The Collision Repair Association of California (CRA) has appointed Richard Steffen as deputy director of legislative affairs. With 28 years of experience in state government behind him, Steffen is armed with a multi-level campaign to aid CRA in the fight for fairness among auto body professionals. The first order of business is to strike a working dialogue with the regulator, the insurance commissioner, the BAR, the attorney general and the insurance industry, Steffen said. He added that there are a number of fronts to adjust public policy.
Insurance Commissioner John Garamendi recommended a 15.3% decrease in the state's workers' compensation pure premium rates, his fourth consecutive decrease and an amount that brings his cumulative recommended cuts to 46.2 percent.
CCC Information Services Group Inc., a leading supplier of advanced software, communications systems, Internet and wireless-enabled technology solutions to the automotive claims and collision repair industries, has signed a definitive agreement to be acquired by an affiliate of Investcorp, the global investment group. Under the terms of the agreement, CCC stockholders will receive $26.50 in cash for each share of CCC common stock, representing a 10.3% premium over the average closing price of CCC's stock for the last 90 trading days. The fully diluted equity value of the transaction is approximately $495 million.
In spite of the fact that California passed SB 551, a statute that was designed to stop steering in the state, several autobody shop owners showed up to testify about their continuing problems with steering at the Senate Banking, Finance and Insurance Committee Oversight hearing on November 23.
The Administrative and Enforcement Monitor of the Bureau of Automotive Repair (BAR) has presented a draft of its first report on the performance of the BAR to the Department of Consumer Affairs and the California legislature.
Concerns about the estimating databases, the reversal of the decision in the State Farm non-OEM parts lawsuit, the collapse of another consolidator and an ongoing battle over the "right to repair" were among the most talked-about topics in the collision industry this past year.
The South Coast Air Quality Manage-ment District (AQMD), the Southland's air quality agency, has adopted stricter standards to significantly reduce smog-forming emissions from coatings used in nearly 1,800 auto body shops in the region. The standards will take effect in 2008.
There's a simple rule in business that if you want to increase profits, you need to either increase sales and revenue, or decrease costs and expenses.
State Farm is rolling out a new DRP program. The program calls for State Farm to get as good a rate as a shop charges any other insurance partner and asks for preferential treatment for State Farm insureds.