Hammer & Dolly September 2020

September 2020 www.wmaba.com

Volume 14, No. 9 $5.95

WMABA GOES VIRTUAL WITH

WATERCOOLER

CHATS and TRAINING: Collision P.R.E.P. Kicks off with Mark Olson, VECO Experts

PLUS: T The Data Security Dilemma T SCRS Activities Update

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SEPTEMBER 2020

CONTENTS

30 COVER STORY

BY JOEL GAUSTEN & ALANA BONILLO

WMABA GOES VIRTUAL WITH WATERCOOLER CHATS AND TRAINING:

Collision P.R.E.P. KiCKs off with MaRK olson, VECo ExPERts

Association members unite to move forward.

NATIONAL NEWS 14 SCRS OPEN BOARD MEETING SPOTLIGHTS EXTENSIVE ACTIVITIES BY JOEL GAUSTEN

DEPARTMENTS

The national association’s work hasn’t slowed down.

20 CIC PROPOSES DATA SECURITY “GOLDEN RULES,”

Executive Director’s Message JORDAN HENDLER

6

ADDRESSES CARFAX CONTROVERSY Repair information is turning up in unwanted places.

15

WMABA Membership Application

22

WMABA Sponsorship Page

34

Advertisers’ Index

24 CIC RESUMES PARTS DEFINITION DEBATE Industry members attempt to sift through the confusion.

28 SHOPS PUSH AUDATEX FOR FEATHER, PRIME AND BLOCK RESPONSE The silence is deafening.

Stock Images © www.istockphoto.com

September 2020

3

Superior service starts with superior parts.

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Contact these Mazda dealers for all your parts needs: Brown’s Fairfax Mazda 10570 Lee Hwy. Fairfax, VA 22030 Toll Free: 800-234-8642 Phone: 703-385-3994 Fax: 703-591-5348

Nu Car Mazda 172 North Dupont Hwy. New Castle, DE 19720 Toll Free: 800-346-5283 Fax: 302-322-7135

Ourisman Mazda of Rockville 801 Rockville Pike Rockville, MD 20852 Parts Direct: 301-340-7668 Phone: 855-417-4511 Fax: 240-499-2488 e-mail: rockvilleparts@ourismanautomotive.com www.ourismanmazdaofrockville.com

Fitzgerald Mazda of Annapolis 1930 West Street Annapolis, MD 21401 Toll Free: 866-280-8022 Phone: 410-224-4636 Fax: 410-224-4264

Fitzgerald Mazda 114 Baughmans Lane Frederick, MD 21702 Toll Free: 800-545-4745 Fax 877-696-1841 E-mail parts@fitzmall.com www.fitzparts.com

4

www.fitzmall.com

September 2020

Audi dealers strive to make you an Audi Genuine Parts fan •

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•

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Installing Audi Genuine Parts contributes towards improved cycle time that makes both your customer and their insurance company happier.

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Audi Chantilly 14839 Stonecroft Center Court Chantilly, VA 20151 703.956.2100 Fax: 703.956.2139 www.audichantilly.com

Audi Bethesda 5206 River Road Bethesda, MD 20816 Parts Direct: 240.762.5636 Parts Fax: 301.718.1847 www.audibethesda.com

Rockville Audi 1125 Rockville Pike Rockville, MD 20852 Parts Direct: 301.296.2870 Parts Fax: 301.762.5055 www.rockville-audi.com

Audi Silver Spring 3151 Automobile Boulevard Silver Spring, MD 20904 844.413.6929 Fax: 301.890.3748 www.audisilverspringparts.com

Audi Owings Mills 9804 Reisterstown Road Owings Mills, MD 21117 Parts: 877-411-6825 Parts Fax: 410-372-3380 www.audiowingsmills.com

September 2020

5

Jordan hendler

(804) 789-9649 jordanhendler@wmaba.com

EXECUTIVE DIRECTOR’S

MESSAGE

Learn or Not, but Be Connected to What’s Happening Not everyone feels like “learning” new things right now. Heck, we’ve learned so much about infectious disease, payroll protection loans and economic impact lately that learning can seem “meh.” So, if that’s you, come share your victories and woes! If you’re ready to learn and grow alongside a fun group of folks, we have a lot of great offerings coming your way in the fall.

We’re proud to give you options!

You can see by our cover story that we are remaining engaged with our members and training through our member Watercooler Chats and the Collision P.R.E.P. virtual education series. (See page 30.) It’s off to a great start, but I am fully aware that not all things are rainbows and sunshine right now. So, that’s exactly what we were talking about.

In our recent Watercooler Chat, our members were talking about COVID-19 response in ways that were centric to the customer and their employees. It can be overwhelming to respond to a virus in a way we’ve never had to before in our businesses. Having a plan to address customer concerns that also gives flexibility to the workforce while keeping them safe is like walking a high wire blindfolded. It didn’t help at all that shops never closed (unless the business needed to), and OSHA took a ridiculously long time to put out any bit of information. When they did, it wasn’t simple to understand compliance. So, up to that point, you were guessing. Guessing is exactly what you don’t want to do in today’s climate.

wMaBa offiCERs PREsiDEnt

ViCE PREsiDEnt

sECREtaRY

iMMEDiatE Past PREsiDEnt

torchy Chandler torchy.chandler@gmail.com 410-309-2242 Bill hawkins hawkinswilliamjr@gmail.com 510-915-2283 Phil Rice phil@ricewoods.com 540-846-6617 Mark schaech, Jr. markschaech@gmail.com 410-358-5155

BoaRD of DiRECtoRs

Don Beaver (donbeaver3551@gmail.com) 443-235-6668 Rodney Bolton (rbolton@aacps.org) 443-386-0066 Kevin Burt (kevinburt@walkermillcollision.com) 301-336-1140 Kris Burton (kris@Rosslynautobody.com) 703-820-1800

aDMinistRation

Barry Dorn (bdorn@dornsbodyandpaint.com) 804-746-3928 Ben Gibson (bgibson@richmondmarinecenter.com) 804-355-8151 Steven Krieps (srkrieps@live.com) 304-755-1146 Danny Szarka (danny@dynamiccollisionservices.com) 410-500-9200

ExECUtiVE DiRECtoR Jordan Hendler (jordanhendler@wmaba.com) 804-789-9649 wMaBa CoRPoRatE offiCE P.O. Box 3157 • Mechanicsville, VA 23116

6

September 2020

Another item of discussion that I want to highlight – multiple times – was the prevalence of virtual adjusting issues in the marketplace.

