New England Automotive Report May 2025

Page 1


COLONIAL NISSAN

104 Mystic Avenue

Medford, MA. 02155

Phone Number: 781-395-3025

FAX Number: 781-475-5063

CITY SIDE SUBARU

790 Pleasant Street

Belmont, MA 02478

Phone Number: 617-826-5013

FAX Number: 617-489-0733

NORTH END SUBARU

757 Chase Road (Rte 13) Lunenburg, MA 01462

Phone Number: 877-289-0053

FAX Number: 978-582-9843

COLONIAL CHRYSLER JEEP DODGE-RAM

24 Coolidge Street (Rte. 62) Hudson, MA 01749

Phone Number: 978-568-8000

FAX Number: 978-562-1213

COLONIAL HONDA OF DARTMOUTH

225 State Road (Rte. 6)

Dartmouth, MA. 02747

Parts Direct: 508-997-2919

FAX Number: 508-730-6578

COLONIAL FORD OF PLYMOUTH 11 Pilgrim Hill Road Plymouth, MA 02360

Phone Number: 800-233-8109

FAX Number: 508-830-1658

COLONIAL FORD OF MARLBOROUGH 428 Maple Street

Marlborough, MA. 01752

Phone Number: 888-460-1125

FAX Number: 508-460-3464

COLONIAL SOUTH CHRYSLER JEEP DODGE-RAM 42 State Road (Rte 6) Dartmouth, MA 02747

Phone Number:

508-984-1900

FAX Number: 508-996-5801

COLONIAL CADILLAC

201 Cambridge Road Woburn, MA. 01801

Phone Number: 781-935-7009

FAX Number: 781-933-7728

COLONIAL VOLKSWAGEN

89 Turnpike Road (Rte. 9) Westborough, MA 01581

Phone Number: 888-322-6570

FAX Number: 508-616-0445

COLONIAL VOLKSWAGEN OF MEDFORD 162 Mystic Avenue Medford, MA. 02155

Phone Number: 781-475-5200

FAX Number: 781-391-3506

WELLESLEY VOLKSWAGEN 231 Linden Street Wellesley, MA. 02482

Phone Number: 800-228-8344

FAX Number: 781-237-6024

Contact: Dan Bettencourt / Wholesale Parts Manager

NORTH END MAZDA

757 Chase Road

Lunenburg, MA. 01462

Phone Number: 800-322-1241

FAX Number: 978-582-9841

COLONIAL SOUTH CHEVROLET 361 State Road (Rte. 6) Dartmouth, MA 02747

Phone Number: 508-996-6266

FAX Number: 508-979-1219

COLONIAL CHEVROLET 171 Great Road Acton, MA 01720

Phone Number: 800-787-2787

FAX Number: 978-263-8587

COLONIAL WEST CHEVROLET 314 John Fitch Highway Fitchburg, MA. 01420

Phone Number: 978-345-5532 FAX Number: 978-345-1152

Here’s to 241 years of combined service excellence

This year, as Albert Kemperle Inc. celebrates its 83rd anniversary, BASF also celebrates its 158th anniversary. We are proud of our decades of partnership with BASF and years of serving the auto paint and body industry together. Kemperle’s founders would be proud of this relationship and the growth their company has experienced because of it.

Today, as we look forward to many more decades of service to our customers, we find ourselves filled with gratitude. The creativity, hard work, and sense of responsibility of the people working for our two companies have made us what we are today.

Thank you for your many years of loyalty.

626 E. Elizabeth Ave., Linden, NJ 07036 Phone: (908) 925-6133 Fax: (908) 925-4344 414-416 Madison Ave., Paterson, NJ 07524 Phone: (973) 279-8300 Fax: (973) 279-9030 631 Clifton Ave., Toms River, NJ 08753 Phone: (732) 797-3942 Fax: (732) 797-0774 100 Melrich Road, Cranbury, NJ 08512 Phone: (609) 860-2800 Fax: (609) 860-2801 4 Emery Ave., Randolph, NJ 07869 Phone: (862) 244-4818 Fax: (862) 244-4822 www.kemperle.com

BMW of West Springfield 1712 Riverdale St.

West Springfield, MA 01089

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FAX: 413-304-9009

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1 Weston Park Ave.

Hartford, CT 06120

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BMW of Stratham 71 Portsmouth Avenue

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BMW of Warwick 1515 Bald Hill Rd.

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2025 • Volume 23, No. 5

DEPARTMENTS

VICE PRESIDENT’S MESSAGE

6 | If You’re Not Part of the Solution, You’re Part of the Problem by Douglas Begin

EXECUTIVE DIRECTOR’S MESSAGE

8 | Time to Answer the Call to Action by Evangelos “Lucky” Papageorg

LOCAL NEWS

12 | Unprecedented Harmony at the ADALB Roundtables by Chasidy Rae Sisk

WHERE ARE THEY NOW?

16 | Ernie Nickole Reflects on 50 Years Behind the Wheel of his Shop and Studebakers by Alana Quartuccio

30 | Looking Up - Bare Minimum Coverages Increase by Alana Quartuccio

LEGAL

24 | Former MABA President Chris Colo Remembered as a Strong Consumer Advocate by Alana Quartuccio

NEWS

26 | When Will the MSO Bubble Burst? by Chasidy Rae Sisk

|

|

34 | Why Are We Still Arguing about Blend Time? by Victor Fanikos and Coverall Law

If You’re Not Part of the Solution, You’re Part of the Problem

The collision repair industry in Massachusetts is an essential, yet often overlooked, cornerstone of the state’s economy and transportation infrastructure. Every year, thousands of Massachusetts residents rely on skilled professionals to restore their vehicles after accidents, ensuring safety, mobility and peace of mind. Yet, as the industry evolves, it faces new challenges: changing technologies, evolving regulations and the constant push for fair labor standards. For those in the field, standing on the sidelines is no longer an option. As the saying goes, “If you’re not part of the solution, you’re part of the problem.” It’s time for everyone in the industry to step up, unite and advocate for change.

The Role of AASP/MA in Driving Progress

AASP/MA is at the heart of these efforts. This statewide collision repair association serves as a collective voice for shop owners, technicians and other industry stakeholders. Through advocacy, education and collaboration, AASP/MA works to ensure that the collision repair industry remains strong and vibrant in Massachusetts.

Membership in AASP/MA is not just a badge of professional pride, it’s a vital step toward shaping the future of the industry. By joining, professionals gain access to resources, training and a network of like-minded peers. The organization offers educational seminars and membership meetings that help members stay ahead of the curve in an era of rapid technological advancements. From mastering the complexities of electric vehicle repairs to understanding the intricacies of modern safety systems, members are equipped to tackle the challenges of tomorrow.

Moreover, AASP/MA serves as a powerful advocate on behalf

STAFF

PUBLISHER

Thomas Greco | thomas@grecopublishing.com

VICE PRESIDENT/SALES DIRECTOR

Alicia Figurelli | alicia@grecopublishing.com

EDITORIAL DIRECTOR

Alana Quartuccio | alana@grecopublishing.com

OFFICE MANAGER

Donna Greco | donna@grecopublishing.com

PRODUCTION COORDINATOR

Joe Greco | joe@grecopublishing.com

SENIOR CONTRIBUTING EDITOR

Chasidy Rae Sisk | chasidy@grecopublishing.com

PUBLISHED BY: Thomas Greco Publishing, Inc.

244 Chestnut Street, Suite 202, Nutley, NJ 07110

Corporate: (973) 667-6922 / FAX: (973) 235-1963 www.grecopublishing.com

@grecopublishing

Evangelos “Lucky” Papageorg

of the industry. The organization works tirelessly to address issues such as insurance reimbursement rates, regulatory compliance and workforce development. These are not abstract concerns; they are real, tangible challenges that impact the profitability and sustainability of collision repair shops across the state. By banding together under AASP/MA’s umbrella, industry professionals can ensure that their voices are heard and their needs are met.

