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Vol. 37 / Issue 8 / August 2019
VT Auto Shop Owner Scores Victory in Campaign Against Short-Pay by Insurers
Speakers at Southern CAA Meeting Discuss “The New Battleground”
by Alan J. Keays, VTDigger.org
by Victoria Antonelli
The Vermont Supreme Court has sided with a body shop in its latest legal challenge to a national insurance company over claims the firm failed to pay enough to cover needed repairs to vehicles that had been in collisions. The case has been working its way through the state’s legal system for about four years, starting in 2015 when Parker’s Classic Auto Works of Rutland brought suit against Nationwide Mutual Insurance Co., which is based in Ohio.
Mike Parker, the repair shop’s owner, said Monday he recently got a call from his attorney, Robert McClallen of Rutland, letting him know of the high court’s ruling. “I was like finally, ‘Hallelujah,’” Parker said. The suit against Nationwide was brought by Parker’s on behalf of consumers in instances where the insurer refused to pay the full amount of the repairs the shop made to vehicles. It’s a practice known as short-pay. The Nationwide lawsuit is part of an ongoing campaign by Parker’s See Short-Pay By Insurers, Page 12
SCRS Event Discussion on Insurance Regulation, Workforce Development by John Yoswick
Body shop associations and automakers increased efforts this year to get state legislation that would mandate
the use of OEM repair procedures for collision repair claims. Since these efforts, insurance regulators in some states have shared written statements
relative to any such obligation on insurers. Insurance regulatory agencies in about half of all states have responded to a letter the Society of Collision Repair Specialists (SCRS) sent out last year asking, among other things, if anything in their state “holds insurers and insurance policies sold in your state accountable to recognize manufacturer documented procedures as a basis for settling claims.” During a SCRS event earlier this year, the association’s Aaron Schulenburg said the written responses See SCRS Event Discussion, Page 44
Scott Simmons from Collision Advice was the first speaker. SimSeveral prominent industry members mons has conducted 50 education took the podium on May 2 to edu- courses already this year and is on cate the southern California Auto- track to complete 70 before 2020, body Association (CAA) attendees he said. During his trainings, Simon the importance of implementing mons stresses the importance of OEM standards—the latest operating from a “negotivehicle technology from ation and cultural change perspective.” manufacturers—and I-CAR “The purpose of my porupdates that prepare technition is to get shops to rethink cians for the future. their approach to training as The evening began with well as how they approach a meet and greet and Italiantheir thought process for nestyle dinner at Craftsman Scott Simmons of gotiations,” he said. Collision in Long Beach, CollisionAdvice Simmons asked the audiCA. Later on around 7 p.m., Melanie Allan, chapter president and ence, “Do we agree that what we’re vice president of business develop- working on is the same as five years ment & sales at Craftsman Collision, ago, last year or even last month?” The crowd of 50 attendees anread the antitrust laws and led the Pledge of Allegiance. See “The New Battleground”, Page 23
Uncertain Times for U.S. Auto Industry by Dave Leggett, just-auto
A new Edmunds report says 2019 has been a year of contrasts for automakers as they struggle to find a new normal amid rising interest rates, waning demand, dramatic growth in the used market and uncertain government policies. “Automakers are fighting a war on multiple fronts right now: Old cars are piling up on dealer lots, a glut of affordable off-lease vehicles are luring shoppers into the used market and even with the Fed anticipated to lower rates in July, higher interest rates are here to stay,” said Jeremy Acevedo, Edmunds’ manager of industry analysis. “Strong economic indicators such as consumer confidence and low unemployment are keeping sales at historically elevated levels, but automakers have also been relying too heavily on fleet
