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John Yoswick

John YoswickJohn Yoswick is a freelance automotive writer based in Portland, Oregon, who has been writing about the collision industry since 1988. He is the editor of the weekly CRASH Network (for a free 4-week trial subscription, visit www.CrashNetwork.com).


He can be contacted at john@crashnetwork.com 

Tuesday, 06 July 2021 21:25

Predicting What the Collision Repair Industry Will Look Like in 2035

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...repairer-insurer-OEM dynamic will change significantly by 2035.

 

“One of the things I foresee has been happening outside of our country for many years,” said Frank Terlep, co-chairman of the Future Disruptions Committee. “When you buy a new vehicle in 2035, you will be getting your insurance with the vehicle. That’s going to change the model.”

 

Jimmy Spears, a former executive at USAA who is now with Tractable, agreed the line between automaker and insurer will blur or be eliminated entirely.

 

“Look at how you have Tesla Insurance, or Onstar Insurance from General Motors,” Spears said. “You’ll probably have a vertical that will take care of that customer much, much better than [separate companies] that don’t have the incentives to work together.”

 

Terlep said the added cost of vehicle safety systems will have led to more vehicles being declared total losses, with the repairable vehicle count dropping “as much as 30 or 40%.”

 

“You’re going to have to be a licensed professional to get access to those safety systems,” Terlep added. “A lot of people don’t want to hear that, but I just don’t see the OEMs and the government releasing direct access to all the safety systems.”

 

Committee co-chairman Jake Rodenroth agreed.

 

“You have to be licensed to cut hair but not to calibrate ADAS or cut panels off cars or work on electric vehicles,” he said. “That’s got to change.”

 

Several speakers agreed by 2035, accessing OEM repair information will be less “clunky” and time consuming, no longer requiring use of multiple websites.

 

“So in 2035, my prediction is the procedures will be living with the vehicle,” Terlep said. “You’ll be looking in the vehicle for those procedures, not on someone else’s website. The repair procedures will be presented to you based on sensors in the vehicle that will know: These areas are damaged.”

 

Rodenroth agreed, noting collision repairers are...