Why Advocacy Matters

Being part of the solution extends beyond membership in AASP/MA. Advocacy plays a critical role in advancing the industry, and every professional has a part to play. Massachusetts legislators – senators and representatives alike – hold significant sway over the policies and regulations that shape the collision repair sector. Decisions on issues, such as labor laws, safety standards and environmental regulations, can have far-reaching consequences for businesses and consumers alike. This is why it’s essential for industry professionals to make their voices heard. Writing letters, attending town hall meetings and engaging directly with lawmakers are powerful ways to influence policy and ensure that the needs of the industry are taken into account. It’s about building relationships with elected officials and educating them on the realities faced by collision repair professionals.

Consider the impact of collective advocacy. When hundreds –or even thousands – of individuals from the collision repair industry band together to address an issue, they become an undeniable force. Whether it’s pushing for fair insurance reimbursement practices or continued on pg. 42

Membership Application 2025-2026

P.O. BOX 850210

Braintree, MA 02185

Phone: 617-574-0741

Email: admin@aaspma.org

Please complete this form and return to our office via mail or email with your dues payment. Thank You!

BUSINESS INFORMATION

Massachusetts Shop Registration # __________________

Company’s Official Name:

Business Physical Address:

Business Mailing Address (If Different):

Total number of Staff (Techs, office, Mgrs)________

Telephone Number: ( )- -___________ Fax: ( )- -

DUES STRUCTURE. Collision Shop Annual Dues: $650 / 12 Months*

PRIMARY BUSINESS CONTACT

Name: _________________________________________________

Email: _____________________________________________

As a member in good standing, your shop WILL BE listed on our website Click here � if you do not want your shop listed on our website map for potential customers to find you. If you have any questions about this benefit, call (617) 574-0741, ext. 1.

Yes � Please send me information regarding the following MONEY SAVING BENEFITS: � Healthcare plan � Dental, Vision plan � PFML savings program � Credit card processing � Grant writing/training � Google presence optimization � All benefits

PLEASE ENCLOSE PAYMENT WITH YOUR MEMBERSHIP APPLICATION

Check# : ____________ (IF collision shop please note your RS# on the memo line of the check) OR

CC #: ______________ EXP: ________/___________ CID: _________________

Billing Address: ____________________________________________________________________________________________________________

Name On Card: _____________________________________________ Signature: _____

Check here � to opt out of auto renewal using this credit card information for future renewal

Note: A 4 percent convenience fee will be charged for membership renewal via credit card transaction I hereby make this application for membership with the Alliance of Automotive Service Providers of MA (AASP/ MA) for membership dues 2025-2026 as provided for in this contract. *Membership Dues are for a twelve-month period commencing on your anniversary month of membership

REV 12/24 REFERRED BY _________________________ COMPANY_______________________________

SCAN TO JOIN!

Time to Answer the Call to Action

To paraphrase the immortal words of JFK: Ask not what your association can do for you. Ask what you can do for your association, your customers and the industry that provides your livelihood.

This industry also supports your valuable employees and their families. NOW is the time to focus. The effort you put in NOW will determine whether you merely survive or truly thrive. You must thrive in order to continue to provide a vital service to vehicle owners in your community. Will you allow your business to be crushed under the heel of the insurance industry…or will you take a stand and push for the long-overdue changes our industry needs?

In reviewing An Industry in Crisis: A Comparative Analysis of Collision Repair Labor Rates by renowned industry analyst John Niechwiadowicz, I came across a powerful quote titled Profitability: Society’s Mandate:

“The principal role of business is to improve the human condition through the creation of wealth. If we cannot make a profit, we are committing a sort of crime against society. We take society’s capital, people and materials, yet without a good profit, we waste precious resources. If many businesses do not operate profitably, society

will eventually grow poor. Customers are willing to pay a company a profit as long as the overall price, quality and service offer good value. The bigger the value, the more customers are willing to pay, and thus, the higher the profit. As such, the profitability of a product or service is one measure of how well it serves society.”

Collision repair is an essential industry that supports the well-being of our communities. On a larger scale, the collision repair industry and its related fields are vital to Massachusetts and the entire country. We employ tens of thousands of hardworking, talented individuals. Our industry is evolving at a breakneck pace with technological advances in vehicle functionality that are mind-boggling. What’s even more astonishing is that we have allowed ourselves to be controlled by an industry giant that stifles our profitability. Meanwhile, insurers boast massive profits and pay their CEOs exorbitant salaries – earned on the backs of policyholders and hardworking service providers like us.

Insurance company profits are the issue. No one begrudges a company for making money. What is objectionable is the unethical and abusive manner in which insurers have, for decades, taken advantage of policyholders and third-party service providers. This issue extends beyond collision repair to the medical profession and disaster recovery services. Policyholders are misled into believing their insurance policies will make them whole again, only to find themselves short-changed when the time comes to file a claim.

A small fraction of every auto insurance policy covers the labor portion of repairs. Just look at the bottom of any estimate – subtract the costs of parts, materials, sublet items and taxes, and you’ll see what’s left for labor. From that, shops must cover wages for non-producing staff and overhead expenses. Is it any wonder fewer people are entering this industry? Where is the ROI? Where is the ability to THRIVE by making a reasonable and fair profit?

We can either sit back and lament our situation or take action. The time to act is coming – and on two fronts.

First and foremost, we must push for the pending legislation to move the Auto Damage Appraisers Licensing Board (ADALB) from the Division of Insurance (DOI) to the Division of Occupational Licensing (DOL). This change could be a game-changer. Why do you think insurers are fighting so hard to keep the ADALB under DOI’s control – or worse, to abolish it altogether? If the industry loses this oversight, every negotiation will become even more one-sided, leaving consumers and their chosen repair shops at an even greater disadvantage.

Second, we must support the newly formed Auto Body Labor Rate Advisory Board (ABLRAB). This Board, established after a hard-fought battle, will soon begin its deliberations. Its first exploratory meeting will likely have occurred by the time you read this. Formal hearings are tentatively set for early June,

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Balise Toyota 1399 Riverdale St. West Springfield, MA 01089

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Unprecedented Harmony at the ADALB Roundtable

As the Auto Damage Appraiser Licensing Board (ADALB) met for the first time in the Division of Insurance’s (DOI) new location at One Federal Street on the 7th floor on March 25, Board members and other participants gathered in a roundtable format that offered a connotation of equality and comradery – and this particular meeting offered more of that than any ADALB meeting in recent memory, possibly due to the lack of contentious items that were actually discussed.

Board member Peter Smith (MAPFRE) proposed changes to the current procedures for filing applications for a motor vehicle damage appraiser license. Namely, he suggested omitting the requirement to obtain three individuals’ signatures to attest to the applicant’s trustworthiness and competence as well as to require all applications be submitted online. A motion to remove the signature requirement received a unanimous vote, as did the motion to move to an online application process.

Review of the submitted curriculum for an auto damage appraisal class to be conducted at the night school program of the Montachusett Regional Vocational Technical High School in

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Fitchburg yielded another unanimous decision, although Board member Carl Garcia (Carl’s Collision Center; Fall River) observed that the syllabus focuses on laws and regulations for nine weeks and only spends the final week on writing appraisals. He suggested the ADALB consider facilitating a workshop for the instructors of these programs at some point. Smith pointed out that the class is merely the appraisal course and does not account for the work experience which is still required for attendees.

The Board’s review of the proposed advisory ruling regarding time frames specified in 212 CMR 2.00 as it relates to completed appraisal and supplements also received a unanimous vote of approval. In response to AASP/MA Executive Director Lucky Papageorg’s suggestion to include verbiage related to the requirement for a written acknowledgement when an extension is granted, Board member Bill Johnson (Pleasant Street Auto; South Hadley/Belchertown) suggested that AASP/MA draft an advisory ruling related to the concerns raised to be reviewed by the ADALB at a future meeting.