sales to keep these numbers up which isn’t a sustainable model.” According to Edmunds data, new vehicle sales are down 2.4% year-over-year through May and Edmunds analysts maintain their forecast that 16.9 million new vehicles will be sold in 2019. In addition to a deeper dive into sales figures, the Midyear Report also reveals: A strong economy is propping up what could be an even weaker auto market. Unemployment is at 3.6% - the lowest it’s been since 1969. Consumer sentiment is at its highest level of 2019. Elevated inventory levels are setting the stage for attractive deals this summer. Even though inventory dipped below 4 million units in May, analysts say this is still too high given current demand. Interest rates are making it more expensive for auSee Uncertain Times, Page 20
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AUGUST 2019 AUTOBODY NEWS / autobodynews.com
CONTENTS REGIONAL
AAPEX 2019 to Recognize Exhibitors. . . . . . . . 62
Auto Burns Behind Locked Gate at Body Shop. . 6
Another Success: CAWA’s Summer Educational
Expansion for Tripp’s Body Shop . . . . . . . . . 14 Main Auto Body Moves Into Albany, OR, Location . . . . . . . . . . . . . . . . . . . . . . . . . . . 18
Forum and Leadership Meeting. . . . . . . . . . 14
Dr. Ricki Garrett’s Focus on Education
Sacramento County Says It’s Illegal to Work
Industry Model . . . . . . . . . . . . . . . . . . . . . . 57
“The New Battleground” . . . . . . . . . . . . . . . . 1 Students at Contra Costa College Receive Sikkens Autowave Training . . . . . . . . . . . . . 16 Two Earthquakes Do Auto Glass Damage in California . . . . . . . . . . . . . . . . . . . . . . . . . 6 YANG Holds Meet-Up in Goleta, CA, in Conjunction With CAWA Conference . . . . . . . 6
ECS Renews Commitment to CIECA . . . . . . . . 56 Famous American Auto Executive Lee Iacocca Dies at the Age of 94. . . . . . . . . . . . . . . . . . 22 Ford Stresses Importance of Glass Repairs . . . 64 GEICO’s Florida Fraud Case May Get a New Date. . . . . . . . . . . . . . . . . . . . . . . . . 48 GM, Owens Partner for Debt-Free Path to Auto-Tech Jobs . . . . . . . . . . . . . . . . . . . . 56 Jason Bartanen Moves From I-CAR to Collision Hub. . . . . . . . . . . . . . . . . . . . . . . . 50
COLUMNISTS Anderson - Building Trust Through Online Reviews, OEM Certifications . . . . . . . . . . . . 38 Attanasio - Marketing Guru Schools Shops on All Things Google . . . . . . . . . . . . . . . . . . 46 Ledoux - An Industry in Constant Flux - A 1970s Perspective. . . . . . . . . . . . . . . . . 42 Ledoux - Need Techs? HD Shops Have the Advantage. . . . . . . . . . . . . . . . . . . . . . . 52 Sisk - ASA Webinar Wednesday Addresses Belt Slip . . . . . . . . . . . . . . . . . . . . . . . . . . . 40 Sisk - Mike Anderson and Impacted Shop Owner Warn Industry of Computer
ltedesco@autobodynews.com
www.autobodynews.com
of Autonomous Vehicles . . . . . . . . . . . . . . . . 4
& Training Helps MSCRA Become
Speakers at Southern CAA Meeting Discuss
AUTOBODY
Are We Programming Killer Cars? The Ethics
New Nevada Law Protects Marijuana Users . . 14
on Your Own Car in Your Own Garage . . . . . 20
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Publisher & Editor: Jeremy Hayhurst General Manager: Barbara Davies Contributing Writers: John Yoswick, Janet Chaney, Toby Chess, Ed Attanasio, Chasidy Sisk, David Luehr, Stacey Phillips, Victoria Antonelli, Gary Ledoux Advertising Sales: Joe Momber, Bill Doyle, Norman Morano, Kelly Hall (800) 699-8251 Office Manager: Louise Tedesco Digital Marketing Manager: Bill Pierce Art Director: Rodolfo Garcia Graphic Designer: Vicki Sitarz Online and Web Content Editor: Alexis Wilson Accounting Manager: Heather Priddy Editorial/Sales Assistant: Randi Scholtes Office Assistant: Dianne Pray
Serving Alaska, California, Hawaii, Idaho, Montana, Nevada, Oregon, Washington and Wyoming. Autobody News is a monthly publication for the collision industry. Permission to reproduce in any form the material published in Autobody News must be obtained in writing from the publisher. ©2019 Adamantine Media LLC.
