates its operations at the Hudson’s site.

Constructed by Bedrock, a real estate firm owned by Dan Gilbert, the Hudson’s site features a 1.5 million-square-foot development that includes a towering skyscraper and a sizeable office block. The relocation was confirmed ahead of a scheduled news conference

GM has been reducing its inoffice workforce in response to changing work patterns influenced by the COVID-19 pandemic.

According to sources, the new headquarters will not only host GM’s core operations but will also feature luxury accommodations and residential units, including an ultraluxury Edition Hotel and about

100 condos and apartments.

GM will not sell the Renaissance Center, but rather explore redevelopment options. GM and Gilbert plan to study potential redevelopment opportunities for the RenCen, ensuring it continues to play a vital role in Detroit’s downtown area.

Steve Morris, a partner at Axios Advisors, expressed concerns about the future leasing prospects of the Renaissance Center, given the reduced number of workers and the current economic climate affecting downtown Detroit. He noted the challenges of attracting new tenants and the potential impact on local businesses that have relied on the presence of GM employees.

As GM prepares for this significant transition, the company remains tight-lipped about the exact number of employees who will move to the new site. However, the shift is part of a broader strategy to adapt to post-pandemic work norms and revitalize its operational efficiency in a new, state-of-the-art facility.

WIN Announces 2024-25 Board Leadership

The Women’s Industry Network (WIN) announced its 2024–25 officers and Board of Directors.

The officer appointments include: Chair Elizabeth Stein, OEC; Vice Chair Laura Kottschade, Jerry’s ABRA Auto Body & Glass; Treasurer Janette Tooley, Consolidated Dealers CoOperative Inc.; Administrative Vice Chair Jeanne Esquivel, Entegral, Powered by Enterprise; Secretary Blair Womble, Caliber Collision; and Immediate Past Chair  Tanya Sweetland, Caliber Collision.

New members joining the WIN 2024–25 Board include: Ellen Sieminski, Boyd Group/Gerber Collision & Glass; Kayla Clark, Classic Collision; Kristi Werner, URG; and Leslie Jones, CCC Intelligence Solutions.

The following board members will continue their service to the organization: Susie Frausto, Boyd Group/Gerber Collision & Glass; Kristle Bollans, CSN Collision; Hannah Whitesides, Driven Brands; Lisa Ferguson, I-CAR; Sabrina Simionescu, AkzoNobel; and Stacey Simmons, Enterprise Mobility.

36 JUNE 2024 AUTOBODY NEWS / autobodynews.com
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Automakers Report Strong Hybrid, EV Sales in April

Toyota reported a 15% increase in sales in April compared to the same month last year, making it the bestselling manufacturer in the U.S., as the 183,339 units it sold topped second-place Ford’s 170,302.

Ford

While Ford’s total sales were 3% lower compared to April 2023, sales its hybrid vehicle lineup increased 60% from the same month last year, setting a new monthly sales record, led by the F-150 PowerBoost Hybrid, which boasted a 93.6% increase in sales.

Ford said the impressive performance reflects a broader trend in consumer preference for more sustainable and versatile vehicle options. The new 2024 model of the F-150 Hybrid has particularly resonated with customers, many of whom opted for the 7.2kW Pro Power Onboard feature, which allows the truck to supply power not only to job sites and tailgate parties but also in emergency situations, such as power outages.

The best-selling hybrid pickup overall for the year, the Maverick Hybrid, sold 26,061 units in the first

four months of 2024 alone. Ford said 59% of Maverick Hybrid customers are new to the brand, switching mainly from small SUVs to the smaller, more efficient pickup model.

Hyundai

Hyundai Motor America reported total April sales of 68,603 units, a 3% decrease compared with April 2023. There were two fewer selling days in April 2024. Hyundai set total sales records in April for Elantra HEV (+3%), IONIQ 5 (+59%), IONIQ 6 (+41%), Tucson HEV (+44%), Santa Fe HEV (+12%) and Palisade (+31%). Hyundai’s electrified (hybrid, plug-in hybrid and electric vehicle) sales grew 26% while battery electric sales grew 31%.

Kia

Continuing its push toward sustainable mobility leadership, the all-new EV9 delivered its best sales performance to date in April and Kia America shattered its all-time monthly EV sales record, increasing 61% over the previous record set in April 2022 total. Kia sold 65,754 units in April, with SUVs accounting for 81% of the mix.

Three Kia utility vehiclesCarnival (+18%), Telluride (+5%) and Sportage (+2%) - each delivered the best April sales in their respective histories. In addition, sales of the all-electric EV6 grew 65% year-overyear while the new Sorento (+24%) and ICE Forte (+11%) also posted year-over-year gains.

Honda

American Honda’s April sales totaled 116,586 units, with balanced sales of cars and light trucks resulting in its second best sales month of 2024.

