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Claims & Reimbursement

Labor Rate Index: Shops That Raised Rates Moved From Below to Above National Averages

In three of four categories, 60% of shops that updated their surveys in the past 12 months raised rates, NABR data shows.

A man in a faded pink baseball cap, dark vest, and work pants writes on a clipboard with a red pen while standing between a gray van and a white van in a repair shop, with a bright green hatchback parked in front of a red-framed paint booth in the background.
On average, shops that raised posted labor rates during the past 12 months moved from below NABR's September national average to above it in all four categories, according to NABR.

Sixty percent of collision repair shops that submitted updated labor rate surveys to LaborRateHero during the past 12 months raised their posted body rates, and the same share raised refinish and mechanical rates, according to new figures from National Autobody Research (NABR). NABR's national averages for September stayed close to August levels in all four categories.

Frame was the exception among the four categories in the index, with 45% of shops that updated their surveys raising frame rates, said Sam Valenzuela of NABR.

Shops that raised rates added about $6 to $15 an hour

Among shops that raised body rates, the hourly rate rose by an average of $6.16, from a prior average of roughly $83, Valenzuela said. Refinish rates rose by an average of $5.99 from a prior average near $81. Mechanical posted the largest dollar gain, rising an average of $15.27 from about $152. Frame rates rose an average of $12.60 from $108.

Valenzuela pointed out that in all four categories, shops that raised their rates started from an average below NABR's September national figure and finished above it. For body work, the prior average of roughly $83 an hour compares with a September index of $85.56.

September rates stay close to August levels

NABR's September national average was $85.56 an hour for body, compared with $85.48 in August. Refinish stood at $84.65, compared with $84.56, and frame at $116.78, compared with $116.68. Mechanical was $161.63, slightly below August's $161.75.

Annual growth through September

NABR's latest year-over-year figures, for September, show body rates up 6.7%, refinish up 5.6%, frame up 6.4%, and mechanical up 12.7%. Mechanical has posted the steepest annual growth of the four categories in every month of 2026 so far.

This is the fourth installment of the Labor Rate Index, a recurring feature Autobody News is developing with NABR to track posted labor rates monthly across body, refinish, frame, and mechanical work. Last month's installment found annual growth rebounding to its highest point of 2026 in all four categories after a slight July dip in most of them.

Shops are encouraged to submit updated posted labor rates to LaborRateHero.com any time they make a change, even a small one, according to Valenzuela. To submit a posted labor rate survey, shops can go to www.LaborRateHero.com and click "Submit Rates" in the top navigation bar, or go directly to the online survey here.

Data Methodology

NABR's data comes from labor rates shops post themselves, rather than rates negotiated with individual insurers. LaborRateHero enables shops to input their posted labor rates rather than insurer-contracted rates to gain insight into industrywide pricing trends.

NABR has also pushed back on the industry's use of the term "prevailing rate" to describe labor pricing. On its website, the company states "there is not one single labor rate in a market," saying rates instead vary based on a shop's location, capability, the vehicle involved, and the type of repair performed.

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