Accuvision-3D . . . . . . . . . . . . . . . . . . . . . . . . 28
Hyundai of Seattle . . . . . . . . . . . . . . . . . . . . . 51
Alloy Wheel Repair Specialists, LLC . . . . . . . . 33
Hyundai Wholesale Parts Dealers . . . . . . . . . . 64
Anchorage Chrysler-Dodge-Jeep-Ram. . . . . . 12
Industrial Finishes and Systems . . . . . . . . . 7, 68
Audi Burlingame . . . . . . . . . . . . . . . . . . . . . . 49
Kearny Mesa Subaru-Hyundai . . . . . . . . . . . . 45
Audi Wholesale Parts Dealers. . . . . . . . . . . . . 63
Kia Motors Wholesale Parts Dealers . . . . . 54-55
AutobodyLaw.com . . . . . . . . . . . . . . . . . . . . . 52
Kia of Carson . . . . . . . . . . . . . . . . . . . . . . . . . 46
AutoNation Collision Parts . . . . . . . . . . . . . . . 19
Larry H. Miller Chrysler-Jeep-Dodge-Ram . . . 18
AutoNation Roseville. . . . . . . . . . . . . . . . . . . 8-9
Launch Tech USA . . . . . . . . . . . . . . . . . . . . . 67
Axalta Coating Systems . . . . . . . . . . . . . . . . . . 5
Mazda Wholesale Parts Dealers . . . . . . . . . . . 62
Blowtherm USA . . . . . . . . . . . . . . . . . . . . . . . 41
Mercedes-Benz Wholesale Parts Dealers . . . . 62
BMW Wholesale Parts Dealers . . . . . . . . . . . . 56
MINI Wholesale Parts Dealers. . . . . . . . . . . . . 56
Car Pros Kia. . . . . . . . . . . . . . . . . . . . . . . . . . 38
MOPAR Wholesale Parts Dealers . . . . . . . . . . 37
Car Pros Kia Renton. . . . . . . . . . . . . . . . . . . . 30
Moss Bros. Chrysler-Jeep-Dodge. . . . . . . . . . 27
Certified Automotive Parts Association . . . . . . 14
Nicolosi Distributing, Inc. . . . . . . . . . . . . . . . . 30
Chrysler-Dodge-Jeep-Ram of Seattle. . . . . . . 51
Nissan/Infiniti Wholesale Parts Dealers. . . . . . 59
Classifieds . . . . . . . . . . . . . . . . . . . . . . . . . . . 66
Penske Hyundai . . . . . . . . . . . . . . . . . . . . . . . 32
Colortone Automotive Paints . . . . . . . . . . . . . . 6
Porsche Burlingame. . . . . . . . . . . . . . . . . . . . 49
Autobody News P.O. Box 1516 Carlsbad, CA 92018 (800) 699-8251 (760) 603-3229 Fax www.autobodynews.com editor@autobodynews.com
Kelly Hall Joins Autobody News in Sales Management . . . . . . . . . . . . . . . . . . . 10 Mike’s Body Shop Gives Coast Guard SA a ‘Nearly New’ Vehicle. . . . . . . . . . . . . . . . . 10 Mini Dealership Sues BMW Because It Had No Choice . . . . . . . . . . . . . . . . . . . . . 62 Mitsubishi to Relocate US Headquarters . . . . . 64 Courtesy Chevrolet San Diego . . . . . . . . . . . . 36
Porsche Wholesale Parts Dealers . . . . . . . . . . 60
ProCare Collision Announces Rebranding . . . . 22
Cutter Chrysler-Dodge-Jeep-Ram . . . . . . . . . 24
PPG Refinish . . . . . . . . . . . . . . . . . . . . . . . . . . 2
SCRS Event Discussion on Insurance
Dave Smith Motors . . . . . . . . . . . . . . . . . . . . 43
Puente Hills Subaru . . . . . . . . . . . . . . . . . . . . 50
DCH Auto Group Temecula . . . . . . . . . . . . . . . 40
Sandberg Volvo Cars . . . . . . . . . . . . . . . . . . . 18
Dent Fix Equipment . . . . . . . . . . . . . . . . . . . . 39
SATA Dan-Am Company. . . . . . . . . . . . . . . . . 25
Truck Driving Could Soon Be a Desk Job . . . . . 62
Downtown Motors of LA (Audi, VW) . . . . . . . . 44
Sierra Chevrolet-Honda-Subaru . . . . . . . . . . . 48
Uber Reveals First Fully Autonomous Car
Eckler’s Automotive . . . . . . . . . . . . . . . . . . . . 29
Spanesi Americas . . . . . . . . . . . . . . . . . . . . . 23