Honda brand sales topped 106,000 units in April, up 15.7% year-over-year and the brand’s third straight month above 100,000 units.

Honda’s electrified sales exceeded 21,000 units, with CR-V hybrid and Accord hybrid achieving a 46% and 51% model mix respectively. The Allelectric Prologue posted initial sales as units began arriving at dealers in the last few days of April.

Acura brand sales topped 10,500 units in April, its second best month of 2024. The first allelectric model from Acura, the 2024 ZDX and ZDX Type S, began arriving at dealers May 1.

Mazda

Mazda North American Operations reported total April sales of 31,125 vehicles, a decrease of 3.8% compared to April 2023. Yearto-date sales totaled 131,228 vehicles sold, an increase of 8.7% compared to the same time last year. With 27 selling days in April, compared to the same the year prior, the company posted a decrease of 3.8% on a Daily Selling Rate (DSR) basis.

Subaru

Subaru of America, Inc. reported 55,863 vehicle sales for April 2024, a 9.5% increase compared with April 2023 (51,014). SOA also reported year-to-date sales of 208,859, a 7.4% increase compared with the same period in 2023.

In April, Forester remained the top seller, with 17,850 vehicles sold, an 85% increase compared to April 2023. Outback also continued to have a strong showing, with 13,131 vehicle sales. Crosstrek sales followed closely behind, with 12,127 vehicles sold, a 17.6% increase over April 2023.

38 JUNE 2024 AUTOBODY NEWS / autobodynews.com
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Christian Brothers Automotive Opens New Shop Opens in Papillion, NE

Christian Brothers Automotive officially opened its doors in Papillion, NE. This new facility is aimed at delivering the brand’s signature high-quality service and customer satisfaction, which has repeatedly earned top rankings from J.D. Power.

Situated at 11319 Cumberland Drive, the shop operates 7 a.m.-6 p.m. Monday through Friday and is managed by Dan Webster, a seasoned professional with more than a decade of experience within the Christian Brothers Automotive network. Webster, having previously managed the Centennial, CO, location, brings a wealth of knowledge and a proven track record to the Papillion community.

“Although I’m well-acquainted with Christian Brothers Automotive, the brand’s mission continues to be a source of pride through its emphasis on trust and compassion,” said Webster. “This foundation of respect and generosity is demonstrated in several ways, whether that’s through trustworthy and educational automotive repair,

or in taking a more active role in our community. Our approach to automotive care will continue to offer a seamless experience for our guests, and we are looking forward to demonstrating this level of trust and care to our friends and neighbors in Papillion.”

The Papillion location joins more than 285 other Christian Brothers Automotive shops across the U.S., adhering to the company’s guiding principle of “Love your neighbor as yourself.” The shop offers a full spectrum of automotive services, from routine

maintenance to more complex repairs. Special features like free shuttle services, digital vehicle inspections and educational estimates are designed to enhance the customer experience.

Founded in 1982 in Mission Bend, TX, Christian Brothers Automotive has built a reputation for changing the way customers think about auto care.

“Our people-first approach at Christian Brothers Automotive has been the foundation of our business since 1982. I am confident that Dan will offer drivers in Papillion the chance to keep their cars and lives running as smoothly as possible,” said Donnie Carr, president and CEO of Christian Brothers Automotive. “Our goal is to provide guests with more than just reliable transportation. We have faith that every location will foster an environment where guests feel comfortable and empowered to make informed decisions about their vehicles.”

For more information or to book an appointment, visit cbac.com/ papillion or call 402-899-8940.

DSG Acquires S&S Automotive

Distribution Solutions Group, Inc., announced its operating company, Lawson Products, acquired S&S Automotive, Inc., a major player in automotive and industrial parts supply based in Woodridge, IL. This acquisition promises to strengthen Lawson Products’ Kent Automotive division, in the North American automotive dealership and collision repair market.

“Similar to Lawson’s Kent Automotive business, S&S Automotive is an industryleading distributor in the automotive dealership market,” said Cesar Lanuza, president and CEO of Lawson Products.

“We’re very excited to announce this acquisition that leverages the best of both companies. On a combined basis, S&S and Kent Automotive will enhance our ability to serve customers with auto-related supplies and tools, as well as vendor-managed inventory (VMI) services to dealerships and collision repair customers in this growing market.”

This acquisition, which includes an annual revenue of approximately $40 million from S&S Automotive, was funded through a combination of DSG’s cash and its available credit facility. It is also expected to be accretive to DSG’s adjusted EPS and EBITDA margins.

autobodynews.com / JUNE 2024 AUTOBODY NEWS 39
The service area of the new Christian Brothers Automotive location in Papillion, NE, is seen in this Facebook photo shared by the shop.
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Autoworkers Vote To Strike At Stellantis’ Warren Stamping Plant

More than 1,000 union workers at the Stellantis’ Warren Stamping Plant in Warren, MI, voted May 6 to authorize a potential strike, escalating tensions over unresolved health and safety issues, ranging from inadequate ventilation to insufficient personal protective equipment.

