S OU T HWEST E DI T I ON
AUTOBODYNEWS.COM
AZ / AR / CO / LA / NM / OK / TX / UT
Collision Repairers Feel Downstream Effects of CDK Global Cyberattack By Paul Hughes Autobody News Ripples from the late June ransomware attack on auto dealership software provider CDK Global spread to the independent collision repair shops that buy OEM parts from their local dealerships, which struggled with a supply chain disruption on a scale not seen before.
them — a $100,000 GMC Denali is waiting on door clips, which nobody is sure are in the warehouse. In the days following the attack, he was able to take delivery of “$20,000 worth of parts, and it’s on a paper ticket” because dealer computers were down, forcing them to revert to manual processes, causing significant operational slowdowns and customer service delays.
42 YEARS
Vol. 42 / Issue 8 / August 2024 REGIONAL NEWS
ABAT Raising Funds To Target Right To Appraisal Bill in Texas in 2025 By Leona Scott Autobody News
The Auto Body Association of Texas (ABAT) is gearing up for a busy legislative season in 2025 by establishing a fund to support its legislative activities. The fund is mainly aimed at backing the Right to Appraisal (RTA) bill, a crucial initiative that would mandate all automobile insurance companies to include it in their policies. This bill ensures consumers can engage an unbiased thirdparty appraiser to determine the appropriate repair scope for their vehicles, counterbalancing the insurance companies’ influence. It also benefits shops, because if
the third-party appraiser determines the consumer should get more for their claim, the shop is paid more, easing its cost complete a safer repair to OEM standards. “The Right to Appraisal bill is at the top of our legislative agenda for 2025,” said ABAT President Burl Richards, owner of Burl’s Collision Center in Henderson, TX. “It’s about ensuring consumers have a fair and unbiased assessment of their vehicle repairs, beyond what insurance companies might dictate.” ABAT Executive Director Jill Tuggle said the funds raised will be pivotal in educating legislators and providing data to illustrate the necessity of the Right to Appraisal. “We need to make l CONTINUED ON PAGE 25
REGIONAL NEWS
Kious Kountry Auto Collision Center Inc., in Waukon, IA, immediately upped its liability insurance to cover the uptick in vehicles sitting on its property, waiting for parts the shop couldn’t order from dealerships in the wake of the attack.
“It’s caused huge disruptions — massive problems across the country,” said Beau Bennett, owner of Kious Kountry Auto Collision Center Inc., a 16,000-square-foot shop in Waukon, IA, that relies on two dealers for parts, as “95% of the parts I put on are OEM,” he said. Bennett had to immediately boost liability insurance as the number of vehicles stored onsite at his shop grew, held up by the sudden inability to get some of the parts to finish
“It’s not [dealers’] fault,” Bennett said. He’s worked with his vendors for 30 years and intends to stick with them. In the late night hours of June 18, continuing through June 21, Illinoisbased CDK Global Inc., a software and data provider to 15,000 automotive dealerships, was hit by several cyber attacks, leading CDK to shutter its system, including software, data
Meridian Tech’s Collision Repair Program Revitalized With Community Effort By Leona Scott Autobody News
The average age of a collision repair technician is 44, and more than 60% of the collision repair labor force is more than 40, according to Zippia. com — meaning there is an urgent need to train the next generation to fill the industry’s growing vacancies. In Stillwater, OK, and its surrounding communities, local body shop professionals recognized this
l CONTINUED ON PAGE 27
l CONTINUED ON PAGE 4
Meridian Tech’s Collision Repair Technology program now offers a comprehensive, hands-on learning experience
INSIDE THIS ISSUE 12
14
Columnist Mike Anderson: Post-Crash Inspections Find Multiple ‘Deformed’ but Undeployed Airbags Columnist Abby Andrews: Finding Your Collision Repair Shop’s Niche
Could Be Key to Success
6
Columnist Stacey Phillips Ronak: How to Ensure Your Collision
26
Columnist John Yoswick: Collision Shop Owners Create Work-Life
Repair Business Has a Future
Balance, Offer Superior Benefits to Attract, Retain Techs
PERMIT #288 ANAHEIM, CA
PAID
Change Service Requested P.O. BOX 1516, CARLSBAD, CA 92018
PRESORTED STANDARD U.S. POSTAGE