ECS Automotive Concepts . . . . . . . . . . . . . . . 22
Subaru Wholesale Parts Dealers. . . . . . . . . . . 57
Regulation, Workforce Development . . . . . . . 1
in Partnership With Volvo. . . . . . . . . . . . . . . . 4 Enterprise Rent-A-Car . . . . . . . . . . . . . . . . . . 42
Symach . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 10
Uncertain Times for U.S. Auto Industry . . . . . . . 1
Equalizer Industries, Inc. . . . . . . . . . . . . . . . . 16
Tacoma Dodge-Chrysler-Jeep-Ram . . . . . . . . 31
Volvo Trucks’ Cabin-Less Self-Driving
First Auto Group. . . . . . . . . . . . . . . . . . . . . . . 13
The Bay Area Automotive Group . . . . . . . . . . . 53
Ford of Kirkland . . . . . . . . . . . . . . . . . . . . . . . 51
Tonkin Parts Center . . . . . . . . . . . . . . . . . 20-21
Ford Wholesale Parts Dealers. . . . . . . . . . . . . 61
U.S. Chemical & Plastics . . . . . . . . . . . . . . . . 11
VT Auto Shop Owner Scores Victory
Galpin Motors . . . . . . . . . . . . . . . . . . . . . . . . 47
USI of North America . . . . . . . . . . . . . . . . . . . 17
Accelerates Response to Takata
in Campaign Against Short-Pay
Glenn E. Thomas Dodge-Chrysler-Jeep . . . . . 15
Vintage Flatz/Cumberland Products . . . . . . . . 26
GM Wholesale Parts Dealers . . . . . . . . . . . . . 65
Volkswagen Wholesale Parts Dealers . . . . . . . 58
Airbag Recall. . . . . . . . . . . . . . . . . . . . . . . . 64
by Insurers . . . . . . . . . . . . . . . . . . . . . . . . . . 1 Honda-Acura Wholesale Parts Dealers . . . 34-35
Volvo Wholesale Parts Dealers . . . . . . . . . . . . 56
Ransom Scheme. . . . . . . . . . . . . . . . . . . . . 36
NATIONAL $5 Million in Digital Gift Card Incentives
1st Class Auto Glass Becomes AGSC Member. . 18
Hauler Takes on Its First Job . . . . . . . . . . . . 60
WAC’s June Meeting Focused on Generation Z. . 33
Hyundai of Kirkland . . . . . . . . . . . . . . . . . . . . 51
autobodynews.com / AUGUST 2019 AUTOBODY NEWS
3
Are We Programming Killer Cars? The Ethics of Autonomous Vehicles Currently, Tesla cars are equipped with the necessary hardware for auOver the past several years, more and tonomous driving, but software upmore autonomous features have been dates are required to fully enable the feature. While it will allow fully auembedded in cars. tonomous driving, it will allow the human driver to take control when the situation calls for intervention. The next generation of autonomous vehicles, however, would not need steering wheels, pedals or transmissions. The advantage of such cars is the possibility of reducing accidents and providing necessary transportation for people who are incapable Currently, Tesla cars are equipped with the necessary hardware for autonomous driving, but software updates of driving. are required to fully enable the feature. Credit: Tesla / However, the downside YouTube is that the necessity for the human agency that sets up A Techopedia article reported the car’s programming to foresee all that even earlier Tesla cars con- possible scenarios and to direct the tained “the necessary hardware for car will inevitably cause some form autonomous driving,” though acti- of harm. vating the ability depended on a software update. The article also en- Self-Driving Cars and the Trolley visioned the difference between the Problem way autonomous cars built today Ideally, drivers avoid hitting anything will differ from the ones in the fu- or anyone. But it is possible to find oneself in a situation in which it is ture. by Ariella Brown, Interesting Engineering