“We must stand up and stand together for this health and safety grievance procedure because this is our livelihood,” said Local 869 member Chautay Smith. “So, let’s stand up at Warren Stamping and take care of us the way we need to be taken care of.”

The Warren Stamping Plant, a

supplier to more than half a dozen Stellantis facilities across North America, is integral to the production of popular models like the Ram, Jeep Wrangler and Jeep Wagoneer. A work stoppage could significantly disrupt operations, impacting Stellantis’ production chain from Windsor, Ontario, to Saltillo, Mexico.

“Not only do we want these health and safety grievances resolved, we want our members to leave the same way they came,” UAW Local 869 President Romaine McKinney III said. “We want members to understand they’re not just a number or just a body on the line. They will come to work and feel like they have some ownership in that building.”

The issues at the plant include problems with ventilation fans, ergonomic matting, flooding, basement lighting and flooring, restrooms, oil leaks and general sanitation.

The UAW pointed out Stellantis made nearly $20 billion in profits last year, and CEO Carlos Tavares was compensated more than $37 million in 2023.

The National Highway Traffic Safety Administration (NHTSA) has opened an investigation into Ford’s handsfree driving technology, BlueCruise, after it was found to be engaged in two fatal collisions. In both incidents, a Mustang Mach-E SUV ran into another vehicle that was stopped in the travel lane of a highway. The inquiry involves about 130,000 Ford Mustang Mach-E vehicles from the 2021 to 2024 model years. The preliminary evaluation will determine whether these vehicles present an unreasonable risk to safety.

A Ford spokesperson told Reuters the company is working with the NHTSA. In addition to the NHTSA’s efforts, the National Transportation Safety Board (NTSB) is conducting separate investigations into the crashes. One of the accidents under scrutiny occurred Feb. 24, when a Mustang Mach-E using BlueCruise struck a stationary Honda CR-V on I-10 in San Antonio, TX, resulting in the death of the 56-year-old driver of the Honda. Another incident on March 3 in Philadelphia involved a

similar scenario, where BlueCruise was confirmed to be active just before the collision. Both incidents happened during nighttime lighting conditions, pointing to potential issues with the system s performance during limited visibility.

Ford’s BlueCruise, part of the Co-Pilot360 Active 2.0 package, operates on 97% of U.S. and Canadian highways with no intersections or traffic signals. The system uses a camera-based driver monitoring system to ensure driver attention, but the recent accidents have put its effectiveness under scrutiny. The investigations will assess the system s capability in handling dynamic driving tasks and monitoring driver attentiveness.

Similarly, the NHTSA also recently opened an investigation to determine if a recall to install software updates to Tesla’s Autopilot system was adequate. After more than 2 million vehicles were recalled in December, the NHTSA said it has received reports of 20 crashes involving Teslas with the update.

40 JUNE 2024 AUTOBODY NEWS / autobodynews.com
A Jeep Gladiator rolls off the assembly line at a Stellantis plant in Toledo, OH. Workers at Warren Stamping Plant in Michigan, which supplies parts to assembly plants, authorized a strike over health and safety concerns.
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Hyundai, Kia Lead Surge in Vehicle Thefts in 2023

Kia and Hyundai vehicles experienced the highest theft rates in 2023, breaking the yearslong trend of full-size pickups topping the list, according to a new report issued by the National Insurance Crime Bureau (NICB).

the Hyundai Elantra, Hyundai Sonata and Kia Optima, with thefts numbering in the tens of thousands.

These models surpassed traditionally high-theft vehicles like the Chevrolet Silverado 1500 and Ford F-150 pickups, which also feature on the list but in lower ranks.

Social media trends highlighting how to steal these vehicles likely played a factor in pushing Kia and Hyundai models to occupy six spots, including the top three, on the list of the 10 most stolen vehicles. Leading the list are

Auto Color & Equipment Joins Wesco Group

Wesco Group announced Auto Color & Equipment joined the Wesco team.

Auto Color & Equipment has been servicing Missouri since 1987. The owners, Wayne and Denise Edwards, took over in 1992 and have been committed to the industry and have been instrumental in shaping the company’s growth and success over the years.

“We welcome Auto Color & Equipment to the team, we believe they are a great fit with our team. This acquisition aligns with our growth strategy and reinforces our dedication to delivering excellence to our customers,” said Lloyd White, CEO of Wesco Group.