What’s more troubling? The offices of insurance commissioners are closed. There are remote workers, but generally they are delayed and certainly not in their capacities previous to the pandemic. Worse is the thought they barely addressed complaints to begin with or would tell us they didn’t get them when we know for a fact they did.

Also, at the time of this writing, we had an insurance commissioner rep in West Virginia explain to a Board member that virtual adjusters do not have to carry a license if they “never set foot in the state.” Wait, what? So, if I just got off work as a Starbucks barista and wanted to adjust claims virtually in West Virginia, I wouldn’t even need to be verified. This one will be fun to unravel, especially as they don’t return calls for approximately 48 hours. I’m still waiting for the call back.

One positive note is that we have the forms now for Virginia and Maryland that a shop can utilize to file a complaint on their customers’ behalf. We’re working on the West Virginia option as well, but we hope to have them all covered so shops can speak with states directly rather than let their customer – who may be confused by questions, technical information, insurance response or whatever could arise – address these issues.

I recently had a consumer call our office with an ongoing (at staff

PUBlishER salEs DiRECtoR EDitoRial DiRECtoR GRaPhiC DEsiGnER

thomas Greco thomas@grecopublishing.com

alicia figurelli alicia@grecopublishing.com

Joel Gausten joel@grecopublishing.com

lisa M. Cuthbert lisa@grecopublishing.com

EDitoRial/CREatiVE CooRDinatoR

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PUBLISHED BY TGP, Inc. 244 Chestnut St., Suite 202 Nutley, NJ 07110 973-667-6922 FAX 973-235-1963 Reproduction of any portions of this publication is specifically prohibited without written permission from the publisher. The opinions and ideas appearing in this magazine are not necessarily representations of TGP Inc. or of the Washington Metropolitan Auto Body Association (WMABA). Copyright © 2020 Thomas Greco Publishing, Inc.

least three-month) debate with an insurer’s claims staff where they were in disagreement to the tune of about $1,100 on the repair of his 2020 vehicle. I discovered that the representative was a third-party administrator in the process, with a company that had not previously “subbed” out claims. The company is known for slashing estimates in their reviews to make themselves look good. That doesn’t take into account anything required to be done to the vehicle, just market practice.

Market practice to them is once they convince one person to take it off an estimate, it’s like a crack in the barn door. So frustrating.

These are just a few of the things we talk about. You can come talk about whatever ails you or what you want to celebrate in the community that is WMABA membership. Join up and join us!

We also want to see you at our classes from the comfort of your office. Invite your co-workers to watch-learn-interact, too!

H&D

Check the WMABA website and newsletters for regular updates and reports from the Executive Director’s perspective.

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6700 Baltimore National Pike Baltimore, MD 21228 855-996-2906 410-744-2000 Fax: 410-818-2600 bmwofcatonsville.com

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September 2020

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NATIONAL

NEWS

In Memoriam

Alexander “Alex” Ingagliato

Alexander “Alex” Ingagliato, stepson of former WMABA Board member Mike Anderson (Collision Advice), passed away on July 26 at the age of 28.

A lifetime resident of La Plata, MD, Alex was a member of New Life Wesleyan Church in La Plata and worked as a server at Public House Restaurant in the National Harbor. Alex, while appearing tough on the outside, was a kind, gentle person on the inside and was always known for his willingness to help his friends and family. He will always be remembered for his big smile, infectious laugh and “bear hugs.”

Alex is survived by his mother, Sherri Mona Anderson, stepfather, Mike; father, Philip; stepmother, Ruth; brother, Anthony; and sister-in-law, Andie.

The Alex Ingagliato Recovery Fund has been set up in Alex's honor; please visit facebook.com/thealexingagliatorecoveryfund for more information, or to contribute.

Michael “PJ” Quinn

Michael “PJ” Quinn, son of Collision Industry Conference (CIC) Past Chairman Michael Quinn (AirPro Diagnostics), passed away on July 5 just after his 29th birthday. PJ bravely fought multiple recurrences of osteosarcoma for nearly four years while always maintaining a positive attitude and his signature sense of humor. Whenever asked how he was doing, his answer was always, “Livin’ the dream!”

Born in Drexel Hill, PA in 1991, PJ moved to Tucson with his family in 1998. He received his Bachelor’s in Elementary Education from Northern Arizona University (NAU) in 2017 and spent his student teaching term tutoring children at Diamond Children’s Medical Center while he himself was in chemotherapy.

PJ is survived by his wife, Catie; his parents, Bonnie and Michael; his sister, Emily; his dog, Scout; and many aunts, uncles, cousins and loving, loyal friends.