impossible to avoid a collision, and the only choice is which person or people to hit. This ethical dilemma is what is known as the Trolley Problem, which, like the trolley itself, goes back over a century. It’s generally presented as follows:
one person.
You see a runaway trolley moving toward five tied-up (or otherwise incapacitated) people lying on the tracks. You are standing next to a lever that controls a switch. If you pull the lever, the trolley will be redirected onto a side track and the five people on the main track will be saved. However, there is a single person lying on the side track.
child running into the street, which forces the car to hit something but allows it to choose between the child and a van on the road. For a human that should be a no-brainer that protecting the child is more important than protecting the van or the autonomous car itself.
“These are very tough decisions that those that design control algorithms for automated vehicles face every day.” — Chris Gerdes
You have two options: 1. Do nothing and allow the trolley to kill the five people on the main track; 2. Pull the lever, diverting the trolley onto the side track where it will kill
Uber Reveals First Fully Autonomous Car in Partnership With Volvo by Jessica Miley, Interesting Engineering
Uber has presented the latest member of its self-driving car fleet at its annual Elevate conference. The self-driving Volvo XC90 SUV is the first Uber vehicle designed without the need for a driver. The autonomous car was designed in collaboration with Swedish carmaker, Volvo. Uber’s self-driving car program was suspended in 2018 after an autonomous car, under human supervision hit and killed a pedestrian in Arizona. The program is back in operation and Uber says that the new generation of self-driving cars will be hitting the roads in higher numbers from 2020. Currently, they are only being tested on public roads in Pittsburgh. Volvo and Uber Strike in Robo-Taxi War “What it looks like from the outside isn’t much different, but what’s going 4
on inside enables us to run our full autonomy system—things like 360 degrees of camera coverage, 360 degrees of LiDAR and radar,” Uber ATG CEO Eric Meyhofer said at the Elevate Summit. “These give the vehicle everything it needs in order to operate autonomously,” he added. Uber will take the XC90 base vehicle and equip it with its own self-driving system, enabling the possible future deployment of self-driving cars in Uber’s network as an autonomous ridesharing service. An important feature of the XC90 is its comprehensive backup systems for both steering and braking function. The battery system is also equipped with a backup that ensures that the car can come to a safe and complete stop immediately if any of the primary systems fail. Volvo on Board for Safer Roads
AUGUST 2019 AUTOBODY NEWS / autobodynews.com
What Should the Self-Driving Car Do? Chris Gerdes, a professor at Stanford University who has been looking into the ethical dilemmas among self-driving cars, offered a reasonable choice: that of dealing with a
“We believe autonomous drive technology will allow us to further improve safety, the foundation of our company,” said Håkan Samuelsson, president and chief executive officer of Volvo Cars.
