March Key Insights for Repair Shops from the field
The automotive repair landscape is always evolving, and this week, we’ve observed some significant trends that could impact your business. Before our next “TOP-PICKS” issue in April, here are a few key takeaways from the field.
Repair vs. Replace: Insurers Pushing for Repairs
Many shops have reported an increase in insurers favoring repairs over part replacements. This shift could be due to strategies aimed at avoiding tariffs or simply because parts for older vehicles are becoming scarce. Whatever the reason, if you’re asked to repair instead of replace, ensure you negotiate fair labor times and charge for all materials used.
Insurers may claim that certain costs are “included,” but additional cycle time and workflow slowdowns are not. Think of it this way: if they asked you to help them move, used your truck, and then didn’t pay for gas—it wouldn’t be fair. Make sure your shop gets paid for the extra effort required.
Be Proactive with DRP Assignments
If you receive an assignment from your Direct Repair Program (DRP), don’t wait for a call. With claims declining and workflow slowing down, being proactive can make a big difference. Reach out to schedule repairs as soon as the assignment arrives—before the customer decides to explore other options.
Aging Vehicles: More Repairs, More Challenges
Data shows that 30% of repaired vehicles are now 16+ years old—the highest percentage ever recorded. This trend means fewer available parts and an increased likelihood that the vehicles have had previous repairs. In fact, only 15.2% of vehicles in shops today are under three years old.
This shift raises important questions:
- Does your front-office staff have the expertise to recognize previous repairs?
- Are they informing customers about prior repairs at drop-off to prevent disputes later?
- Do you need additional tinting and blending time to match previous work?
If your team needs training on spotting past repairs, reach out to your NCS/SSI representative—they can provide the necessary education to help streamline your workflow and prevent costly rework. A simple five-minute conversation at drop-off can save days of frustration later.
Final March Key Insights for Repair Shops: Guide Adjusters, Don’t Just Accept Changes
Remember, adjusters are not approvers—they are there to make changes. Your role as the repair expert is to guide them toward fair and equitable solutions. Keep pushing for what’s right and ensure your shop is properly compensated for its work.
Thanks for staying informed. Keep up the great work, and we’ll see you in the next TOP-PICKS update!