A brief discussion of the Auto Body Labor Rate Advisory Board (ABLRAB) created under Governor Healey’s “Mass Leads Act” Section 292 of Chapter 238 of the acts of 2024 followed with Attorney Michael Powers indicating that 13 members had been appointed with one seat remaining. He also explained that the ABLRAB plans to hold a public meeting during the first week of June to gather testimony from the public on both sides. Additionally, they will be distributing a questionnaire to be sent to insurers and body shops which will ask “various information about their costs and what their labor rates are that they charge on both sides of the business.” The ABLRAB is tasked with analyzing that data and filing a report with recommendations by December.

The final item on the ADALB’s agenda was the review of proposed amendments to 212 CMR 2.00 et. seq., but since Smith was still reconciling updates based on the last discussion, he asked to carry the topic over to the next meeting.

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The ADALB is scheduled to reconvene on May 13 at 10am. Information pertaining to the ADALB’s meeting schedule and planned agenda is typically posted by the Friday prior to the meeting at bit.ly/ADALBagendas

AASP/MA members are strongly encouraged to listen to the recording of the March 25 meeting in the Members Only section of aaspma.org for a glimpse into the inner workings of the ADALB. View the meeting agenda at bit.ly/ADALB032525. More detailed coverage of this meeting appears in the April issue of Damage Report, AASP/MA’s members-only newsletter.

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Ernie Nickole Reflects on 50 Years Behind the Wheel of His Shop and Studebakers

So many dedicated and passionate repairers in the Massachusetts auto body community have devoted their years to making a living while also trying to make a difference in this industry. New England Automotive Report continues to catch up with the many faces who have played a role in helping to make the auto body community what it is today. This month, we caught up with Ernie Nickole, former owner of Nickole’s Auto Body in Saugus, whose passion and dedication continue on just as strong as his love for Studebakers.

New England Automotive Report: What was your introduction to auto body?

Ernie Nickole: I opened my shop in 1970, but as for my actual introduction to the business – there’s a picture of me sanding a brand new Studebaker Avanti at five years old. My father had a Studebaker dealership which wasn’t too far from our home, so I was down there all the time, hanging out with him.

NEAR: At what point did you know that you wanted to go into the auto body business yourself?

EN: I studied business at Bentley College and earned my degree. When I graduated, the job market wasn’t that great, and I didn’t

care for the opportunities that were offered, so I decided to revisit it in the future. I had a customer base working on cars and was making decent money, so I just kept on doing that work and never went back to pursue what I went to college for. I guess studying business did give me an edge [in being a shop owner], and I have no regrets about going to college. I always liked cars, and with my father and my cousins having also worked on them, I became attached to it.

When I was about 14, I worked after school at a Pontiac dealership doing a lot of the pain-in-the-neck things that the bodymen didn’t want to do, like putting the wood grain and stripes on. But I was learning. The man I worked for was a nice guy. He always tried to keep everyone happy. I always tried to go after his management style. I was 16 or 17 when the dealership had a fire, and I wound up bringing all the bodymen to work at my small shop in my barn to keep them busy until they rebuilt the dealership. I can’t believe my parents let me open up a shop at that young age, but they did. It was a parttime thing, but it got me through college.

NEAR: Tell us about your shop. How long did you own it?

EN: I owned my shop for 52 years. Initially, I started work in what was a horse barn. Once I was out of college, the town knocked on my door to tell me I needed a spray booth and other things, so I made the changes right away. Over a 52-year period, I did eight additions. The building kept getting bigger and more modernized. It went from a horse’s barn to a 10,000-squarefoot, state-of-the-art facility. That’s what you have to do. One of the things they preached [in college] is that you have to keep on moving. You can’t just be happy with where you are; otherwise, you’ll go backwards. Always look to get more business and get bigger. You can’t just be satisfied. I had a good run.

NEAR: How did you first get involved with the auto body association (called the Massachusetts Auto Body Association aka MABA at the time)? What role did you serve?

EN: I was fed up and really upset with the direction the industry was going in. I was pretty vocal about it. I got a call from Vinnie DeSessori at Atlas Auto Body who had heard I was pretty wound up. He was too, and he suggested we meet. We talked, and it was good to learn that I wasn’t the only one. The good thing about participating in an association is understanding that you are not the only guy getting beat up. Others joined us, including Rick Starbard of Rick’s Auto Collision and Manny Gulino of Gulino’s Auto Body. Then there were four of us and that grew to eight. Within about a two-month period, we had 150 people and met at a dealership as our previous meeting spot was now too small. And then Vinnie said, “I think Ernie should be the next president of the north shore area of MABA.” And the group seconded. I wound up putting in 20-plus hours a week for the association.

One of the things I pushed hard for is education. I remember my speech, and

These days, Ernie Nickole keeps busy working on restoration projects in his home garage

I said, everyone needs to get better at the trade to not only perform better repairs but also to write better. I had said, ‘Right now, the insurance industry is a bit like Hitler. His first order was to burn books; the second order was to confiscate guns. Keep them stupid and keep them powerless. That is what the insurance industry does, so we have to learn from each other.’ We would all talk about ways to handle the issues that the body shops shared. I wound up serving for about a half dozen years and later went on to serve on the state Board of Directors for MABA.

NEAR: What are some of the highlights or most memorable moments from those MABA days?

EN: I was pretty instrumental in getting the Mitchell Refinishing Guide enforced via the CMR. We had tried, tried and tried. I remember it coming before the ADALB. There were like 300 people in the room. I had a list of questions for chief legal counsel Victor Fanikos. By the time I was done with my questioning, it passed. Turns out, Fanikos agreed with me. I don’t recall what section of the 212 CMR was involved. He said it was always in there; it just had not been enforced. That cost the insurance industry millions. Let me rephrase that. It stopped us from losing millions. It’s not that it cost the insurance industry millions… they owed it anyway. It just wasn’t on our dime, that the body shops were losing it. I mean they are still fighting the fight – it’s just a matter of the shops saying the law is in there and pushing for it.

NEAR: What made you decide to retire and why?

EN: It was somewhat recently, about a year and a half ago. After two of my main guys who did good work left to open their own shop, I spent a few years trying to get some qualified technicians in, but I just couldn’t attract good help. I don’t get it. I paid well, offered Blue Cross/Blue Shield PPO and had a fully-equipped shop. I’m not a yeller or a screamer, but I just couldn’t find anyone I’d feel comfortable enough with to let them loose on a customer’s car. I realized 52 years

industry was just getting tougher. I just had enough.

I interviewed about 35 body shops who all came forward wanting to get into the shop. I could’ve made some decent money with it, but I picked up on one kid who made me feel as though I was looking in the mirror 30 years ago. He’s very conscientious. I noticed he used German paint in his shop, and he was the only one doing that, so that told me he does quality work for his customers. When we spoke, I picked up on a lot of similarities between us. One big advantage he has over me is he’s Brazilian and had a lot of Brazilian people who wanted to work for him. So he walked in with a crew of 12 people. With a crew that size, he could do about two-and-a-half times what I could last year. They are all happy and get along well. They have a family environment, cooking breakfast together and praying on Mondays for a good week. Unfortunately, I didn’t have that in my shop. I’m happy I got him in there. He pays his rent on time. He treats me like I’m his father. It’s a good feeling.

NEAR: Being in this industry for 50-plus years, what would you say are the biggest changes you’ve seen over the years?

EN: The biggest change had to be the direction of pay form. Back in the 1980s, you’d negotiate out a claim, and the check went directly to the body shop, not the vehicle owner. You could negotiate your

getting $32 an hour, and here we are 40 something years later, and it isn’t that much different. The appraisers and insurance companies actually treated you with more respect back then. Many of the appraisers came up from the trades and knew what it took to do the repair. Now, you get a pile of appraisers from the insurance industry. They put a spaghetti strainer on their head and send them off even though they’ve never worked on a car.

I had one instance where an appraiser came out, put his fist up to the center of where the dent was. When I questioned what he was doing he said, ‘If the dent is the size of my fist, it’s a two-hour repair.’ And I said, ‘You have got to be kidding me. This car ran into a bent over steel fence post and popped a hole right through the fender. It needs a fender!’ The knowledge just wasn’t there on the insurance side a lot of the time. If an insurance appraiser knew what it took to actually do a repair, I think they’d feel funny about giving someone two hours on a 10-hour dent.

