fbpx

Ed Attanasio

Ed Attanasio is an automotive journalist based in San Francisco. Ed enjoys sports of all kinds and is a part time stand-up comedian.

 

He can be reached at era39@aol.com.

Tuesday, 07 June 2022 10:23

Auto Body Shop Veteran Says DRPs Can Be Profitable If Done Right

Written by
Jim Huard of Painters Collision Centers in Arizona is not afraid to share his ideas and opinions with body shop owners and the industry as a whole. Jim Huard of Painters Collision Centers in Arizona is not afraid to share his ideas and opinions with body shop owners and the industry as a whole.

Index

Share This:

 

Autobody News recently sat down with Jim Huard to talk about what’s important to him and the current state of the collision repair industry.

Jim and Kelly Huard are the co-owners of Painters Collision Centers with two locations in Queen Creek and Chandler, AZ. Their goal is 10 locations within the next two years through smart and strategic expansion.

 

As a body shop owner, what are your top concerns?

 

Hiring and retaining skilled labor is our No. 1 concern.

 

A shop owner told me one time the tug-of-war between body shops and insurance companies will never cease, although it will change and evolve. Do you agree, and how and why have your relationships with your insurers changed?

 

I respectfully disagree; I am different in how I view this. All repairers can work effectively with carriers if they know how to navigate through the process. It’s not always just about being right. But instead of having the facts, the correct documentation and the right attitude about the relationship is what is truly important.

 

Another body shop owner told me the main problem in this industry is the simple fact the insurance companies, in general, don’t pay enough for repairs. Do you agree?

 

I again respectfully disagree, because from my experience, all insurers will pay to repair the vehicle correctly. I also believe it is a choice to repair a car correctly. Scans, calibrations and the like will be reimbursed as long as they are properly documented.

 

I am a DRP work flow guy. I am fanatical about quality repairs, and we are super picky about what we repair. The insurance companies are always watching the bottom line and there is nothing wrong with that. But I don’t think they ever want us to do sub-par repairs or compromise our quality to save money.

 

Are most of your DRPs profitable and are you satisfied with them?

 

I believe that all DRPs are profitable for all shops. How do you repair a car? And how do you write the estimate? Are you focused on the sales mix and writing a complete estimate? Are you complacent and write poor estimates and what does your throughput model look like?

 

Profitability is predicated on good quality estimates and throughput. This is a proven fact. A shop that produces 1.5 HPD will put 1.8% to the bottom line, give or take. A shop producing...


Previous Page Continue reading »