The combined Wesco Group, which includes Wesco, Color Compass, Kemperle and English Color, is one of the largest privately held PBE distributors in North America, servicing customers from 221 stores, 19 distribution centers, 14 equipment divisions and 12 training centers.

“These rankings highlight the persistent threat of vehicle theft across the country,” said NICB President and CEO David J. Glawe. “NICB works with law enforcement agencies and industry partners to deploy advanced technologies and strategies to combat vehicle theft from organized criminal networks and individuals. Even as we work to deter crime, it is crucial for owners to remain vigilant and take proactive measures to

protect their vehicles.”

Statistics from the report further revealed more than 85% of stolen passenger vehicles are eventually recovered, with a significant 34% recovered within just one day of being reported stolen.

This report comes after another NICB trend analysis, which indicated the U.S. is still experiencing a surge in vehicle theft rates that started at the onset of the pandemic. This past year, the nation saw another increase as vehicle theft claims rose 1% from 2022 to 2023.

Top 10 Vehicles Stolen in the U.S. in 2023

1. Hyundai Elantra - 48,445 thefts

2. Hyundai Sonata - 42,813

3. Kia Optima - 30,204

4.Chevrolet Silverado 150023,721

5. Kia Soul - 21,001

6. Honda Accord - 20,895

7. Honda Civic - 19,858

8. Kia Forte - 16,209

9. Ford F-150 - 15,852

10. Kia Sportage - 15,749

The Collision Industry Foundation (CIF) announced National Coatings & Supplies/ Single Source committed again to the CIF Annual Donor Program. This marks the fourth consecutive donation at the First Responder (highest) tier.

Introduced in 2021, the Annual Donor Program was designed to bring needed recurring resources to the foundation, so it can deliver on its mission to “Answer the Call” when those in the industry have been impacted by catastrophic events such as wildfires, hurricanes, tornados or flooding.

Learn more about the tax-deductible donations for the program at www. collisionindustryfoundation.org/ uploads/1/2/0/0/120099486/ cif_ad_order_form2023-1119.pdf

For more than two decades through the generous support of corporations and individuals, CIF has been able to assist hundreds of collision repair professionals in need after a disaster.

42 JUNE 2024 AUTOBODY NEWS / autobodynews.com
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WIN Annual Conference Encourages Women in Collision Repair To ‘Dream Out Loud’

The Women’s Industry Network held its 2024 Annual Conference, themed “Dream Out Loud,” May 6-8 in Newport Beach, CA, with a lineup of speakers, discussions and networking opportunities to celebrate and empower women in the collision repair industry.

The event also featured a gala, where this year’s Most Influential Women recipients were recognized, as well as a walk to raise money for student scholarships and a threevehicle giveaway to deserving local recipients by the National Auto Body Council’s Recycled Rides program.

Creating a Welcoming Culture

Among the presentations on the second day of the conference was a panel discussion on “Creating a Welcoming Culture.”

Moderated by WIN Chair Liz Stein, of OEC, the panel addressed how to foster engagement and teamwork among employees coming from diverse backgrounds, with a range of needs.

Melanie Allan, of Craftsman

company vision and core values, which are revisited annually. She also said the shop is “big on transparency,” sharing important numbers like KPIs and recognizing employees for their “wins.”

commission to an hourly rate for its technicians, which both attracts younger technicians who do not yet have the skills to completely repair a car, and encourages more

WIN Chair Liz Stein, far left, of OEC, moderated the panel discussion, “Creating a Welcoming Culture.” Panelists included, second from left to right, Lisa McNally of American Family Insurance, Annie Karrick of the Boyd Group/Gerber, Taryn Limpach of Safelite Auto Glass, Kena Dacus of Dacus Auto Body and Collision Repair in Kansas, Christy Harris of CCC, Ritu Shannon of Enterprise and Melanie Allan of Craftsman Collision in California.

She said the shop adjusted its pay structure for some of its employees from commission to hourly, so when the number of cars coming through slows down from time to time, employees don’t get testy.

Kena Dacus, of Dacus Auto

experienced technicians to take the time to teach them.

“We did that five years ago, and it was a big game-changer,” Dacus said.

Dacus said her shop switched to a four-day workweek, which has proven instrumental in helping employees establish a better worklife balance.

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Allan recommended doing fun things when possible. Being in California, her shop sometimes has to deal with power “brownouts,” scheduled by the utility companies. When those happen, the shop closes and everyone goes somewhere like a local pool hall.

“Do a fun thing out of the ordinary, and they will talk about it for a year,” Allan said.

Dacus said her shop does employee engagement surveys, every six to 12 months as needed. Replies are anonymous, which can be “scary to open yourself up to that, but it’s good to get that information,” she said.

Her shop also holds an all-staff meeting once per week to share the “new and good” in their life, which has proven to be a good way to get to know each other outside of work and learn what motivates them.