But what would the AI think? Gerdes observed, “These are very tough decisions that those that design control algorithms for automated vehicles face every day.” We thank Interesting Engineering for reprint permission.
2019 and 2021.
Uber Needs High-End Partners “Working in close cooperation with companies like Volvo is a key ingredient to effectively building a safe, scalable, self-driving fleet,” Meyhofer said. “Volvo has long been known for its commitment to safety, which is the cornerstone of their newest production-ready self-driving base vehicle. When paired with our self-driving technology, this vehicle will be a key ingredient in The self-driving Volvo XC90 SUV is the first Uber vehicle Uber’s autonomous proddesigned without the need for a driver. Credit: Courtesy uct suite.” of Volvo Uber is pushing for a driver free future as one “By the middle of the next way for the company to become fidecade, we expect one-third of all the nancially viable. The race is on for cars we sell to be fully autonomous. who will be able to launch an effecOur agreement with Uber underlines tive ‘robo taxi’ fleet first. Waymo, another autonomous our ambition to be the supplier of choice to the world’s leading ride- vehicle development company is testing heavily, despite a lot of push hailing companies.” Volvo and Uber entered a part- back from local communities. nership in 2016 and in 2017. Volvo signed a ‘framework’ agreement with We thank Interesting Engineering for Uber to sell a fleet of cars between reprint permission.
autobodynews.com / AUGUST 2019 AUTOBODY NEWS
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Auto Burns Behind Locked Gate at Body Shop by Staff, Daily News
Los Angeles firefighters responded to a report of a burning auto at a Mission Hills, CA, body shop early on Wednesday, June 26, only to find the flaming vehicle behind a locked security gate.
Credit: Rick McClure / Los Angeles Daily News
LAFD firefighters used hoses to put water on the blaze through the metal gate and managed to extinguish the fire in about ten minutes, according to a photographer at the scene. They also used a rotary saw to cut the lock and gain entry to the property. There were no injuries. We thank the Daily News for reprint permission.
YANG Holds Meet-Up in Goleta, CA, in Conjunction With CAWA Conference by Chasidy Rae Sisk
On June 20-21, the Young Auto Care Network Group (YANG) hosted its semi-annual Regional Meet-up in conjunction with CAWA’s Leadership Conference in Goleta, CA. According to YANG’s Michael Rukov,
within the industry to network with future leaders. “Everyone enjoyed the extra time to network on a more private level,” Rukov said. “Every YANG Regional Meet-up is different, and there are multiple reasons for this. In general, we want to make sure that YANG members build relationships with their peer group and continue helping each other grow. This is similar to any of our industry networking activities geared toward future lead-
YANG hosted its semi-annual Regional Meet-up in conjunction with CAWA’s Leadership Conference in Goleta, CA, on June 20-21. Credit: YANG
senior executive account manager for RepWorks Marketing, “This event is always well attended and is open for all CAWA and YANG members. In fact, YANG members are able to participate in all CAWA activities free of charge.” Rukov said this year YANG decided to hone in on networking. The organization was able to get leaders
The focus of YANG’s West Coast Meet-up was to provide an opportunity for networking among young industry professionals. Credit: YANG
ers.”
YANG’s Regional Meet-ups provide an outlet to bring young industry professionals together to voice their input for the industry. Rukov pointed
out, “Most of the YANG members have not yet reached high-level positions in their companies that would allow them to be exposed to the industry at large, and yet, these industry events dictate what the future will look like in our industry.”
The event went better than anticipated with the dialogue flowing naturally. Rukov stressed, “CAWA is the first line of defense in the automotive industry because many things that happen on the California Hill leaks out to the rest of the country. Our battles here are real, and that is why these leadership meetings are so important. YANG Regional Meet-ups at CAWA will continue to improve and will help guide the future of the industry and our association.” For more information about YANG and its future events, visit autocare.org/yang.
