One of their issues is “the prevailing rate” As long as the insurers insist on only paying “the prevailing rate” it will never increase to compensate for rising health care, shop insurance, workers comp, property taxes, and don’t forget it BO gets his big increase in minimum wage which will push all wages up. Many years ago an insurance carrier opened a good sized body shop in Mass and lost money at “the prevailing rate”. Obviously they soon learned it was not a high profit business after all so they called it an adjuster training center.
Majority of repairs made are for persons who have an auto insurance policy. Some of the largest auto insurers require shops to make repairs at the lowest possible expense, even if it requires usage of inferior parts & methods – or suffer the consequences.
Had a similar more localized spat with a shop coalition in a large city about 12 years ago. We lost, the shops lost, the lawyers won.
Isn’t that always the way?
One of their issues is “the prevailing rate” As long as the insurers insist on only paying “the prevailing rate” it will never increase to compensate for rising health care, shop insurance, workers comp, property taxes, and don’t forget it BO gets his big increase in minimum wage which will push all wages up. Many years ago an insurance carrier opened a good sized body shop in Mass and lost money at “the prevailing rate”. Obviously they soon learned it was not a high profit business after all so they called it an adjuster training center.
Someone please educate me. If body shops are losing money on every insurance claim, why do they accept insurance?
Majority of repairs made are for persons who have an auto insurance policy. Some of the largest auto insurers require shops to make repairs at the lowest possible expense, even if it requires usage of inferior parts & methods – or suffer the consequences.