Ritu Shannon of Enterprise said her company encourages employees to donate time and money to nonprofits important to them. Employees can spread out donations over multiple pay periods, and Enterprise will match those. The company also gives them paid time off to volunteer for nonprofits of their choice, and organizes volunteering opportunities for employees to take advantage of.

Taryn Limpach of Safelite Auto

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44 JUNE 2024 AUTOBODY NEWS / autobodynews.com
Subaru
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Glass said Safelite gives employees eight hours of paid time off to volunteer per year, and established the Safelite Foundation, which employees can request to make grants to organizations important to them.

Lisa McNally of American Family Insurance said her company hires a lot of people who are new to the industry, and assigns them a mentor on day one. Shannon said Enterprise also has a mentorship program that matches employees, not necessarily to a mentor in the same department.

“When an employee feels supported and invested in, that’s when they feel job loyalty,” Shannon said. “Mentors benefit too, as they learn new perspectives.”

Annie Karrick of the Boyd Group/ Gerber and Christy Harris of CCC said their companies have both established employee resource groups for different segments, including veterans, the LGBT+ community, women and people with disabilities, to both bring together people who share similar backgrounds and people who are allies or want to learn more.

NABC Recycled Rides Presentation

On the final day of the conference, three deserving women from San Clemente, CA, received the keys to refurbished cars, providing them enhanced mobility and improved

daily life, through the NABC Recycled Rides program.

Cindy Cepeda, a military wife facing transportation challenges after a family car accident, received a 2019 Acura RDX, donated by the Auto Club of California and repaired by Caliber Collision.

“Having this car is one of greatest blessings in recent years. Now I can get to work, pick up my kids from school and do our daily routines. I am so grateful,” Cepeda said.

Celina De la Torre, a single mother and membership clerk, was presented a 2020 Mazda CX-5 donated by GEICO and repaired by Crash Champions. De la Torre had sold her car to help a friend in need and had been relying on borrowed vehicles.

This means a lot,” said De la Torre. “This is a big help for my family and me. I just can’t believe it. Thank you so much.”

Maria de Tate, another single mother working as a housekeeping supervisor, received a 2019 Hyundai Sonata donated by GEICO and repaired by Fix Auto Brea. Struggling with a deteriorating 2005 Toyota Camry, de Tate was facing immense financial burdens due to necessary repairs.

“Gracias. Thank you,” de Tate said. “This means so much.”

Kansas Car Dealer Fined $418K For Deceptive Sales Practices

Carnation LLC, a Wichita, KS, car dealership also known as Car Nation, was ordered by a state district court to pay a $418,197 default judgment after the dealership was found guilty of engaging in deceptive practices by selling vehicles with undisclosed safety issues, District Attorney Marc Bennett announced.

Carnation LLC came under scrutiny following a consumer complaint which led to an investigation by the Office of the District Attorney’s Consumer Protection Division. The investigation uncovered the dealership had sold multiple vehicles with non-functioning airbags, a fact it failed to disclose to the buyers. This violated the Kansas Consumer Protection Act (KCPA), under which Carnation LLC had already been penalized in a 2019 consent judgment for similar misconduct.

The court found Carnation’s repeated failure to disclose crucial safety information constituted willful violations of both the 2019 consent judgment and the KCPA.

According to the court’s findings, in the first quarter of 2023 alone, Carnation sold 13 cars in which

airbags had been deployed and not replaced, with devices installed to deactivate the dashboard warning lights. The court ordered Carnation to compensate the affected consumers, paying $2,000 per car to 12 individuals, totaling $24,000 in restitution. Additionally, Carnation faces $390,000 in civil penalties, alongside court costs and investigation fees. The dealership’s license to operate in Kansas has also been revoked, with a permanent injunction preventing them from selling any motor vehicles within the state.

The Office of the District Attorney reminded buyers to exercise care when shopping for a used vehicle. Devices can be used to conceal a car is missing functioning airbags, even if inspected by a mechanic. It is important to also examine a CARFAX or similar vehicle history report to identify crashes that may have resulted in the deployment of airbags. In addition, it is recommended the consumer perform a general online search of a prospective car purchase’s VIN, which can often reveal photos of prior damage to the car.

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IIHS Ratings Expose Driving Automation Flaws

The Insurance Institute for Highway Safety (IIHS) released its latest ratings for partial driving automation systems, spotlighting a critical need for enhanced safety measures.

The study, which tested 14 systems, found only the Lexus LS’s Teammate system to be acceptable. Two were rated marginal, and 11 poor.

“We evaluated partial automation systems from BMW, Ford, General Motors, Genesis, Lexus, Mercedes-Benz, Nissan, Tesla and Volvo,” IIHS President David Harkey said. “Most of them don’t include adequate measures to prevent misuse and keep drivers from losing focus on what’s happening on the road.”