NEAR: What do you miss the most/the least?

EN: I miss my customers and having a steady flow of money coming in. I do have the rent, which is good. I don’t miss the tension dealing with the insurance industry, and I don’t miss having a hard time finding good help.

A view of Nickole’s home garage

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Lia Honda of Northampton

293 King Street

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Toll Free: 800-369-7889

Direct: 1-413-587-2900

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Honda of Enfield

20 Palomba Drive

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Honda North 382 Newbury Street

Danvers, MA 01923

Toll Free: 800-882-9797

FAX: 978-774-9483

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Schaller Honda

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Direct: 860-826-2080

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Lundgren Honda of Auburn

525 Washington Street

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NEAR: What’s retirement life like? Any hobbies you’d like to share?

EN: I had anticipated my two main guys leaving; I knew they didn’t want to take on my shop as they wanted to open one in New Hampshire, so I decided to put up a garage at my house. I already had a five-car garage that was built into the house, so I put up an open span eight-car garage. I’ve got a lift in there and an air compressor, and I just work on my toys all day. It’s so much fun. I’m building a car right now that’s my ‘Mona Lisa.’ I always get a lot of fabrication work, hot rod restorations, speciality cars. The one I’m working on is a 1953 Studebaker, and I’m hoping to get into the Ridler show out in Detroit, and then possibly take it to SEMA and a few other shows when it’s done. I work on that quite a bit, and it’s a huge undertaking.

I have some other vehicles I’m playing games with to just get everything perfect on them. I’m getting ready to paint my girlfriend’s motorcycle as she wanted me to ‘Gucci it out,’ so it’s got the red and green stripes going on the white base. I made emblems for it and cut them out of quarterinch steel so the double Gs face each other. She’s always been into cars and motorcycles, so I said let me do this for her. I’m masking it now for the last color, and I’m getting some pinstriping done to it, some graphics and hope to get it to her before the spring comes. It’s definitely going to be different. I don’t think I’ve seen many Harleys with Gucci emblems on them. Skulls maybe, but not Gucci.

NEAR: Looking back, what comes to mind when you think about the auto body industry?

EN: I think the guys have a tough run. I feel bad for them. I spent 25 years going to the State House half a dozen times a year with Rick Starbard and Lucky Papageorg. I think the last time I went was for the labor rate increase. We were looking to accept the national average. I don’t think you could ask for anything fairer. They stomped on us. I told every Senator we had the highest labor cost in the country with the lowest labor rate. They wouldn’t believe it. They said it was horrible, and they’d get it squared away. I shut the shop for a week, visited all the senators. It passed in the Senate. Next, it had to go to the House. While waiting for a meeting at the State House, we happened to see three insurance representatives walk into an office, and 15 minutes later, the bill was dead. After two-and-a half years of work. It’s filthy the way it works. The insurance companies control the industry, and we can’t fight that. I feel bad for the people in the industry trying to make a living because it’s unfairly being held back. One of the things they do have going for them is that there are so few people who can do quality repairs. They need to just say, ‘No this is the price’ and tell the customer too. I think a lot of people undervalue their abilities. Someone told me a good quality structural technician has the equivalent of a master’s degree. They have to realize their value and what they are entitled to. Toward the end of my business, I was doing a lot of specialty cars. Customers would ask about the cost, and I told them $85 an

hour. I hear now that it was probably cheap, but the consumer understands that $85 is reasonable, and the insurance companies do too, but we let them get away with murder. The association needs to try to get these guys to have more pride in their abilities.

NEAR: What did you get out of working in this industry that you would not have had you chosen a different career path?

EN: I liked the customers. I felt pride, and I don’t know if I would have that if I went to work for someone else. I feel pretty good about what I accomplished in life. I think no matter what I did, I’d have pushed myself to be the best at it. I guess I got a good sense of negotiation out of it. I know my girlfriend doesn’t like to argue with anyone for anything. All I’m saying is that it’s not about being cheap, but if you think you’re overpaying for something, you can get it somewhere else. Over the years, I learned that you have to be able to negotiate, so you don’t get hurt. Another thing is becoming friends with people in this industry. It went from being as though everyone in town was a competitor. We turned that around, and we’re all friends now. If someone runs out of a part, they can go to someone, get it and replace it the next day.

NEAR: Lastly, anything you want to say to your old colleagues?

EN: If you retire, your blood pressure will drop quite a bit (laughs). It isn’t bad. Just make sure you have something to do, some hobbies. I found myself being a happier person in some ways. It’s nice not having to get up and have to go do something. I have other things that I get up to do now. I go to the gym every morning. I just lost my mother last month, but I visited her every day for years. I worked on the motorcycle today, and I’ll work on the Studebaker on Friday. There’s something to be said about that freedom. There’s nothing wrong with being in the body shop. It’s great. I miss the money, and I miss the customers, but being able to have the freedom to not go there to get beat up by the insurance companies. The customers never gave me a hard time.

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Former MABA President Chris Colo

Remembered as a Strong Consumer Advocate

Christopher T. Colo, of Orange, will surely go down in Massachusetts auto body association history as being a fighter and an advocate for doing the right thing.

The Massachusetts auto body industry is mourning the loss of Chris, who passed away March 1 at the age of 64 after a period of declining health due to Alzheimer’s dementia. Colo formerly owned Advanced Auto (Athol) and served as president of the Massachusetts Auto Body Association (MABA).

During high school and college, Chris towed vehicles for Stan’s Autobody. He had a strong engineering background born out of his studies at University of Lowell. His first business was MC Electronics. He spent many years servicing and installing tanning beds and repairing gym equipment throughout the greater New England area –including installing a tanning bed for Tim McGraw and Faith Hill.

Chris’ father, H. Thomas Colo, was also a noted advocate, having served in the state House of Representatives. In 1991, they partnered to open and operate Advanced Auto where Chris performed mechanical and collision repairs.

His colleagues throughout the

Commonwealth remember Chris for his fighting spirit, especially on behalf of consumers.

“He was an honest, upstanding guy,” shares Gary Cloutier (Cloots Auto Body; Westfield). “He’d give you the shirt off his back.” Cloutier became friends with Chris during their time with MABA.

“He was definitely pro-consumer and pro-shop. Chris was on the right side of what we are always going after – making sure the consumer is compensated. Everything that we are still fighting for is what Chris was about. It’s a shame to see him struck down at such an early age.”

AASP/MA Executive Director Lucky Papageorg recalls his time with Chris during the MABA days. “He was a leader,” he recounts of Chris’ time as president which was during the tail end of Papageorg’s time as MABA executive director. He noted his electrical background: “Back then, having someone of that caliber involved in collision repair – which wasn’t nearly as technical as it is now – was an oddity.

“Chris was a very strong advocate for the consumer, and he was a chip off the old block as his father was also a huge consumer advocate. He’d raise questions just as Chris did. Chris didn’t take what the insurance companies tried to pawn off as a rule. If he felt he was in the right, he was adamant about pursuing it.”

Like his father who fought for many things, including getting then-ADALB [Auto Damage Appraiser Licensing Board] Attorney Victor Fanikos to write the sublet letter on towing, “that was the fabric Chris was cut from.”

Rick Starbard (Rick’s Auto Collision, Inc.; Revere) has known Chris since the 1990s when they were both on the MABA Board of Directors.

Starbard recalls Chris standing up for the right thing, whether it be battling it out at the ADALB or travelling the state

with his father trying to help educate other shops.

“Both Chris and his dad were great guys,” he recalls. “They put so much time into trying to better the industry that they made sacrifices in their own business. They were the good guys. They were in it for the customers and the shops. They tried to make the industry better for all of us.”

Starbard also noted Chris’ even-keel nature. Even in situations where things would be intense, Chris always had a “calm way about getting his message across.”