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Contact these Nissan dealers for all your parts needs: Passport Nissan 5000 Auth Way Suitland, MD 20746 Phone: 301-423-6930 Fax: 301-423-2965

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September 2020

Sheehy Nissan of Manassas 9010 Liberia Ave Manassas, VA 20110 Toll Free: 800-969-4778 Local Direct: 703-361-0377 Fax: 703-361-5165 martinfisher@sheehy.com

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September 2020

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Contact these Genuine GM Parts dealers for all your parts needs: NU CAR CHEVROLET 172 North Dupont Highway New Castle, DE 19720 Phone: 800-633-6606 Fax: 800-346-5285 e-mail: parts@nucar.com www.nucar.com

OURISMAN CHEVROLET 4400 Branch Avenue Temple Hills, MD 20748 Phone: 301-899-6990 Fax: 301-899-9375 www.ourismanchevrolet.com

RADLEY CHEVROLET 3670 Jefferson Davis Highway Fredericksburg, VA 22408 Phone: 800-355-8202 Direct: 540-898-0055 Fax: 540-891-2074 www.radleychevrolet.com

OURISMAN CHEVROLET OF ROCKVILLE 807 Rockville Pike Rockville, MD 20852 Toll Free: 800-345-4640 Direct: 301-424-5332 Fax: 301-294-6381 www.rockvillechevrolet.com

JERRY’S CHEVROLET 1940 E. Joppa Road Baltimore, MD 21234 Toll Free: 844-817-9405 Local: 443-219-3339 Fax: 443-403-0803 chevyparts@jerryschevrolet.com www.jerryschevrolet.com

September 2020

13

NATIONAL

NEWS Spotlights Despite the coronavirus pandemic, the Society of Collision Repair Specialists (SCRS) is moving forward with its most active year ever.

Earlier this summer, SCRS welcomed more than 100 industry attendees for a virtual Open Board of Directors Meeting that provided an update on the association’s extensive work since its last in-person event in Palm Springs, CA in January.

With COVID-19 still having a considerable impact on the collision repair industry, SCRS has continued its work to provide information and assistance to members. Early in the lockdown, the association launched a free online page (scrs.com/covid19resources) that is regularly updated with the latest resources in employee safety, financial aid and other industry-related matters.

Additionally, SCRS has maintained regular contact with the US Chamber of Commerce, the American Society of Association Executives and a number of other strategic coalitions in an effort to advocate for the small businesses the association represents and provide up-to-date information to its nearly 40 affiliate associations.

It is also working with groups such as the National Federation of Independent Businesses in promoting the Paycheck Protection Program Small Business Forgiveness Act, which aims to forgive Payroll Protection Plan (PPP) loans for businesses that received less than $150,000. According to SCRS Executive Director Aaron Schulenburg, approximately 86 percent of all PPP loan recipients fall into this category.

“Our goal is to help small businesses make this path easier and more accomplishable.”

Away from COVID-19-related initiatives, Schulenburg has become a participant in the Society of Automotive Engineers’ (SAE) Active Safety ADAS Sensor Calibration Task Force, an entity comprised of OEMs and various calibration specialists currently working to address the challenges and possibility for standardization surrounding calibration. Similar work has led SCRS to conversations with the National Highway Traffic Safety Administration (NHTSA) and the Virginia Tech Transportation Institute in exploring the safety implications of potential ADAS sensor degradation.

“We have found it interesting thus far and are looking forward to introducing the collision repairer viewpoint in those conversations.”

14

September 2020

With the Collision Industry Conference (CIC) back in action thanks to virtual technology (see pages 20, 24 and 28), Schulenburg and SCRS have continued contributions in the CIC Parts & Materials Committee’s ongoing work in identifying inconsistencies that exist in parts labeling among various platforms (Information Providers, parts manufacturers, suppliers, etc.) and how these various terms are being communicated to repairers and consumers.

In addition, SCRS is actively involved in the CIC Vehicle Data Access, Privacy and Security Committee in addressing issues

With COVID-19 still having a considerable impact on the collision repair industry, SCRS has continued its work to provide information and assistance to members.

including the unauthorized distribution of repair information generated at the shop level.

“SCRS has continued to field numerous concerns from our members about how estimates generated out of their businesses end up populating VIN-reporting services – CARFAX is an example – and how those align with the dates on their estimates,” Schulenburg explained. “We believe that electronic commerce needs to take place, but we should also be able to count on the companies that we’re working with that it takes place responsibly.”

Data security was also explored during a guest presentation by Brandon Laur, vice president of business development and cient experience at ClaimsCorp, Inc., who stressed that shops should secure a customer’s consent to use their data in any of that facility’s internal tools. He also cautioned that shops that store data with a provider based in another country could be in violation of their DRP agreements.

Other SCRS activities include promoting its newly launched Blueprint Optimization Tool (BOT), a game-changing new technology first introduced in demonstration form at the 2019 SEMA Show. Powered by NuGen IT in partnership with SCRS, the repairer-focused BOT is a Microsoft Windows software application that automates the print version of SCRS’ Guide to Complete Repair Planning. The BOT application operates alongside of the respective

P-Page logic estimating application and utilizes Collision Industry Electronic Commerce Association (CIECA) estimate data to analyze the original repair line information. It then generates an electronic information estimate report that identifies additional repair operations that may have been overlooked. Schulenburg reported that the initial rollout of the BOT technology has resulted in “tremendous feedback” from end-users.

To introduce more industry members to what the BOT provides, SCRS is currently hosting free online demonstrations of the product every Wednesday at 2:30pm EDT. More information is available at scrs.com/BOT. In other national news, SCRS has spent considerable time making its voice heard in Washington, DC in support of the 1963 Consent Decree. Last year, the document was proposed for termination by the Department of Justice during a review of numerous decrees that were created without end dates. The association is among several industry entities that have urged legislators to keep the document in place for the protection of the motoring public.

“It became evident to SCRS that somebody needed to be present in Washington to communicate the importance of this document, the guiding light that it serves in our industry and the consumer protection that it [includes]…It’s our belief that the benefits that this particular decree continue to bring to the marketplace have been made very clear, and it’s our hope and anticipation that the Department of Justice will continue to maintain [it].”