The Teammate system available on the Lexus LS is the only system tested that earned an acceptable rating. The GMC Sierra and Nissan Ariya are both available with partial automation systems that earned marginal ratings. The LS and Ariya each offer an alternative system that earned a poor rating. The Ford Mustang Mach-E, Genesis G90,

Mercedes-Benz C-Class sedan, Tesla Model 3 and Volvo S90 also earned poor ratings, in some cases for more than one version of partial automation.

The ratings only apply to the specific models tested even though systems with the same names may be used on multiple vehicles from the same manufacturer.

Vehicles with partial automation are not self-driving — though automakers sometimes use names that imply their systems are. The human driver must still handle many routine driving tasks, monitor how well the automation is performing and remain ready to take over if anything goes wrong. While most partial automation systems have some safeguards in place to help ensure drivers are focused and ready, these initial tests show that they’re not robust enough.

“The shortcomings vary from system to system,” said IIHS Senior Research Scientist Alexandra Mueller , who led the development of the new

program. “Many vehicles don’t adequately monitor whether the driver is looking at the road or prepared to take control. Many lack attention reminders that come soon enough and are forceful enough to rouse a driver whose mind is wandering. Many can be used despite occupants being unbelted or when other vital safety features are switched off.”

Partial automation technology — which includes systems like Tesla’s Autopilot and GM’s Super Cruise as well as feature bundles that provide similar capabilities — uses cameras, radar or other sensors to “see” the road and other vehicles. It combines adaptive cruise control (ACC), lane centering and various other driver assistance features.

The new IIHS ratings aim to encourage safeguards that can help reduce intentional misuse and prolonged attention lapses

braking (AEB) is turned off or seat belts are unbuckled.

In some cases, manufacturers are already making changes to their systems through software updates, which may result in adjustments to these ratings. The two Tesla systems evaluated, for example, used software that preceded the most recent recall in December 2023.

IIHS expects improvements to be rapid.

“These results are worrying, considering how quickly vehicles with these partial automation systems are hitting our roadways,” Harkey said. “But there’s a silver lining if you look at the performance of the group as a whole. No single system did well across the board, but in each category at least one system performed well. That means the fixes are readily available and, in some cases, may be accomplished

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Average Length of Rental Continues Decline from Post-COVID Highs

New data from Enterprise showed the average length of rental (LOR) for collision-related rentals in Q1 2024 declined by just over one day year-over-year, to 17.6 days.

The results followed the typical trend of LOR decreasing in the first quarter of the year, and it also continued the steady decreases seen from post-COVID highs, with Q1 2023’s 18.7 days and Q1 2022’s 18.2 days.

However, it is still higher than the same quarter in 2021, when LOR was 13.3 days, and in 2020, when it was 13.2 days.

West Virginia had the highest overall LOR at 21.8 days, a 0.6-day increase from Q1 2023. Colorado had the second-highest LOR at 21.1 days, followed by Rhode Island (20.9) and Alaska (20.7).

North Dakota had the lowest LOR with 13.1 days, a 1.5-day drop from Q1 2023. Hawaii wasn’t far behind at 13.2 days, followed by Iowa at 13.6 days.

Only three states had increased LOR: West Virginia (+0.6), Maine (+0.2) and New Mexico (+0.2). Vermont and Delaware were flat. Washington had the largest decrease of 2.3 days, closely

followed by Montana and Louisiana at 2.1 days each, and South Dakota, Utah and Alaska at 2.0 days each.

John Yoswick , editor of the weekly CRASH Network newsletter, offered some insights from data he’s received.

“The continued decline in LOR in Q1 2024 aligns with the decline we’ve seen with repair shops’ backlog of work in the same timeframe,” Yoswick said. “On a national basis, the average backlog reached a two-year low in January — just shy of four weeks. That’s down by nearly two full weeks since the high of 5.8 weeks in the first quarter of 2023. But the average backlog remains significantly higher than the same period in January 2020 (2.1 weeks) and January 2021 (1.6 weeks).

“We’re also seeing continued decline in the amount of work-inprocess (WIP) that shops have, which often benefits throughput, and can be another sign that partsrelated challenges are easing a bit,” Yoswick continued. “We measure WIP as the number of repair jobs that a shop has in-process compared to that shop’s typical monthly repair job count. The more

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than 550 shops that shared data with us in March had WIP that on average was equal to 57% of their typical monthly volume. That was down 11 points from the prior quarter, and 8 percentage points lower than a year earlier.”

Greg Horn , PartsTrader’s chief innovation officer, compared delivery day trends he is seeing.