Dana Snowdale (D&S Autoworks; Abington) admired Chris’ dedication, hard work and leadership. Snowdale served as treasurer when Chris was president of MABA at the turn of the millennium.

“Wherever he was needed, he was there. He’d travel all the way from Springfield to meetings on the north shore or south shore. He thought outside the box, and we accomplished a lot under his leadership. Chris was easygoing and always openminded. He was always there to help; he would always answer the phone when you called.”

Chris is survived by his son Matthew Colo and his wife Xiaoyan of Painted Post, NY; his daughter Ashley Brouillard and her husband Jon of Ashburnham; his two stepchildren, Rachel and Stephen Gagnon; four grandchildren, nieces, nephews and friends including his “almost brother” Peter Carter, his steady and compassionate caregiver who allowed him to remain at home until his passing.

Donations in Chris’ memory may be made to Alzheimer’s Association, 225 N Michigan Ave., Fl 17, Chicago, IL 60601 or online at alz.org. (When donating, one can specify if they would like the donation to be used locally in Massachusetts.)

Running a collision repair shop is a tough gig – between contending with customers’ expectations, insurers’ demands and rising costs of, well, everything, many owners report struggles to turn a profit. Yet, for over a decade, consolidation has been ballooning forth in markets from coast to coast!

How did the MSO boom begin, and are there any indications of implosion?

Repairers first noticed an increase in consolidation in the late 1990s and early 2000s when Caliber, Gerber and Service King entered the market in California and Texas, purchasing independent shops and converting them to their brands. But beginning in 2013, more consolidators have entered the scene

yearly, even as the more established MSOs continue expanding their footprints.

In 2024, larger operators acquired over 450 locations, according to Focus Advisors’ “2024 Year in Review: Some Excel on a Bumpy Road.” The “Big Five” (Caliber Collision, Classic Collision, Crash Champions, Gerber Collision and Joe Hudson’s) added 319 shops last year, comprising more than $15.6 billion in annual revenue – approximately 30 percent of the industry’s market share. Add in the eight “Accelerators” identified in the report, whose $1.5 billion in annual revenue accounts for three percent of market share, and these 4,214 locations generated onethird of market share in 2024.

“Consolidation began for many reasons, but it all comes down to money,” Laura Gay (Consolidation Coach) weighs in. “Financial investment entities recognize that collision businesses generate a lot of revenue, and as the industry has changed to focusing on becoming more efficient, they realize that one way to do that is by scaling the business. In a small shop, the owner wears many hats, but in a corporate structure, specific individuals can address the needs of multiple shops. With vehicles becoming more difficult to repair, shops must invest in expensive tools and equipment, and in a MSO environment, some of these can be shared across multiple shops.

“At the same time, customers’ focus has changed from quality to speed and transparency,” she continues. “Insurers have also driven the MSO boom since a corporate structure allows them to have fewer points of contact, instead of communicating with 20 different shop owners, which allows them to control costs more. Add in labor shortages which make it difficult for independent shops to meet all of these demands, and the industry is ripe for consolidation.”

Still, the industry is very demanding, so what makes collision repair shops such an attractive acquisition, despite the many challenges faced by operators?

“Private equity continues to be attracted to the collision repair industry for several reasons,” Focus Advisors indicates, listing those reasons as “the increased complexity of the car parc [all registered vehicles in a geographic region] and a rising TCOR [total cost of risk], significant economies of scale, specialization opportunities, resilience in times of economic hardship and EBITDA [earnings before interest, taxes, depreciation and amortization] multiple expansion.”

“The collision industry is recession and internet proof,” suggests Michael LeVasseur (Precision Automotive Calibration Experts), who sold Keenan Auto Body to ABRA in 2015. “That was proven during the COVID-19 pandemic. Even when things were horrible and barely anyone was driving, cars still needed to be repaired. And those repairs require people – you cannot repair today’s complex vehicles at home. There’s also guaranteed money through the vehicle owner or the insurer…even if a shop doesn’t necessarily receive the amount requested, payment is coming from a source with reliable money. As far as dealing with short pays and other challenges, the investors don’t care about that. They hire people who deal with the business end; as long as they see money when they look through the peephole, they’re happy with the investment.”

Auto Body Association of Texas (ABAT) President Burl Richards, who sold three of his shops to Classic Collision last year, agrees. “The collision industry has a lot of cash flow, and

typically, we get paid for services within 30 days. There’s also a lot of stability. Large MSOs know how to invest and manage their money differently than the typical shop owner who relies on the revenue for their personal income. Private equity firms have a lot of experience in the financial arena, and they know when something has the potential to be profitable.”

The concept of “economies of scale” also plays a large role in creating a lucrative situation for MSOs. “With an expanded network, these companies can negotiate better deals with suppliers for parts, tools and equipment,” Gay adds. “They can also streamline administrative functions like billing, marketing and customer service, reducing costs and improving efficiency.”

“MSOs have more leverage with vendors and insurers because of their volume,” LeVasseur acknowledges, but he also offers hopeful advice for independent shops. “There’s definitely a way to counter that. Smaller shops can still offer an occasional discount, but there comes a time when too much volume, too many discounts, is not a solution. Some of the larger consolidators are pushing back on the discounts they’ve been giving now because it’s impossible to sustain an environment where you’re fixing lots of cars for bare bones.”

This is exactly the situation that some consolidators have found themselves in. “If a MSO owns 1,000 shops and a particular insurer agrees to direct all their customers to those facilities in exchange for some concession, it’s common business sense to agree,” Gay notes, “But we all know insurers will continue squeezing everything they can, and some of these consolidators have had enough and are starting to push back.”

That’s not the only thing that’s changing in the consolidation world. While the vast majority of consolidators have been focused on DRP-centric acquisitions in the past, “Consolidators are just as diverse as human beings; they also have their own personalities,” Gay points out, explaining that some consolidators, such as VIVE Collision and Quality Collision Group, seek out shops known for high quality repairs and OEM certification.

MSOs tend to make acquisitions in waves, Gay explains. “They’ll converge on a specific market for a year or two until they develop that area. Once they’ve built up their footprint, they’ll move to the next market, then rinse and repeat. That means shop owners need to be aware of where this development is taking place. You can’t take your shop to market anytime – you want to sell it when the buyers are investing in your market to realize the maximum/best terms for the sale of your business. You only sell once; timing is key, and you do not want to leave money on the table.”

continued from pg. 27

“It’s all about timing,” Richards agrees as he shares some thoughts on the process. “There are many layers and steps with definitive ebbs and flows. There are a lot of negotiations from day one when you agree to a price, until the end where you are negotiating until literally the last week or day before it’s official, but all-in-all, it was a very positive experience. I still have other shops, but this sale allowed me to be able to take care of my immediate family, in the event that something happened to me. It also has opened doors for other opportunities for me.”

LeVasseur was very conscientious of timing when he decided to sell as well. “When I first began considering the possibility in 2012, experts indicated the peak time for consolidation in my market would be mid-2015, so I waited to get the most value out of the business.”

Before selling, he advises shops to prepare for the sale by organizing their books and making sure their process is replicable. “You need to have a proven production system and people who know that system. Your finances need to be in order.”

Selling his shops allowed LeVasseur to alleviate a lot of stress in dealing with the day-to-day operations, but there was a downside too. “They take over, and you don’t own it anymore. They start implementing their processes, and even if you don’t agree, you have to deal with it. The night of the sale is great; they deposit a large amount of money in your account, and that feels amazing, but over the next few days, you feel like someone ripped your kids from your arms. You’ve worked hard to build your business for years or even decades, and then BOOM! It’s over; it’s not yours anymore. You know what’s coming, but I wasn’t expecting how it would make me feel.”

That’s one of the main reasons Gay insists that no one should ever feel like they have to sell. “Sell your shop because you want or need to. Don’t do it because you feel like you’re being forced out. If you’re struggling, there are solutions. Shops cannot be successful if you are running them the same way you did 20 or 30 years ago.