Staying in motion.

BY JoEl GaUstEn

In response to reports from members in Ohio, Illinois, Kansas and Washington that certain auto insurers have been insisting that third-party claimants utilize their Direct Repair Program shops for estimates, SCRS welcomed Illinois-based attorney Patrick McGuire for his thoughts on the trend. He likened the scenario to an injured party having to go to the at-fault party’s insurance company’s doctor for a first diagnosis. In his mind, a situation of this nature could pose considerable problems for shops and consumers alike.

“It does raise some pretty significant legal issues, primarily because of the fact that as a third-party claimant, there is no requirement to actually use a Direct Repair Program. [DRPs] are, by their nature, creatures of a first-party insurance policy.”

To illustrate how third-party claimants differ from first-party ones, McGuire noted that Illinois drivers are under no obligation to give notice to an at-fault party’s insurance company prior to repairs. He added that although consumers are “better off” notifying the at-fault party’s insurance company of their repair decisions, they need to know where to draw the line to avoid having their choice in shop or estimate source dictated to them.

McGuire suggested that this apparent insurance trend could provide the auto body industry with an opportunity to research the “practical differences” between first-party and third-party claimants in a particular state. From there, industry members could approach their respective Departments of Insurance or regulatory agencies to look at

Continued on page 16

JO I N !

TODAY September 2020

15

NATIONAL

NEWS

Continued from page 15

insurers engaged in these practices and determine if their insistence on having DRPs write estimates for third-party claimants contradicts existing state law. He stressed that other legal concerns exist for a DRP facility that writes an estimate for a third-party job at an insurer’s urging. “For example, a repair shop would have much greater potential for liability using aftermarket or salvage parts in a third-party claimant vehicle.�

Additional guest presenters included Tom Gattuso (director of trade shows for SEMA), Dustin Peugeot (CEO & co-founder of Matrix Trade Institute), John Helterbrand (department chair of automotive collision repair at Ranken Technical College in Missouri) and John Eck and Chris Blackmore of General Motors.

The meeting also included the annual SCRS elections, which were originally slated for last April but postponed due to the national lockdown.

Incumbent Amber Alley, general manager of Barsotti’s Body and Fender (San Rafael, CA), was reelected to serve another term on the Board. “It’s really exciting coming together with people who are so passionate about the same things you deal with on a daily basis‌It’s probably one of the best things professionally that I’ve been part of.â€?

Kansas Auto Body Association Vice President Tony Adams (Weaver’s Auto Center; Shawnee, KS), who was elected to his first term on the SCRS Board, shared some thoughts on how the industry has evolved since his early experiences three decades ago. “At that point in time in the early ’80s, it was an industry of roughnecks. To watch this industry grow and be the level of

professionals that it is today is just awesome.�

The Board also welcomed new member John Mosley (Clinton Body Shop; Clinton, MS), known throughout the industry for his strong consumer advocacy as part of the Mississippi Collision Repair Association (MCRA). “My heart is in the collision repair industry,� he remarked during the meeting. “My only motive for being on the Board is to do everything I can do to help Aaron and everybody who’s a member of SCRS to promote the interest of [the association], because they’re promoting the interests and welfare of the collision repair industry.�

A full list of current SCRS member benefits can be found at scrs.com/member-benefits. For specific information on the SCRS 401(k) plan for members, visit scrsbenefitscenter.decisely.com. Visit YouTube.com/SCRSCollision for weekly webinars and other exclusive content. H&D

Executive Director’s Thoughts SCRS has been very active in support of membership and the entire industry through the pandemic. The BOT tool is an amazing and transformative resource that will change the way estimators are writing. This is the perfect time to check it out, when distractions or retraining leave operations and money on the table.

— Jordan Hendler

2

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Diagnostically speaking, there is no substitute.

Porsche technology.

Porsche Genuine Service & Parts.

Contact one of these authorized dealers.

Porsche Bethesda 11990 Rockville Pike North Bethesda, MD 855-683-3144 Fax 301-945-4341 bethesda.porschedealer.com

Porsche Silver Spring 3141 Automobile Boulevard Silver Spring, MD 844-413-6929 Fax 301-890-3748 silverspring.porschedealer.com

Porsche of Arlington 3154 Jefferson Davis Highway Arlington, VA 703-684-8835 Fax 703-518-0467 arlington.porschedealer.com

Š 2020 Porsche Cars North America Inc. Porsche recommends seat belt usage and observance of traffic laws at all times.

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September 2020

Euroclassics Porsche 11900 Midlothian Turnpike Midlothian, VA 804-794-3399 Fax 804-794-9771 euroclassics.porschedealer.com

September 2020

19

NATIONAL

NEWS CIC Proposes Data Security

“GOLDEN RULES,” Addresses CARFAX Controversy

Electronic commerce has been a major part of everyday American life for years, but it has clearly grown in prevalence in recent times as more consumers rely less on in-person contact to conduct business. While computerization has provided considerable benefits to the auto body industry, collision facilities and automotive consumers are not immune to the security and privacy concerns that exist whenever someone transmits personal information through a keyboard. Specifically, a growing number of industry members are grappling with the mysterious appearance of critical repair information (including consumer data) on CARFAX. During a recent virtual Collision Industry Conference, the CIC Vehicle Data Access, Privacy & Security Committee explored the impact of this trend and offered a possible means of putting the genie back in the bottle.

Early in the discussion, Committee Co-Chair Dan Risley, who serves as vice president of quality repair and market development for CCC Information Services, removed all ambiguity surrounding his company’s position on the matter: “We didn’t share it, and we didn’t agree to share it.”

But who did? Despite considerable efforts by Committee members and other industry entities, a definitive answer to this question has yet to be uncovered. With insurers playing a large role in vehicle estimating and repair processes, it would be reasonable to assure they are a source of the data utilized by CARFAX. However, Risley was quick to dispel this assumption.