“PartsTrader uses median delivery days, plus two standard deviations, to track the delivery times and the impact of the outliers,” Horn said. “We compared the results of Q1 2024 median parts delivery data to the Q1 results for the preceding three years. Q1 2024 median delivery days for all parts saw an overall decrease of 1.9 days compared to Q1 2023.”

Horn also compared Q1 2024’s results to Q1 2021, finding median delivery days have not returned to 2021 levels, which correlates parts availability with length of repairable vehicle rentals: “While we have seen an impressive reduction in median delivery times for all part types, we are still not at 2021 and prior years’ performance levels.”

Asked what makes the difference, Horn offered: “There

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isn’t a single factor, such as a single manufacturer, union strike or port bottleneck; this is an industry struggling to reach pre-pandemic production and delivery levels, and we’re not there yet.”

Drivable

For rentals associated with drivable claims, LOR was 15.8 days, a relatively minor 0.3-day drop from Q1 2023.

Rhode Island had the highest drivable LOR at 19.3 days, followed by Colorado at 19.0 days. West Virginia had the highest drivable increase, up 1.6 days to 17.6. New Mexico also saw a significant increase, up 1.2 to 18.0 days. Twenty other states, plus Washington, D.C., had drivable increases in Q1 2024.

The lowest drivable LOR was North Dakota with 10.4 days, followed by Hawaii at 11.8 days and Iowa at 12.0 days. California saw the largest drivable decrease, down 1.2 days, with Utah close behind with a full 1.0-day decrease.

Non-Drivable

Non-drivable LOR in the U.S. was 25.0 days in Q1 2024, a 2.5-day drop from Q1 2023.

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West Virginia recorded the highest non-drivable LOR at 33.2 days. Colorado (30.6 days), Montana (30.5 days), New Mexico (30.4 days) and Alaska (30.2 days) all had non-drivable LOR greater than 30 days.

D.C. had the lowest non-drivable LOR with 20.6 days, followed by Iowa (21.0 days) and New York (21.9 days).

Vermont was the only state to record a higher non-drivable LOR over last year, as its Q1 2024 result of 27.5 days represented a 1.1-day increase.

South Dakota had the largest decrease, down six full days to 24.7 days. Both Louisiana and Washington had decreases greater than five full days (5.3 days and 5.0 days, respectively). Thirteen additional states, plus D.C., had non-drivable decreases greater than three days, with 29 additional states notching decreases greater than a full day.

“The percentage of shops in January that said they could schedule a job within two weeks (33%) was virtually unchanged from Q4 of 2023 but was 20 points higher than a year earlier, when just 13% of shops could schedule new work within two weeks,” said Yoswick.

He also observed that a backlog decline of any percentage between October and January is notable:

“The first quarter is traditionally the busiest of the year, and in the eight-year history of backlog tracking through the ‘Who Pays for What?’ surveys, there had never been a decline in backlog between October and January. That might suggest the drop in backlog is more dramatic than the 1.3-day decline, compared to Q4 of 2023, reflects.”

Yoswick also tracks regional backlog differences, as they do vary: “The Southwest region, which includes California, reported a 1.9-week average backlog in January, a small increase from the prior quarter, but still the shortest average backlog of any region. The New England states reported a oneweek jump in backlog to an average of 5.3 weeks, perhaps because of several snow events in January. The average backlog remained flat or down in the other parts of the country; the largest decline was in the Pacific Northwest, where the average fell 2.2 weeks to 4.7 weeks.”

Ryan Mandell , director of claims performance for Mitchell International, added an interesting item to watch regarding calibration frequency, which adds time to the repair process.

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“Calibration frequency in January 2024 increased to 21.35%, compared to 15.1% in January 2023,” Mandell said. “The numbers from February and March have not developed enough to give a full picture of the Q1 numbers.”

Total Loss

LOR associated with total loss claims was 16.4 days in Q1 2024, a 2.0-day drop from Q1 2023.

West Virginia had the highest LOR at 20.1 days, followed by Kentucky at 19.4 days. North Dakota had the lowest LOR at 14.4 days, beating out Florida at 14.6 days and Iowa at 14.7 days.

As with non-drivable rentals, Vermont was the only state to see an increase in total loss LOR, up 0.9 days to 18.8 days.

Alabama’s total loss LOR of 16.4 days was unchanged.

Montana had the highest decrease, down 8.1 days to 15.8 days, beating the second-highest decrease in Washington (17.6 days, down 6.1). Twenty-eight other states had total loss decreases greater than two days.

“Overall, repairable claims volume fell by 0.87% in Q1 2024 compared to Q1 2023, fueled primarily by mild weather conditions in January through March,” Mandell said. “A cooling used vehicle market also drove total loss frequency higher — 20.8% in Q1 2024 vs 20.1% in Q1 2023. Overall total loss market values decreased by 1.96% in Q1 2024 compared to Q1 2023.”