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You need to look at ways to become more effective by attending training, developing your own niche and figuring out what sets you apart from the competition. You should always be looking at how things are done today and how they’re going to change tomorrow. Be willing to put the work in and change, or you’ll have a very negative outcome. Complacency is the worst thing you can do in any business!”

It’s undeniable that consolidators are leading the charge for change, but will that continue to be the case…or is the MSO bubble destined to burst?

“Consolidation is here to stay, but with that being said, I wouldn’t be surprised if some of them don’t make it,” Richards indicates. “Just like an individually-owned business, some are better at operating and managing than others. New players enter the market all of the time, but I still believe there is plenty of room for individual-owned shops as well.”

“The bubbles never burst; they just get smaller, go behind the scenes and then come back,” LeVasseur theorizes. “The industry sees periods of heavier trading at times, but more recently, there’s less of a market for smaller shops trying to get out. Consolidators are becoming more particular about the shops they purchase because those investments require a lot of effort for smaller returns. If anyone in that market is looking to sell to a MSO, I’d suggest joining a franchise, ‘advantage network’ (like CCG or 1Collision) or working with colleagues in a similar situation to put a package together to make the sale more attractive. So, consolidation is changing, but private equity investors continue to enter the space, so I don’t see it stopping anytime soon.”

Gay concurs. “There are still lots of markets that need to be built out. Some of the more mature consolidators have built their footprint as far as buying up shops and are now looking at brown and green fields, which means taking existing buildings and converting them or building new shops altogether. Newer MSOs are full-speed-ahead on buying up shops. So, who is doing what is changing, but they all seem to be a lot more methodical about their purchases now.

“Will consolidation slow down or even stop?” she ponders. “Possibly at some point, but it’s definitely not going to happen in the next three years. I’d have to reassess at that time, but for now, I’m confident the bubble isn’t going to burst anytime soon.”

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The insurance world can really be a cruel and unfair game. No matter how it’s played, the consumer almost always loses. Of course, it is a game of loss – insurance is a means of protection from financial loss, in which for a fee, a party agrees to compensate another party in the event of a certain loss, damage or injury – but consumers are all too often saddled with disadvantages.

So any win in favor of consumers is surely a step in the right direction toward playing fairly.

Massachusetts has a new law going into effect on July 1, 2025 that will bring some long overdue changes to automotive insurance policies – increasing bare minimum coverages for bodily injury (if you hurt someone else in an accident) from $20,000 to $25,000 per person and from $40,000 to $50,000 per accident and increasing uninsured motorist coverage (if someone hurts you and they don’t have insurance) from $20,000 to $25,000 per person

and from $40,000 to $50,000 per accident. The largest increase of all – which will benefit vehicle owners and collision repairers –is for property damage (if you damage someone else’s car, house, storefront window or other property) from $5,000 to $30,000 per accident.

It had been decades since any changes were made to these bare minimums – in fact, the property damage limit had not been changed since 1975. Back then, $5,000 for property damage was likely sufficient enough to cover the entire cost of a vehicle, but it barely scratches the surface of what that amounts to in 2025!

One of the driving forces behind seeing these changes come to fruition was the Massachusetts Association of Insurance Agents (MAIA), which represents 900 independent insurance agencies employing thousands across the state. According to Nick Fyntrilakis, president and CEO of the organization, this has been

on their legislative docket for at least 10 years.

“It surfaced as an issue because our agents would run into situations where – not their clients per se, because clients of independent agents are typically going to have adequate protections because they are going to get the guidance of an independent agent to make sure they have sufficient coverage –but their insureds, unfortunately, may have had an accident with someone without sufficient coverage. They recognized it wasn’t an appropriate level of protection or limit, so they felt this needed to be addressed,” he explained. “Agents were supportive, recognizing that it’s important to ensure everyone has an adequate level of minimum coverage that is reasonable.”

For far too long, motorists whose cars have been hit by drivers with inadequate property damage coverage have been victims of an entirely different kind of hit.

Case in point – Dana Snowdale (D&S Autoworks; Abington) shares his son’s experience after another driver t-boned his new car:

“Sometimes no amount of caution can shield you from someone else’s mistake. He barely had time to react as a car barreled through a stop sign and slammed into his vehicle. Thankfully, he was unharmed. The other driver, a woman, who seemed genuinely apologetic, admitted fault at the scene. Although he was shaken, he felt a measure of relief knowing that her insurance would cover the damages. After all, that’s how the system was supposed to work – or so he thought. When he filed a claim with the other driver’s insurance company, everything seemed to go smoothly at first. The company accepted the appraisal from my shop. Parts were ordered, and repairs began. For a moment, it seemed like the ordeal would soon be behind him. But then came the phone call. The insurance company, in a tone that teetered

continued from pg. 31

between apologetic and dismissive, informed the shop that there was an issue. Apparently, the woman’s liability coverage was insufficient to cover the total cost of the repairs. Despite initially agreeing to pay the claim in full, the company now claimed they couldn’t honor their promise. The remaining balance? That would be my son’s problem.”

Despite being told there was “nothing they could do,” Snowdale believed it was a breach of contract and filed a 93A complaint against the insurance company, citing unfair and deceptive practices.

Snowdale says it shouldn’t have been something his son would have to fight for. “It would have been a different story if they said the other driver had limited liability up front.” In the end, the insurance company came around and settled, paying the full amount of the appraisal. The whole situation taught Snowdale a big lesson: “That was the first time I was aware of limits as low as $5,000.”

Jumping from $5,000 to $30,000 is certainly a significant change, and definitely a step in the right direction,” Fyntrilakis says. “It’s certainly better than what it was.” It also brings Massachusetts in line with other states. Prior to the changes, the Commonwealth was “at the bottom of the barrel in regard to these minimum limits. These changes are on par with many other states.”

How much coverage is enough really depends on the incident. These days, a fender bender can amount to $5,000, so the $30,000 minimum at least gives better protection, he stated. Another consideration is that the property damage coverage applies to all the vehicles involved in the accident, so if a driver with minimum property damage coverage damages more than one vehicle, that amount is split up.

“Let’s say there are cars legally parked in a private lot, a driver comes along and smashes into two cars, and that driver as of July 1 will have $30,000 in property damage coverage,” explains Nadine Nesbitt of the AxiA Group, an independent insurance agency.

“Let’s say one of the cars has $20,000 worth of damage, and the other has $10,000 of damage. That would be easy to divide up, but what if each vehicle has $40,000 of damage? They’re going to split that $30,000 between each vehicle because it’s only going to pay for a share of the damage to each one.”

Consumers who have had more property damage and bodily injury limits higher than the minimum need not worry about increased costs, but this could bring changes to those who need to meet the new normal.

In most cases, insurance agents upsell from the bare minimum.

According to Fyntrilakis, “The numbers we calculated indicate that about 12 percent of the drivers have these minimum limits. This will really target those who had bare minimum coverage to make sure they have more adequate coverage.” He reports that

agents in MAIA are more likely “to put $50,000 or more in front of their clients. They wouldn’t entertain the low number.”

Nesbitt agrees that most agencies offer higher coverage and that in fact, “You should offer customers many choices, but some customers don’t want many choices. They just want you to tell them what you think, and then they make a choice. Some agencies suggest coverage starting at $250,000 per person/ $500,000 per accident and $250,000 for property damage, so it really depends on what the agency’s owners tell the employees to do.”

As for what the additional cost will mean for insureds who do have to meet the new norm, it will depend on a lot of factors, explains Fyntrilakis. “There are so many different factors that drive a consumer’s cost of coverage. All things being equal for an established driver with a good driving record, this would be a negligible increase. A driver with poor driving history and inexperience, this will definitely be more impactful.”

“Personally, I’ve always suggested the higher limits and explained and taught the coverage is based on the higher limits,” Nesbitt shares. “And then if somebody said they wanted lower limits, I’d quote them, but oftentimes, lower limits cost more than higher limits in the long run. Some companies charge less if you buy better coverage, so it never made any sense to me for the short term to offer lower coverage because, even if it wasn’t less expensive for better coverage, it was very similar in price.”