Two Earthquakes Do Auto Glass Damage in California by Emmariah Holcomb, glassBYTEs.com
California experienced two earthquakes over the Fourth of July holiday weekend. According to Key Media & Research, California has more auto glass shops than any other state in the U.S., as well as the largest number of registered vehicles. World Population Report notes that approximately 60% of the state’s total population lives in the Southern California region. It’s not uncommon for high magnitude earthquakes to impact southern California. In fact, one is expected every three to five years. The United States Geological Survey Earthquake Hazards Program released a statement saying “over the past four decades there have been earthquakes of magnitude five or higher in southern California.” Accuweather reports indicate the most recent earthquakes took place in a less populated area of Ridgecrest, CA. Although there are only a few auto glass businesses in that area, it was the most nearby city to the epicenter of the earthquake. However, its effects were felt in many areas throughout Southern Cali6
fornia, as well as Nevada and Arizona. Several auto glass businesses in Ridgecrest are still dealing with the earthquake’s aftermath. The staff at Teresa Ridgecrest Autobody, mentioned that “things are a little hectic right now.” When other businesses in the area were contacted by glassBYTEs it wasn’t uncommon to learn that they too were busy. According to Desert Sun, roads and buildings suffered the most damage, with glass blown out of some buildings in Kern County, CA. A representative for Kern Glass in Bakersfield, CA, said the company hasn’t received any calls about broken glass due to the earthquake. 702 Glass & Windows, a glass shop based in Las Vegas, wished people well on its Facebook page and asked people to give them a call if any windows, glass or mirrors needed to be replaced. When we reached out to the company inquiring if they’d yet received any calls, a representative said they had not. The California Department of Insurance encourages those with questions on their automotive earthquake coverage to reach out. We thank glassBYTEs.com for reprint permission.
AUGUST 2019 AUTOBODY NEWS / autobodynews.com
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autobodynews.com / AUGUST 2019 AUTOBODY NEWS
9
Mike’s Body Shop Gives Coast Guard SA a ‘Nearly New’ Vehicle by Ed Attanasio
Mike’s Auto Body’s nationally recognized Benevolence Program has given away 81 vehicles to deserving individuals, families and non-profit organizations over the past 19 years.
Coast Guard SA Austin Stewart and his deserving family celebrate. Credit: Ed Attanasio
Mike’s presented the vehicle on the Coast Guard Island in Alameda, CA. Mike’s Sal Contreras and Dane Dearlove coordinated the car presentation. Contreras has been one of the coordinators of the shop’s Benevolence Program since day one, but this presentation stands out in many ways, he said.
Coast Guard SA Austin Stewart received a completely refurbished 2014 Honda Accord as part of Mike’s Auto Body’s Benevolence Program. Credit: Ed Attanasio
Yet again, this MSO with 16 locations in the San Francisco Bay Area, gave a deserving family a “Gift of Charity Wrapped in Dignity.” On May 17th, Coast Guard SA Austin Stewart received a refurbished 2014 Honda Accord. In honor of the Coast Guard Chief’s 99th Anniversary,
“It was a great opportunity to partner with the Chief’s by helping them celebrate their anniversary and thanking them for their service by giving a car to one of their own Coastie family,” Contreras said. “Austin Stewart is a worthy recipient.” Dearlove said he was delighted to be able to help a member of the
Kelly Hall Joins Autobody News in Sales Management
tently increased unit sales and sales revenue. Most recently, she spent Autobody News is excited to intro- time at Cars.com in San Diego as duce you to our newest Regional a digital media senior representative where she was responsible for Sales Manager, Kelly Hall. the growth of new acKelly comes with an count sales, while advisextensive sales background ing GM/owner principles in the automotive industry. on best practices. She has been responsible Kelly has the experifor sales development and ence and passion needed client servicing in the field to thrive at Autobody for 15+ years. In addition, News. She is very enthushe has expertise in B2B siastic to begin calling on sales and marketing. Autobody News’ regional and national acSpecifically, she has Regional Sales worked at Riverside Lexus Manager, Kelly Hall counts as a sales representative here. and Tustin Lexus as Fi“I’m ready to start working nance Manager. There she was responsible for selling value-add retail alongside the team and utilizing my options and facilitating the financing skills,” Kelly said. “I am all about growing and of sold vehicles. Then she worked at LoJack Corporation, a stolen vehicle Autobody News is the perfect place recovery system, where she consis- to do just that.” by Autobody News Staff
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AUGUST 2019 AUTOBODY NEWS / autobodynews.com
Coast Guard with Mike’s 81st car giveaway.
