ASA News Release
Contact:

Ken Roberts
(800) 272-7467, ext. 216
For Release:


Immediate
News Bulletin ASA-32
September 13, 1999

ASA Hosts Industry Summit
ASA, Insurers, Paint Manufacturers, and I-CAR Officials Meet

Bedford, Texas, September 13, 1999 --The Automotive Service Association (ASA) began a series of inter-industry interchange meetings to allow industry experts the opportunity to share dialogue on several critical repair procedures and the way they are addressed by the information providers.

ASA hosted a roundtable discussion in Bedford, Texas, focusing on refinish operations. Industry experts from paint manufacturers, insurers, I-CAR , and collision repair shops were invited.

Participating insurance providers were Automobile Club of Southern California, GEICO, Liberty Mutual, Nationwide, State Farm, 20th Century, and USAA. AKZO/Nobel, BASF, DuPont, ICI, and Sherwin-Williams represented the paint manufacturers as well as the auto manufacturers. I-CAR representatives clarified and documented the UPCR standard procedures.

Members of the ASA Collision Division Operations Committee represented the repair industry as well as individual technicians. All participants represented consumer interests. John R. Mock, chairman of ASA's Board of Directors, said that the success of this type of meeting truly was represented by the teamwork that was displayed by the ASA Collision Division Operations Committee. "They worked together to initiate proper planning which aims at a solution. The often misconstrued opinions that the repairers and insurers do not want to work together was not the case at this meeting. The consonant attitude of those attending was indicative that ASA will continue with additional issues being addressed at future meetings."

The experts agreed that the goal of the meeting was the establishment of uniform repair procedures that all parties can accept, and industry training to insure that these procedures are followed. Agenda items focused on: blending; extending clearcoat to break-line; precision masking; used/salvage parts; labor requirements on repaired panels vs. new undamaged panels; operations deemed necessary to fulfill lifetime warranties; two-stage refinish on interior and undersides of panels; underside vs. exterior panels; and two or three stage refinish.

Nick Gojmeric, a member of ASA's Collision Division Operations Committee, shared a problem with the group concerning the term "blend within panel" and how it is commonly misused. A review of the P-Pages clearly defines the blending operation not be applied to repaired panels. He said in his area of Illinois, that adjusters commonly use the automated procedure when estimating repair panels. That misuse of the computer logic is not fair to the insurer, the repairer nor the consumer, and certainly does not reflect an accurate estimate.

Solutions offered by the group included enhanced information provider capabilities, additional training for adjusters, and additional repair process expertise offered by the repair industry. Kevin Caldwell, ASA Collision Division Director, said, "It is the consensus of the group that the information providers assume the responsibility to provide accurate information to all of their customers.

"Consumers expect a guaranteed quality repair; insurers expect cost reduction while the industry is struggling to obtain acceptable accurate repair procedures. The lack of uniform procedures, and the information providers delay to adapt to current technology, is proving to be detrimental to the partnerships developed by repairers and insurers and, ultimately, the consumers. Accurate information and standardized procedures will define the future for all in the collision repair industry. The industry must unite to define clear understandings of recommended procedures, as well as accurate estimating guidelines," Caldwell said.

"Information providers are tasked with providing this information. Additional operations and procedures need to be defined, rather than simply relying on P-Page interpretation. Additionally, in order to provide the highest quality product with a lifetime warranty, there needs to be participation by all parties as to the quality level necessary to return vehicles to pre-crash condition," Caldwell said.

The group agreed that the information providers must be more receptive to changing technology. Individual solutions to the refinish agenda items are available and have been presented to each of the information providers: ADP, CCC, and Mitchell International; with a request that these corrections be implemented without delay. Failure by the information providers to address changing technology may contribute to cost shifting and certainly creates a strained relationship between insurers and repairers.

The Automotive Service Association is the largest not-for-profit trade association of its kind, serving more than 13,000 businesses and approximately 70,000 professionals from all segments of the automotive service industry. ASA's headquarters is in Bedford, Texas.

ASA advances professionalism and excellence in the automotive repair industry through education, representation and member services. Additional information about ASA, including past news releases, is available on the ASA Web Site on the Internet (http://www.asashop.org).