Like Snowdale indicated, shops deal with third-party claims all the time and therefore need to be aware of these forthcoming changes, which hopefully will amount to less issues for their customers when involved in an accident caused by someone with low property damage coverage.

Nesbitt says body shops tend to take on the role of counselor to their customers in many cases, listening to their stories about how they got into an accident, and often have to inform them when they learn the party who hit their vehicle had insufficient coverage.

“If a shop owner finds out that the other party’s insurance policy only has $5,000 in property damage coverage and knows it’s going to cost $12,000 to fix the car, it’s their hard luck responsibility to tell the customer they are going to fix their car properly because they care about their safety but that it is going to be up to them to come up with the additional cost because the other person’s insurance will only pay $5,000 and they need to pay the difference.” Fyntrilakis points out that “a not-at-fault driver who has adequate coverage would likely not have to pay out of pocket; their insurance company would step in and make them whole.”

Costs to repair vehicles have gone up exponentially over the years, so these bare minimum increases should be a benefit to all – including the collision repair shops who hopefully won’t see as many incidents like this in the future, Nesbitt predicts.

Why Are We Still Arguing about Blend Time?

A Legal, Technical and Historical Case for Full Reimbursement of Blend Operations

Despite clear guidance from industry leaders and current estimating platforms, some appraisers are still refusing to negotiate full blend times, falling back on outdated practices and flawed interpretations of the law. Across Massachusetts, collision repair shops continue to hear the same tired response: “We only allow 50 percent blend for time calculation as the formula.”

What makes this even more frustrating is that CCC, the most widely used estimating system among both shops and insurers, has already removed the default 50 percent blend calculation. In direct response to real-world testing and feedback, CCC now instructs appraisers to use on-the-spot judgment to assess the actual labor required for blend operations.

Yet, appraisers still claim they cannot adjust blend time –arguing that doing so would amount to “modifying” a published guide. This reflects a fundamental misunderstanding of both 212 CMR 2.04(1)(e) and the CCC Guide to Estimating itself, which makes it clear that judgment-based evaluations are not only permitted, but expected.

The continued refusal to engage in good-faith negotiation over blend time isn’t just outdated – it’s a violation of both regulatory and contractual obligations. And the impact is twofold: not only are shops being denied fair compensation for the labor involved in blending, but they’re also being shorted the corresponding paint and materials required to perform the operation properly. These shortcuts come at a cost – not just in lost revenue, but in undermining the trust, quality and professionalism that collision repair shops work hard to maintain.

Massachusetts Regulation 212 CMR 2.04(1)(e) leaves no room for confusion: appraisers are required to itemize all labor, materials and necessary procedures needed to return a vehicle

to its pre-accident condition. That includes blend operations –especially when they are essential to achieving a seamless refinish and avoiding visibly mismatched panels.

The regulation also makes clear that no appraiser may modify a published manual without prior negotiation. But let’s be clear – negotiating is not modifying. If the estimating system itself, like CCC (powered by MOTOR), says that blend time should be based on on-the-spot judgment, then the appraiser is following the manual when they negotiate. Refusing to do so is not compliance – it’s avoidance.

Further, the regulation allows either the shop appraiser or the insurance appraiser to reject the use of a fixed formula like dollars-times-hours, in which case they are to turn to a published manual or other documentation. In this situation, the Society of Collision Repair Specialists’ (SCRS) blend study and CCC’s revised instructions both qualify as valid sources.

So, if CCC has already removed its fixed 50 percent blend guideline, and the shop declines to accept the outdated default, the appraiser must engage in negotiation. Refusing to do so violates both the spirit and letter of 212 CMR 2.04(1)(e). For shops participating in Coverall Law’s Forever Forms program, such refusal may also expose the insurer and appraiser to liability under both M.G.L. c. 93A and c. 176D. Non-member shops may still file a formal complaint with the Auto Damage Appraiser Licensing Board (ADALB), though without the direct consumer assignment needed to trigger a 93A per se violation.

In 2022, SCRS published a comprehensive blend study that should have put the long-standing 50 percent blend time myth to rest once and for all. Conducted in collaboration with all five major refinish manufacturers and independently validated by

DEKRA North America, the study produced clear, consistent and repeatable data: blending takes more time than a full panel refinish – not less.

On average, the study found that blend operations required 131.59 percent of the time it takes to perform a full refinish. This isn’t a small margin. It dismantles the long-accepted – but unsupported – practice of arbitrarily assigning only 50 percent of base refinish time to blend panels. The results were also consistent across all panel types, all major paint systems and all finishes, including solid colors, metallics and tri-stage applications.

The SCRS blend study is available for download at scrs.com and should be included in every supplement and negotiation involving blend time. It is the most current, collaborative and objective documentation available – and it directly supports the shop’s right to negotiate for time actually spent, rather than settle for outdated formulas that no longer reflect reality.

In October 2023, MOTOR, the publisher behind CCC’s estimating guide, officially removed the long-relied-upon 50 percent blend formula from its system. In response to Database Enhancement Gateway (DEG) Inquiry #36042, MOTOR stated plainly, “The current formula...does not necessarily reflect the many variations encountered with modern vehicle finishes.” Instead, they now direct that “estimated work time should defer to the judgment of an estimator or appraiser following an on-the-spot evaluation of the

specific vehicle and refinish requirements.”

This is a major shift and one that brings estimating guidance in line with real-world repair conditions. Any appraiser who continues to deny blend time negotiations on the grounds that they are “just following CCC” is now ignoring CCC’s own updated directive. If they refuse to negotiate without a documented reason, they may also be in violation of Massachusetts law, specifically 212 CMR 2.04(1)(e) and M.G.L. c. 176D.

Dear Victor: Your Historical Insight

Despite overwhelming industry data, updated estimating guides and clear regulatory language, some appraisers still refuse to negotiate blend time — claiming they’re bound to outdated internal policies or restricted from “modifying” published guides. We wanted to know whether this 50 percent rule was ever something the ADALB formally adopted and how this issue has evolved from a regulatory standpoint. So we turned to Victor Fanikos, former legal advisor to the ADALB for perspective.

Victor’s Response

“To my knowledge, the ADALB never had any formal position on 50 percent blend time. It was something shops continued on pg. 36

continued from pg. 35

complained about going back decades, but I don’t recall the Board ever endorsing that number — and frankly, I don’t think it was ever our place to. The Board’s role was to make sure appraisers were doing their jobs according to the law, not enforcing insurercreated formulas.

The rule has always been the same: follow the manual. Today, the CCC Guide to Estimating — which is based on MOTOR — says blend time should be determined by on-the-spot judgment. That’s not an invitation to ignore it; it’s a directive to evaluate it properly. If an appraiser refuses to negotiate and says their hands are tied, that’s a violation of 212 CMR 2.04(1)(e) — plain and simple. And yes, a complaint should be filed.

If the Board does not act, then sue the insurer and the appraiser. That’s how this gets fixed. Shops need to bring these issues forward and put the facts in front of the Board. That’s how regulations evolve — when the Board understands how insurers are sidestepping the law.

And let’s be honest: no owner wants to drive around in a zebra. That’s what you get when a new panel doesn’t blend with the sun-faded one next to it. When appraisers deny blend time, they’re not just shorting the shop — they’re compromising the customer’s vehicle. That’s not acceptable, and it’s not compliant with either the estimating system or Massachusetts regulations.”

Why Join WIN?

WIN offers education, mentoring and leadership development opportunities to build critical skills for success in the collision repair market.

• Local/Regional Networking Events

• Annual Education Conference

• Educational Webinars

• Mentoring Opportunities

• Scholarship Program

• School Outreach Program

• Most Influential Women (MIW) Award

What Shops Should Do Now

Shops facing resistance on blend time must treat the negotiation as both a technical and legal process. When CCC instructs appraisers to use on-the-spot judgment, that opens the door for a fair conversation — one backed by documentation, including the SCRS blend study, manufacturer procedures and your actual material invoices. If the appraiser refuses to engage or defaults to the outdated 50 percent rule, document that refusal in writing and formally request their justification. Under Massachusetts law, they are obligated to provide a reason – silence is not an option.