“I can assure you that is not the case.”

Risley backed up this statement by noting that test electronic

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September 2020

estimates created by Committee members for customer-pay jobs with no insurer listed somehow still ended up on a report.

Although the Committee has not reached out to CARFAX to address specific claims impacted by data sharing, Society of Collision Repair Specialists (SCRS) Executive Director Aaron Schulenburg noted that the reporting service has already had numerous opportunities to directly respond to industry inquiries.

“CARFAX is a regular participant of CIC; they have been in the room when we’ve had these conversations in the past. Obviously, there are direct concerns from the industry not just about how this data gets to people in general but specifically how it gets to this one company in particular. That company has been in the room and heard the concerns, but they haven’t stepped up to the microphone in a public setting and addressed them. We’ve certainly provided examples as an association, and I think it’s fair to characterize that the level of assistance to address the concerns has not really produced any productive responses that have helped us identify where the information is coming from.”

Risley suggested that while Information Providers and software technology companies work to ensure data security, shops could do more to strengthen their in-house practices to better safeguard the information flowing in and out of their four walls.

“We can give you the tools and resources and educate you on what ones are going to be the best for you […] but that next layer [of protection] has to come from the shops – understanding what things you can do on your end and what you need to do to outreach to all

the people you provide data to. It’s the full gamut; think of all the people you electronically communicate with and the data that goes back and forth.”

As a way for the inter-industry to collectively combat the unauthorized spread of data, the Committee has developed five proposed “Golden Rules” (presented at the meeting by Committee member Trent Tinsley [Entegral] and featured below with minor formatting edits) for best practices and greater accountability among all involved parties:

1. Always use end-users’ data for the service or service(s) they intended for it to be used; never collect or use their data against them or for business purposes other than those expressly intended or permitted.

2. Always provide the end-user clarity, transparency and continuing education on the data you collect and the business purposes for which it is being used.

3. Never misappropriate end-users’ data or knowingly allow any third parties to covertly, dishonestly or unfairly access or take data generated by the end-user for their own use.

4. Give end-users the choice to determine what data is and isn’t shared and the opportunity to opt-out of data collection outside of the primary intended purpose.

The perils of protection.

5. Provide end-users with a clearly published, straightforward process to inquire about data that has been acquired from their business and the immediate chain of custody that data has encountered.

“I don’t think there’s anything within [the ‘Golden Rules’] that is an unreasonable expectation from an end-user,” Schulenburg observed. “I think it is something that many end-users have been asking for for quite some time.”

The proposed “Golden Rules” will be further discussed at the November CIC meeting for possible adoption. H&D

Executive Director’s Thoughts The concerns of CARFAX are great because the buck stops with the shop. If a consumer has an issue, they come back to “us.” The fact that CARFAX is not disclosing their sources is quite troubling, considering they are obtaining information through nefarious means. There’s no way they got this information from willing parties and from authorized sources. I’m proconsumer all day, but the customers having their car repaired are consumers, too. There needs to be a better way, or at least a transparent way, that doesn’t affect repairers adversely. — Jordan Hendler

September 2020

21

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September 2020

23

NATIONAL

NEWS CIC Resumes Parts Definition Debate

After a six-month absence due to COVID-19, the Collision Industry Conference (CIC) recently reconvened via virtual technology to resume inter-industry discussions. The CIC Parts and Materials Committee used this opportunity to continue its investigations into the rampant inconsistencies in part terminology and definitions that regularly complicate estimating and repair processes throughout the country.

As covered extensively in Hammer & Dolly, the Committee spent all of 2019 attempting to find a consensus among industry stakeholders in regard to how certain parts should be named and defined and how these classifications should be communicated among suppliers, estimating platforms, repair facilities and consumers. After a year of what Co-Chair Ken Weiss called “disagreement and discord,” the Committee took a new direction at the virtual meeting by inviting various part and estimating platform representatives to participate on a panel created to expand on the dialogue established at previous meetings.

Not surprisingly, the discussion showcased various differences in how parts are categorized and marketed throughout the industry.

For example, APU Solutions uses “Surplus OEM” to identify brandnew OEM parts sold by the dealer with a warranty. Another APU category, “Recovered OEM,” is used for a new “takeoff” part that has already been on a vehicle (even one with zero mileage).

From there, things get potentially tricky. APU Solutions Director of Sales Eric Marrello explained that when APU quotes “Recovered OEM” parts, it asks each supplier and network to segment out that part type to either “Surplus” or “Recovered.”

“We feel it’s very important that those really aren’t the same parts category.

They need to have a different segmentation.”

Marrello added that when APU Solutions inserts a “Surplus OEM” part into an estimate, “it goes back in as a ‘Surplus’ [part] depending on if it’s Audatex, Mitchell or CCC.” However, if a “Recovered OEM”

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September 2020

part is inserted, it goes in as a “Recycled” part.

“If [the part] has been painted or there’s been some type of bolt taken off and [it’s] not brand new in the box with a sticker, that’s not a ‘Surplus’ part. We tried to make sure we were accurate with that definition, and that’s why you see those two categories broken out.”

Panelist Jerry Gastineau, senior director of content management for Mitchell International, noted that his company currently doesn’t reference a “take-off” part designation, thus illustrating the current lack of uniformity in overall parts classifications in the industry.

“It isn’t clear exactly where that fits. That really accurately represents the need for this good discussion. I think everybody in the industry wants us to come together and align on what to call these parts. I think there is some appetitive in the industry – I don’t want to speak on anybody else’s behalf, but certainly on our behalf – to accept some accountability for adherence to those definitions once we all agree what a part is and what category it should fall into. The next step is then for all of us to align and stick to those agreements on part categorizations.”

