President’s Comments By ARA President Jonathan Morrow
Underlying Issues of Repair Procedures W
hat a great 75th Annual Convention & Expo we held in Orlando, Florida! For those that were able to attend, it was great to see you, and for those who could not attend, we missed you and hope to see you April 3-4 at the 2019 Annual Hill Days & Legislative Summit, in Wash- ington, DC. This year, it is being held in conjunction with The National Auto Show, and ARA has obtained exclusive pre-show access for attendees! This is one of the top five auto shows in the nation.
The energy and excitement for our industry and the changes that are coming, both good and challenging, are bringing more recyclers together both in North America and around the world. One of the biggest changes we are seeing in our industry is the continuous push from the OEMs in position statements on repair procedures. During one of the most highly anticipated sessions in Orlando, the Recyclers Roundtable, this issue was brought front and center at my expense.
My 2018 GMC Acadia Denali (pictured at right) was the first new car I have ever owned. In early October, I was driving through a parking lot at less than 10 miles per hour when something caught my eyes in the distance. The next thing I knew I was stopped by a concrete block. I imme- diately put the car in park and checked on the damage. The headlight and fog light were fine, as well as no airbags deployed. It looked as if all I needed was a bumper cover and trim pieces. I was mad at myself for not paying attention, but glad nothing serious had happened. I drove my car for three days before taking it a local repair shop. The initial estimate was $4,200, and I was good with that. But one week later, I received a call from the shop with a revised estimate of $17,000. I was confused, but at this point, I needed it fixed.
Then, the repair facility emailed this to me, which is where I became dumbfounded. They said, “There is no position statement from GM if this is a viable repair, and I am working with Nationwide to get some information as well. I apologize for the inconvenience, but this is a very tricky repair.” The insurance carrier then asked me to move the car to a GM body shop so they could re-evaluate the Acadia, and hopefully have better luck getting information from GM on the repair. Again, I complied. Ultimately, the insurance company sent me this notice, “Yes sir, I’m waiting on an approval to make your vehicle non-repairable due to the rail damage. I should have that returned today.” Then followed by this notice, “This is a constructive total loss. The repairs to the rail buckles can- not be made due to the ultra-high strength on the rails. Per the notes from the shop and field adjusters, the vehicle is actually unrepairable.” So why did I take the President’s column to tell this story?
Because the OEM repair procedures are potential major pitfalls for our industry and the collision repair business. Can you image the two collision shops that were not allowed to repair this parking lot accident? They should be very concerned at the loss of potential business. And, their customer, who happens to be me, is out of a car for the most absurd reason, and now has a total-loss accident on my insurance record. ARA is on the forefront working with industry partners in order to bring to light the problems and potential pitfalls to these new standards. Our ultimate goal is to sit down with the OEMs and work together to solve problems and address concerns for our customers. But until that time comes, ARA is determined to protect our industry and our members from additional legislation that could hinder the reuse of our parts. Please make plans to join us in Washington D.C. for the 2019’s Hill Days & Legislative Sum- mit, we need your help to make an impact. Thank you for supporting the ARA leadership over the next year. We promise to be open, communicate and work hard to create attainable goals for the Association and its membership. Very respectfully,
Jonathan Morrow 2018-2019 ARA President
4 January-February 2019 • AUTOMOTIVE RECYCLING
0
1
9
4
3
-
2
1
8
Page 1 |
Page 2 |
Page 3 |
Page 4 |
Page 5 |
Page 6 |
Page 7 |
Page 8 |
Page 9 |
Page 10 |
Page 11 |
Page 12 |
Page 13 |
Page 14 |
Page 15 |
Page 16 |
Page 17 |
Page 18 |
Page 19 |
Page 20 |
Page 21 |
Page 22 |
Page 23 |
Page 24 |
Page 25 |
Page 26 |
Page 27 |
Page 28 |
Page 29 |
Page 30 |
Page 31 |
Page 32 |
Page 33 |
Page 34 |
Page 35 |
Page 36 |
Page 37 |
Page 38 |
Page 39 |
Page 40 |
Page 41 |
Page 42 |
Page 43 |
Page 44 |
Page 45 |
Page 46 |
Page 47 |
Page 48 |
Page 49 |
Page 50 |
Page 51 |
Page 52 |
Page 53 |
Page 54 |
Page 55 |
Page 56 |
Page 57 |
Page 58 |
Page 59 |
Page 60 |
Page 61 |
Page 62 |
Page 63 |
Page 64 |
Page 65 |
Page 66 |
Page 67 |
Page 68