Claims Frequency, Repair Complexity Pushing Rental Days Higher

Claims Frequency, Repair Complexity Pushing Rental Days Higher

The average length of rental in the United States increased from 11.9 billed days in fourth-quarter 2015 to 12.5 billed days in fourth-quarter 2016, continuing a recent trend.

The average length of rental in the United States increased from 11.9 billed days in fourth-quarter 2015 to 12.5 billed days in fourth-quarter 2016, continuing a recent trend.

In an article for Mitchell International’s latest Industry Trends Report, Dan Friedman of Enterprise Rent-A-Car noted that “an increase in claims frequency and an escalation in repair complexity” drove the average length of rental higher.

The Southwest continued to produce the longest length-of-rental duration at 13.8 days, followed by the Mountain region at 13.5 days.

While claims frequency and repair complexity have been pushing rental days higher over the past few quarters, Friedman noted that there was a significant gap between average and best-in-class results.

“This indicates that, despite these challenges, shops can drive results by focusing on the elements they are able to control,” said Friedman, assistant vice president, collision industry relations and sales, for Enterprise.

Texas, which jumped 1.1 days, and Colorado, which skyrocketed 1.8 days, had the biggest impact on the national average. These spikes resulted in 14.4-day averages for both, the highest of any state.

Canada also is on an upward trajectory, with a .4-day year-over-year increase in fourth-quarter 2016. Overall, Canada’s average length of rental was 11.3 days.

 

You May Also Like

NABC Donates Recycled Ride to Texas Veteran

The NABC, GEICO and Caliber Collision recently donated a refurbished vehicle to a deserving  Texas veteran.

The National Auto Body Council (NABC), along with GEICO and Caliber Collision, recently donated a refurbished vehicle to a deserving  Texas veteran via the NABC's Recycled Rides program.

The presentation took place at the Lone Star Changing and Saving Lives Golf Tournament at the Texas Star Golf Course. The 2018 Kia Soul was donated by GEICO, and the team at Caliber Collision Dallas fully refurbished the car.

Crash Champions Acquires Fender Mender Collision in Encinitas, Calif.

Crash Champions now operates a network of more than 100 locations across the state of California.

CAPA Elects New Members to Board of Directors and Technical Committee

The Certified Automotive Parts Association has announced the election of four members to its board of directors and three members to its technical committee.

Axalta Named 2023 General Motors Supplier of the Year

GM selects winners based on performance, innovation, cultural alignment with GM’s values and commitment to achieving GM’s ambitious goals.

Crash Champions Hosts Biannual Operations Leadership Conference

The three-day event featured presentations from Crash Champions Founder and CEO Matt Ebert, executive leadership, senior operations leaders and more.

Other Posts

Driven Brands Collision Buzz Podcast Wins Awards

The Collision Buzz podcast won two awards from the U.S. Podcast Association (USPA).

CIF Announces United Recyclers Group as Repeat Annual Donor

This marks U.R.G.’s fourth consecutive donation at the Urgent Care tier.

Salem Auto Body: Since the 1920s

Salem Auto Body is located down the road from Gallows Hill, where Bridget Bishop was hanged in 1692 as part of the Salem witch trials.

Classic Collision Adds New Location in Washington State

Classic Collision has announced the acquisition of Blue Sky Auto Body in Tacoma, Wash.