Jeff Schroder, CEO of Car-Part.com, stated that his company is integrated with Mitchell Estimating and uses part codes provided by the Collision Industry Electronic Commerce Association (CIECA).

“They are supported by Mitchell, and that integration allows us to ensure that parts go back in using industry standard part codes […] We make sure we look at our part codes and how they go back into Mitchell to ensure there’s a consistent user experience across the board.”

With so many part terms and definitions currently existing in the industry, the potential for inconsistent and contradictory communications in the supplier-estimating platformshop/insurer estimate-consumer chain is increasingly high. Society of Collision Repair Specialists (SCRS) Executive Director Aaron Schulenburg observed that such ambiguity is hindering many shops from definitively knowing whether a part

listed on their estimate actually represents the true nature of that product.

“There are certainly part suppliers that are selling parts outside of the OEM-authorized channels and identifying them as OEM […] Many repairers may say they don’t recognize that as an OEM part being that it is outside of the supply chain and doesn’t come with the same warranty from the OEM. “Specific terms with specific definitions benefit the industry rather than leaving things open to supplier interpretation or decisions,” he added. “We’ve certainly seen examples where you have suppliers labelling something as a ‘Tier One replacement part’ and listing it as an ‘OE Surplus’ or ‘OE discount’ part because they are made by a manufacturer that might also manufacture parts for an OEM despite the fact that [the part] is in a non-automaker box and has a different part number. At the end of the day, that by most people’s definition – when it’s not left open to a broad interpretation – would be considered aftermarket […] The concern becomes when you leave it up to interpretation to make an end result rather than communicate what the industry in general identifies with.”

While the CIC discussion made it clear that the part definition debate will carry on for quite some time, the exact cause of the issue remains unanswered as well. For example, a clear benefit exists for any supplier including “OE” or “OEM” in a part name, as such nomenclature gives an impression of that product’s quality regardless of how it might ultimately function during a repair or in a subsequent collision. But is this

A call for clarity.

a transparent attempt by some parties to add a marketable sheen to controversial items or the result of a legitimate lack of clear and universally applied terminology? Gastineau stressed that his experience in the field dictates the latter.

“Realistically, you can count on one hand in a decade the number of times we’ve had to stop working with a parts supplier because of integrity issues. Academically, it’s possible, but it just isn’t that common.”

H&D

Executive Director’s Thoughts The concern here is transparency. I use that word a lot lately…If a customer cannot know exactly what part they are getting by the term, then it is of utmost importance they be educated. The problem is that shops in DRP relationships are certainly not encouraged to do that – quite the opposite is what I’m told. So, if I’m going to a DRP shop that does good work and they want me to make the choice as the customer, how would I do that? Depending on their systems, the same part can come out with two different identifications. This issue has proven to be quite a flustering endeavor to resolve because various interests are at play. I go back to transparency; if there’s nothing to hide, then why should it matter so much? — Jordan Hendler

September 2020

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NATIONAL

NEWS

Shops Push Audatex for Feather, Prime and Block Response Audatex’s reluctance to provide clarification into its position and methodology in regard to feather, prime and block (FPB) took center stage during an Open Mic session at the virtual Collision Industry Conference (CIC) held earlier this summer.

As reported in the July 2020 issue of Hammer & Dolly, Audatex had stated that FPB was a not-included procedure in welded panel replacement as far back as 2007 (as stated in its Database Reference Manual for that year). However, Repairer Driven News (RDN) reported earlier this year that Audatex’s 2019 Database Reference Manual stated that “[t]ime to perform this operation is included in the Audatex time for welded panel replacement in the seamed areas to bring the panels to the condition of a new, undamaged panel for the purpose of refinish. Although the time is included, Audatex does not provide a material allowance for the feather/prime/block process.�

Additionally, research conducted by the Society of Collision Repair Specialists (SCRS) revealed that Audatex seemingly

reversed its position as far back as 2008, as noted in a response from Audatex that year to a Database Enhancement Gateway (DEG) inquiry regarding FPB labor times for welded panel replacement.

SCRS has been in regular communication with the company to see if this revised position resulted in repairers seeing an increase in existing Audatex welded panel repair times for 2007-2008.

Additionally, SCRS has sought Audatex’s explanation for its change in how it classifies FPB. During the Open Mic session, SCRS Board member Amber Alley (Barsotti’s Body & Fender; San Rafael, CA) detailed some of the ways Audatex’s FPB inconsistencies have directly impacted processes at her shop. “As a user, I think it’s important that the industry understands that Audatex changed its position at some point and stopped defining ‘feather, prime and block’ as a not-included operation in relation to welded replacement panels and then later changed its reference manuals to state that it is included in welded replacement

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An IP in the hot seat.

labor. The [Audatex] Labor Report that we use at the shop and on the insurer level fails to document it as being included […] Although they claim they did labor studies, it’s not there; it doesn’t document it as being part of replacement welded-on panels. That’s a concern and obviously can cause great friction in the shop on a day-to-day operating level.

“Furthermore, Audatex created a mechanism to allow the estimator to segment the feather, prime and block from repair times to allow the shop to add a material charge to the designated time,” Alley added. “In the case of welded-on parts operations, we don’t have that opportunity. Not only is it not in the labor schedule or the labor summary report, but we’re not able to assign materials to it. As a repairer, I find this extremely concerning and believe we all should.”

Fellow SCRS Board member Robert Grieve (Nylund’s Collision Center; Englewood, CO) noted that Audatex’s correspondence to the association late last year indicated that the Information Provider had worked with multiple shops in in-depth time studies on repairs that included feather, prime and block operations.

“It is my understanding that Audatex has not discussed the results of their study, even though in their emails, they write that they are treating this as a ‘high-priority escalation.’ It is my hope that they will reengage in this important conversation.”