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Ford Seeks Supplier Cuts Amid EV Losses

Ford is pressing its suppliers for cost reductions to improve profitability of its electric vehicle division, Model e, which reported a $1.3 billion loss in the first quarter of 2024.

In a memo from Ford to its EV suppliers, first reported by Crain’s Detroit Business, Liz Door , Ford’s chief supply chain officer, said the automaker needs to “deliver affordable EV products to our customers.”

Door asked suppliers to look for ways to make manufacturing operations more efficient and reduce capital spending. She also called for further costreduction proposals on the EVs in Ford’s lineup, including the F-150 Lightning, Transit and Mustang Mach-E.

Ford told Reuters it is working on making its EV division profitable. “We value our suppliers’ collaboration and asked them to share their ideas for cost reductions,” the company said in a statement.

Ford’s Model e division,

which focuses on EVs and related software, is hemorrhaging billions in an intense competition with Tesla and other industry leaders, who are dropping prices on their own EVs. The division’s first-quarter loss translates to more than $100,000 for every EV Ford sold.

In response, Ford CEO Jim Farley announced a cutback in projected spending on building out the Model e unit, scaling down from an anticipated $10 billion to between $8 billion and $9 billion.

The push for cost efficiency is part of a broader strategy that includes reevaluating Ford’s focus in the European market. Martin Sander , head of Ford’s European passenger car division, hinted at a potential pivot towards hybridelectric vehicles in response to consumer preferences.

“If we see strong demand, for instance, for plug-in hybrid vehicles, we will offer them,” Sander noted.

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Johnson To Lead Development of AsTech Mechanical

Ben Johnson has joined Repairify as vice president of general automotive repair markets, to help lead the company’s expansion into the mechanical market.

Repairify chose Johnson to lead the business development and product management teams for asTech Mechanical as it enhances its remote OEM solutions to better serve the needs of the general automotive service and repair markets.

asTech Mechanical will enhance the functionality of Repairify’s patented technology, currently the leading remote solution for collision centers. It will improve support for mechanical repairers connecting remotely to asTech’s authentic OEM tools to perform functions such as vehicle health checks, programming and calibrations.

asTech Mechanical will help shops complete any repair functions in-house that would require an OEM tool without the shop needing to purchase that specific OEM tool, send out the vehicle or sublet.

Subaru Forester Excels in Tough New IIHS Crash Tests

The Insurance Institute for Highway Safety (IIHS) has revamped its vehicle-to-vehicle front crash prevention test, introducing higher speeds and new targets, including motorcycles and large trucks. Amidst these tougher conditions, the Subaru Forester stood out as the only small SUV to secure a “good” rating.

The updated testing protocol now involves trials at speeds of 31, 37 and 43 mph, simulating more severe crash scenarios than the previous tests which capped at 25 mph.

“This is a vital update to one of our most successful test programs,” IIHS President David Harkey said. “The vast majority of new vehicles now come with automatic emergency braking, and our research shows the technology prevents as many as half of all frontto-rear crashes. This new, tougher evaluation targets some of the most dangerous front-to-rear crashes that are still happening.”

Real-world data had shown that while automatic emergency braking (AEB) systems were effective at lower speeds, their performance

at higher speeds was not being adequately tested. The new IIHS test aims to fill this gap by also including motorcycle and semitrailer targets, reflecting a wider range of real-world conditions.

motorcycle rider at 31 mph in the IIHS’ updated vehicle-tovehicle front crash prevention test. The Equinox was rated “poor.”

“Obviously, crashes that happen at higher speeds are more dangerous,” said IIHS Senior Research Scientist David Kidd, who led the development of the new evaluation. “Deadly underride crashes often occur when the struck vehicle is a large truck, and

motorcyclists are frequently killed when they’re rear-ended by a passenger car, since their bike offers no protection from the impact.”

The Subaru Forester demonstrated superior performance across multiple scenarios. It avoided collisions with the passenger car target at all test speeds and managed significant speed reductions when encountering the motorcycle target. The Forester’s AEB system slowed the vehicle by an average of 30 mph in the 43 mph tests involving a motorcycle, significantly reducing the severity of the impact.

Other vehicles like the Honda CR-V and Toyota RAV4 received “acceptable” ratings, showing variability in their ability to handle higher-speed tests, particularly with motorcycle targets. Vehicles such as the Ford Escape, Hyundai Tucson and Jeep Compass were deemed “marginal,” and several others, including the Chevrolet Equinox, Mazda CX-5 and Volkswagen Taos, were rated “poor” due to their inconsistent performance across different test scenarios.

autobodynews.com / JUNE 2024 AUTOBODY NEWS 51
A Chevrolet Equinox strikes a dummy representing a
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