If that negotiation fails, escalate. File a complaint with the ADALB and send a copy to the Division of Insurance. The attorneys at Coverall Law continue to hear repeated reports that the ADALB simply is not acting to see these issues resolved, so if your shop is enrolled in Coverall Law’s Forever Forms program, you may also issue a 93A demand letter to preserve your rights under Massachusetts consumer protection law.

Finally, don’t forget the customer. If blend time was denied without basis, issue a final bill reflecting the unpaid balance, and clearly explain the reason for the shortfall. Customers have a right to recover that amount from their insurer – and they should know that the only reason their vehicle might look mismatched is because the insurer refused to pay for a professional repair.

Coverall Law Managing Attorney Sean Preston finished in the top of his law school class at the historic Howard University School of Law in Washington, DC after serving in the United States Army. He went on to excel in business and legal strategy, serving some of the world's most recognizable brands in neighboring industries. Sean recently returned from Berlin, Germany with his family (where he served in Rolls-Royce's General Counsel function) and today resides in Wareham, MA, where he helps to oversee and meaningfully lead efforts in the region for Coverall Law. He can be reached at (508) 635-5329 or via email at spreston@coveralllaw.com

GENUINE NISSAN PARTS MAKE ALL THE DIFFERENCE.

Only Genuine Nissan Parts deliver the fit, reliability, and performance to meet your shop’s collision repair needs. So keep it original, and keep it real with Genuine Nissan Parts.

Contact these Nissan dealers for all your parts needs:

Mastria Nissan

1305 New State Highway

Raynham, MA 02767

Direct: 508-526-9173

Direct Fax: 508-802-6118

E-mail: parts@mastrianissan.com Web: www.mastria.com

Kelly Nissan of Lynnfield 275 Broadway

Lynnfield, MA 01940

Toll Free: 800-698-9280

Fax: 781-598-8026

E-mail: dlacoste@kellyauto.com

Kelly Nissan of Woburn 95 Cedar Street Woburn, MA 01801

Phone: 781-835-3510

Fax: 781-835-3580

E-mail: mbosma@kellyauto.com www.kellyauto.com

Quirk Auto Dealers 115 E. Howard St. Quincy, MA 02169

Toll Free: 877-707-8475

Balise Nissan of Warwick 1350 Post Rd. Warwick, RI 02888

TOLL FREE: 800-992-6220

FAX: 800-254-3544 wparts@baliseauto.com

www.BaliseWholesaleParts.com

One Call, One Truck for 14 Brands!

Genuine Replacement Parts For the Road Ahead.

Avoid problems down the road that will cost you time, money and customers. Choose Genuine Subaru Replacement Parts, engineered to fit better today, and perform better tomorrow.

For Genuine Subaru Body Parts, contact the following Authorized Subaru Dealers:

Long Subaru

7 Sutton Rd.

Webster, MA 01570

800-982-2298

Fax: 508-879-1212

tschube@longauto.com

Quirk Auto Dealers

115 E. Howard St.

Quincy, MA 02169

Toll Free: 877-707-8475

Balise Subaru 561 Quaker Ln.

Warwick, RI 02893

TOLL FREE: 800-992-6220

FAX: 800-254-3544

wparts@baliseauto.com

www.BaliseWholesaleParts.com

One Call, One Truck for 14 Brands!

Patrick Subaru

247 Boston Turnpike

Shrewsbury, MA 01545

508-756-8364

Fax: 508-752-3691

www.patricksubaru.com

bsuffoletto@patrickmotors.com

KEEP IT GENUINE

[EXECUTIVE DIRECTOR'S]

where YOU will have the opportunity to testify about the dire state of your business. You can explain how insurer-driven policies negatively impact vehicle owners, forcing them to wait longer for repairs and accept subpar work that fails to restore vehicles to OEM safety standards.

Your Call to Action:

• First, contact your legislators and demand the ADALB be moved to the DOL. Without this change, even a labor rate increase won’t matter if insurers can instruct their appraisers to ignore it without consequence.

• Second, attend the ABLRAB public hearings. Even if you don’t testify, your presence will show solidarity and strength. Before attending, update your Labor Rate Hero survey at vrssystem.com/survey

“The only thing necessary for the triumph of evil is for good men to do nothing.” – Sir Edmund Burke

Will you stand by and watch your business suffer, or will you take action?

For more on what you can do and the action plan, read the next issue of Damage Report, our members-only newsletter. Not a member yet? See the application on page 7 or visit aaspma.org to JOIN THE ALLIANCE NOW!

AASP/MA EXECUTIVE DIRECTOR EVANGELOS “LUCKY” PAPAGEORG can be reached at (617) 574-0741 or lucky@aaspma.org.

Enhanced Mobility and Shop Safety with RAE Mobile Battery Lifting Table

When repairing sophisticated electric vehicles, proper disassembly and handling of EV batteries is a must. RAE’s Mobile Battery Lifting Table is a game changer, taking the stress out of lifting and storing EV batteries as well as motors and transmissions.

The table’s sturdy build and smooth hydraulic system ensure precise lifting and lowering, allowing repairers to position the battery exactly where it’s needed with the ability to safely handle loads up to 1.5 tons, with a pneumatic-hydraulic drive powering smooth and reliable lifting.

With adjustable features including a mechanical drop safety device, 3-step handle and slopes on both axes, operators can be confident of precise positioning. An extendable platform (adjusting from 1830mm to 2130mm) fits various battery sizes, but the lifting table’s versatility means

it’s not just limited to batteries; repairers can use this to lift, hold and store many heavy components in the repair process.

With approvals from Ford, Lucid and Rivian, this Mobile Battery Lifting Table is a solid investment, not only cutting down on time spent with manual labor but also making battery handling more efficient to improve overall productivity in the shop.

If you’re looking for a solution that combines safety, ease of use, and durability, this Mobile Battery Lifting Table is exactly what you need. The team at Reliable Automotive Equipment is ready to help with this and any equipment concerns you may have; please contact us today at raeservice.com to learn more about our array of collision repair products, training and support.

The RAE Mobile Battery Lifting Table has a lifting capacity of 3,080 pounds, ensuring safe maintenance procedures.

That’s because print advertising works. Especially when it’s connected to a powerful trade association.

For over 30 years, Greco Publishing has partnered with the best of the industry to provide trade associations a voice, and to give advertisers a direct outlet to reach buyers.

Today’s shop is inundated with solicitations; advertising with Greco Publishing breaks through the noise to align your company as an association ally, and get you in front of your next customer.

continued from pg. 6

advocating for workforce development programs, the power of unity cannot be overstated. The more voices that join the conversation, the louder and more compelling the message becomes.

A Call to Action

The future of the collision repair industry in Massachusetts depends on the actions we take today. Challenges – such as labor shortages, technological shifts and regulatory changes – will not resolve themselves. It’s up to the professionals within the industry to lead the charge. If you’re not already a member of AASP/MA, now is the time to join. Membership is more than an investment in your career; it’s a commitment to the industry as a whole. The resources, training and advocacy opportunities provided by the association are invaluable tools for navigating the complex landscape of collision repair.

Equally important is your role as an advocate. Don’t underestimate the power of your voice. Reach out to your senators and representatives, share your experiences, and let them know what matters most to your business and your customers. The decisions they make today will shape the industry’s trajectory for years to come.

In the collision repair industry, apathy is not an option. To sit idly by is to allow challenges to fester and solutions to slip away. But by stepping up, joining AASP/MA and engaging in advocacy, you become part of the solution – a driving force for progress and innovation in Massachusetts.

In this critical moment, the choice is clear: BE PART OF THE SOLUTION. Together, we can ensure a brighter, stronger future for the collision repair industry in Massachusetts.

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New England Automotive Report May 2025 by Thomas Greco Publishing, Inc. - Issuu