Speaking with Hammer & Dolly following the Open Mic session, DEG Administrator Danny Gredinberg further illustrated the issue by sharing a recent example of a Database Inquiry to Audatex in regard to a vehicle roof replacement.

“When [Audatex] came back and said, ‘This is the amount for the sheet metal repair, and the remaining balance is for the R&I operations,’ they still couldn’t provide us details as to how much of it was for feather, prime and block.”

Gredinberg believes greater transparency from Audatex is needed to provide more legitimate direction to end-users.

“If they’re saying something is factored in there, they should show us where. At the same time, they should make the Labor Report something that could be deciphered without having to go through hoops and hurdles. When you’re including an operation such as prime and block that is many times done by a refinishing department, they should show the break-out so the user can identify how they can allocate the labor or materials associated with that when it’s being

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done during a sheet metal or body-type repair.” H&D

Executive Director’s Thoughts It’s exhausting to have such issues as this. As several items in this issue outline, it is again a transparency problem. Most repairers assume there are time studies, information is broken out as requested and they pay this subscription to get true and verified information. There are not the time studies you’d think; worse, there’s a lot of copy and pasting from prior models into new cars, even with significant changes to repair procedures, metallurgy or refinish.

It’s why the DEG is even in existence. When systems are utilized to determine operations and therefore pricing, they need to be more responsible for clarification. This is a step backwards for Audatex.

— Jordan Hendler

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September 2020

29

COVER STORY

WMABA Goes Virtual with Watercooler Chats and Training:

Collision P.R.E.P. Kicks off with Mark olson, VECo Experts Not even COVID-19 can slow WMABA down.

Although regular industry events have taken a back seat in 2020, the association spent the first week of August hosting special online programs that succeeded in fulfilling the industry’s need for interaction and training during uncommon times.

A Chat among Colleagues As a way to engage association members amidst social distancing requirements, WMABA hosted the first of many planned Watercooler Chats on August 5. The virtual Zoom gathering provided attendees an opportunity to interact in a casual setting and catch up on issues affecting repairers in the region.

“We thought this would be a good way for us to get together, talk about what’s going on, learn from each other and find out what the association can do to help,” explained WMABA Executive Director Jordan Hendler during the session. “This is a time to really strengthen our community even though we can’t physically be together.”

Several attendees shared similar experiences in addressing the in-house environmental impact of the pandemic. WMABA Board member Steven Krieps (Greg Cline Automotive; Winfield, WV) explained that while his operation has been diligent in informing customers that it is applying disinfectant to their vehicles, it makes no guarantees beyond keeping vehicles safe to the very best of its abilities. Krieps’ shop currently limits the number of people allowed inside to five, and customers are required to wear masks. Overall, he has found that people have concerns but are not “overly freaked out.”

On a related note, participants shared their views on the increasing use of photo estimating.

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September 2020

Connections amidst COVID-19.

BY JoEl GaUstEn & alana Bonillo

“It’s been working out a little bit better for us. We have always been of the idea of whoever can write it first wins,” shared WMABA Board member Kris Burton (Rosslyn Auto Body; Alexandria, VA).

Hendler reminded attendees that insurers are often required to send someone to inspect the vehicle in person if a disagreement arises between the repair facility and the carrier during the repair process.

According to WMABA Board member and Past President Barry Dorn (Dorn’s Body and Paint; Mechanicsville, VA), photo estimating practices have caused delays on the shop floor.

“If you don’t go along with what the virtual folks want to come up with, they have to send someone out, which is honestly a lot of the case.

You supply them with the documentation – supply them with everything – but unfortunately, they are not allowed to [approve it] and have to send someone out, and it could be [an independent appraiser].”

Expressing frustration with the virtual process, one WMABA member stated, “They send you back some off-the-wall estimate that isn’t even close to the number you gave them.”

At the conclusion of the 90-minute chat, WMABA President Torchy Chandler (Chandler’s Collision Center; Colombia, MD) reflected on the success of this first session and was already gearing up for the next one.

“Everyone was so open and sharing. That is really what we need to do right now.”

Information on future Watercooler Chats will be available at wmaba.com as dates are confirmed.

Dodging Legal Bullets Despite the cancelation of the in-person version of this year’s NORTHEAST® Automotive Services Show in New Jersey, WMABA has made the commitment to provide a virtual version of the 2020 Collision Professional Repairer Education Program (Collision P.R.E.P.) it had originally developed for the show in conjunction with the Alliance of Automotive Service Providers of New Jersey (AASP/NJ). On August 6, this year’s Collision P.R.E.P. schedule kicked off with “Documenting for Repair Process and Liability, and Building a Bulletproof File,” a Zoom presentation by Mark Olson of VECO Experts. The hour-long discussion emphasized the importance of shops building a “bulletproof file” as a means of shielding themselves from possible litigation.

Not surprisingly, the most important element to any “bulletproof file” is documentation that the repairs were properly performed to meet OEM requirements/recommendations. To illustrate this point, Olson noted that

Continued on page 33

Collision P.R.E.P. ViRtUal EVEnts sChEDUlE october 22 – 1pm Est

september 30 – 1pm Est

Utilizing the Vehicle owner’s Manual to Educate Consumers and insurers [Mike anderson, Collision advice; Danny Gredinberg, DEG]

Have you ever thought about reviewing the vehicle owner’s manual before writing an estimate or before processing the vehicle in your repair facility? In this course, Collision Advice shares with you some of the golden nuggets found within the owner’s manuals. Educate the vehicle owner as to why their vehicle may not be drivable or may need seat-belt inspection, OEM repair procedures and more!

