The ‘dollars times hours’ formula no longer makes sense. But if insurers can get shops to continue to accept this old formula, why should they voluntarily change what they pay?
Despite what you’ve been led to believe, you can legally steer your customers away from ‘problem’ insurers and toward ones that know how to fairly settle claims.
And You’ll Realize That You Can Talk With Your Competitor (Even About Pricing).
Insurers are contractually responsible to reimburse their insureds for the reasonable costs of repair. Shops are contractually responsible to the owner of the vehicle for performing a repair as per the estimate/RO. In other words, you have no legal obligation to negotiate with insurers.