The third of the four different “Who Pays for What?” surveys for 2016 continues in July, this time asking shops about “not-included” operations related to structural/frame and mechanical repairs. The survey is open through the end of July, and can be accessed by clicking here.
The series of four different surveys each year is conducted by CRASH Network and Collision Advice. Newly released data from the body labor survey conducted back in April shows that although 50 percent of shops surveyed said they are paid “always” or “most of the time” for the additional labor it sometimes takes just to “gain access” through a damaged door or hood, nearly one-in-four shops surveyed said they never have included a charge for this on an invoice.
“This is quite shocking to me,” said Mike Anderson of Collision Advice. “This is a procedure that technicians have to do quite a lot. If I need to open a door that’s jammed in, I may have to cut a hole in the door to access the latch to release it. That’s a pretty common occurrence, so I was quite surprised that many shops aren’t getting paid to do it. Published labor times are for new, undamaged parts on new, undamaged vehicles. We’re working on damaged vehicles, so technicians often have to do things in order to get access.”
More than 900 shops from all 50 states participated in the April survey. Anderson said participating in the surveys can be a good reminder to shops of “not-included” operations that they are performing so they can decide whether to include them as line items on their estimates.
Each of the four surveys explores a different area of shop operations. Previous surveys examined “Who Pays for What?” relating to body labor, aluminum repair and refinish operations.
The current survey focuses on about two dozen not-included structural/frame and mechanical labor operations, asking shops how frequently they are paid for each of the operations by the eight largest auto insurers in the country.
Survey participants will receive a 60-page report with complete survey findings – broken down by region, insurer and DRP vs. non-DRP – at no charge. The report also includes analysis and resources to help shops better understand and use the information presented.
Anderson said the survey, which will take about 15 to 30 minutes, should be completed by the shop owner, manager or estimator who is most familiar with the shop’s billing practices and the payment practices of the largest national insurers. Each shop’s individual responses are held in the strictest confidence and are not released in any way; only cumulative data is released.