Vehicle Diagnostics & Calibrations: Know what You Know…But More importantly, what You Don’t Know [Chuck olsen, sVP-automotive technology & Josh Mcfarlin, VPstrategic Business operations, airPro Diagnostics]

Confucius said, “To know what you know and what you do not know, that is true knowledge.” John Locke said, “No man’s knowledge can go beyond his experience.”

The presenters of this topic will illustrate and reinforce the importance of both statements relative to vehicle diagnostics and calibrations and the proliferation of advanced driver assistance systems (ADAS) in vehicles manufactured today.

The amount of knowledge, information and misinformation (or myth-information) on the subject is staggering. Collision repair owner/operators, management staff and technicians must know and perform what is necessary and required for every manufacturer, every vehicle, every time (or utilize a service provider who does), which

is daunting and often misunderstood. This fact-based session will help to prepare shop owners, managers and technicians for success when encountering new vehicles and ensuring compliance to manufacturer specifications.

november 18 – 1pm Est

tackling online storefront Presence for the Collision Repair Business [Bill Enross, cPrax Marketing]

This fast-moving presentation will talk about how to have an effective website that gets found locally and promotes your skillsets and/or certifications. The discussion will also explore how to get good reviews or respond to negative ones.

www.wmaba.com/CollisionPREP

September 2020

31

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September 2020

COVER STORY Continued from page 31

even something as seemingly minor as a scratch on the rear bumper of a 2017 Nissan Sentra could result in a massive legal issue if a facility attempts to repair it or replace it with an aftermarket product – two practices that go against Nissan’s documented procedures for a correct repair.

In addition to advising attendees not to deal with a lawsuit against them without an attorney’s assistance, Olson urged them to properly document their experiences with consumers by having them sign appropriate forms.

“There’s not one form that’s going to fit your shop completely. Listen to what other people are using and what works, or just Google ‘body shop forms’ […] Get some ideas for what’s going to work for you, and then modify it for your shop – and also include your attorney or other people involved.”

Although a considerable amount of daily collision repair business is done electronically these days in light of COVID-19, Olson cautions that some states still require a “wet signature” – meaning that a pen has actually touched the paper – as opposed to esignatures to legally solidify a shop/consumer agreement.

Olson also stressed that consumers need to be made aware of – and authorize – the use of their personal data during a repair. He noted that this consideration has grown in relevance in recent years as more shops utilize the service of outside scanning providers.

“You are actually putting a device into a customer’s car that is going to transmit their data to a third party. Now, what is the third party doing with that information? Do you have the customer’s authorization to actually do that? [That’s] very, very important.”

Receiving a consumer’s blessing to perform repairs is only one step in building a “bulletproof file,” as even the most common shop practices could come under scrutiny in a court of law. For example, Olson stated that there have been instances where neither the consumer’s insurance policy nor the shop’s insurance carrier covered a vehicle test drive.

He suggested that shop owners consult with their insurance agents to verify their coverage and exclusions before taking a vehicle for a spin.

The complete schedule of remaining Collision P.R.E.P. virtual presentations appears on page 31. H&D

Support a Safe Environment during the COVID-19 Pandemic & Post PPandemic andemic Safeguard from allergens, disease and more!

Celette was asked by some OEM’s weeeks back if we could provide a system for vehicle Cabin Sterilization to make the customers feel more comfortable accepting their vehicles back after repair repair.

We have the solution! omer drops off their vehicle. The The TriOxyclean is used when a customer Trioxyclean safeguards employees, ass well as customers from allergens, disease and more. After repairs pairs and detail are completed, a fresh smelling sterilized car can be delivered elivered back to your customer customer. centrated Ozone O3 cycle to The TriOxyclean will run a 5 min concentrated eliminate bacteria, viruses,mites as well as orders in the interior and the HV VAC AC System.

The second 5-minute cycle starts “The he Anion Cycle” negative ions ng them become heavy and fall to Neutralize the airborne particles making nto our lungs. the ground instead of being inhaled into

Ozone kills bacteria by destroying the cell wall of the bacteria. Once the cell wall is destroyed, the bacteria will be unable to survive.

Visit chesautoequip.com/tr m/trioxyclean for Full Trioxyclean Details!

cheesauttoequip oequipp.com com • 800.604.9653

September 2020

33

Wheel Collision Center Excellence in Wheel Sales and Repair

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1.800.292.RIMS (7467)

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Mitsubishi Group ............................28 Mopar Group ..................................25 Network 1 Solutions ........................16 Nissan Group ..................................10 Nucar ..............................................19 Packer Norris Parts ........................IBC Porsche Group ................................18 PPG ................................................OBC Sherwin Williams ............................11 Spanesi............................................9 Subaru Group..................................32 Toyota Group ..................................27 USI of North America ......................12

12420 Auto Drive, Clarksville, MD 21029 Phone: 410-988-9272 Fax: 443-539-4022 darnold@antwerpenauto.com

34

September 2020

VW Group........................................23 Wheel Collision Center....................34

8800 Citation Rd, Baltimore, MD 21221

THE RIGHT CHOICE FOR COLLISION REPAIR SHOPS ONE OF THE NATION’S LARGEST OEM FORD PARTS DISTRIBUTORS!

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OVER $6.5 MILLION IN FORD & MOTORCRAFT PARTS INVENTORY Wholesale Parts Fax Lines: Ford Parts: 410-574-8389 Acura Parts: 410-461-7916 Honda Parts: 443-549-1274 “...the best in the business! Your professional staff, large inventory, and quick deliveries make my job a lot easier...A first class organization!”

Jim - Collision Repair Shop

To reach ALL parts departments by phone:

410-574-8305 or 1-855-PNP-PART www.packernorrisparts.com

With 58+ daily departures - we provide FREE deliveries to businesses located in parts of Maryland, Delaware, Pennsylvania, New Jersey, Northern Virginia, and Washington DC. Contact us to see if we can deliver to you!

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