fbpx

Two northern California body shops have stepped up to the plate in an effort to stop illegal steering in the state. Competitors G&C Autobody and Dibble's Autobody have joined together in a lawsuit against GEICO (defendant) for steering customers away from their shops and not conducting the proper labor rate surveys to establish reasonable hourly rates. 

It's an altogether too common story in the auto body world - a $5,100 difference of opinion between the shop owner and the insurance company on how to properly repair a vehicle which led to an epic, one- year battle. 

The California Department of Insurance (DOI) has taken the first steps toward eliminating a long-standing thorn in the side of the collision industry - capping paint costs. In late August, the DOI held a workshop, chaired by staff members Deputy Insurance Commissioner Woody Girion and Tony Cignarale to discuss capping paint costs by insurance companies. 

State Farm's new Select Service DRP program, industry anti-fraud measures and estimating issues highlighted the discussion at the Collision Industry Conference, held in August at San Jose, California. CIC was held in conjunction with I-CAR's annual international conference - Getting Revved Up For Training. A power packed agenda filled the day for over 200 attendees. 

Owners and employees of various auto body shops in Shasta and Butte counties were allegedly involved in fraudulent insurance claims - with loss estimates ranging from $2,000 - $4,386 in 19 separate occurrences. 

A lawsuit brought against a body shop in San Francisco by a distributor of DuPont and Spies Hecker paints sheds some interesting light on current practices in the automotive paint distribution business. It may also serve as a warning to body shop owners that if you have a contract to buy paint from a particular jobber, think twice before you break that contract.