car shows it.” Owner Mike Rose is proud of what his company has achieved for nearly two decades. “It’s been so rewarding presenting cars to deserving families and single parents who are working to improve their skills and become independent,” Rose said. “We are delighted to be associThe technicians, painters and managers at Mike’s Auto ated with the Coast Guard Body’s donated their own time to refurbish the 2014 and to be giving a car to the Honda Accord. Credit: Ed Attanasio recipient.” Mike’s Benevolence Program is a community relations program whose mission is to present refurbished newly-used cars to deserving individuals or organizations. Everything is donated; the cars, parts, paint, mechanical inspections, tires and one full year of insurance. In addition, the body and paint technicians donate their time and talents. The Benevolence car came with gifts in the Upcoming Benevolence presentrunk and one year of auto insurance. Credit: tations will be on Veteran’s Day and Ed Attanasio during the Christmas holiday. For “It was a wonderful day and a great more information about the comevent to be involved in,” Dearlove said. pany’s Benevolence Program, please “There is no doubt that our Alameda visit them at: www.mikesautobody shop does outstanding work and this .com.
autobodynews.com / AUGUST 2019 AUTOBODY NEWS
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Continued from Cover
Short-Pay By Insurers
Classic Auto Works in recent years involving similar claims against other insurance companies for collision repairs. According to Parker’s website, the shop has broken away from a “direct repair program,” that the company says “become subject to insurance company demands such as the repair of parts that should be replaced, using after-market parts, or salvaged parts.” The website added, “In our experience, these practices are done to improve the bottom line of the insurance company and offer no benefit or savings to the consumer. In fact, such actions can adversely affect the safety and value of the vehicle.” In the Nationwide case, Parker sued for a little more than $40,000 in denied payments. The lawsuit listed more than 70 names of people who sought payment for vehicle repairs between 2009 and 2014. In those cases, the lawsuit stated, Nationwide failed “to pay the full
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ruled in favor of Parker’s. “With no definition of ‘damage’ in the policy, we construe this term consistently with general principles of the law of remedies, interpretations of the standard collision-insurance policy as a whole, particularly the limitation-of-liability clause,” the decision stated. “We conclude that ‘damage’ here means the amount of money needed to repair an insured vehicle to preaccident condition,” according to the ruling, “not to exceed Mike Parker in a promotional video on Parker’s Classic the value of the vehicle beAuto Works Facebook page fore the accident.” It’s not Parker’s largest victory “Each insured, in consideration of being able to take possession of his yet in his battle against insurance or her vehicle, assigned (Parker’s) the companies over short pays. He preright to proceed against (Nationwide) vailed in 2015 in a three-year fight in order to collect the amount due and against Allstate for $53,000 in a lawowing for repair of the insured vehi- suit he brought on behalf of 70 consumers. cle,” the lawsuit stated. In fact, this is Parker’s fifth lawNationwide, in court records, denied owing the money to Parker’s suit against a national insurance company, and it’s the fifth time he’s won. auto shop. ‘I’m five for five,” Parker said The Vermont Supreme Court, in a recent 14-page unanimous decision Monday. Though, he added, the Nationauthored by Justice Karen Carroll, amount of the repair to the insured.” In each case, Nationwide paid the amount it believed it owed, but not the full amount sought by Parker’s.
AUGUST 2019 AUTOBODY NEWS / autobodynews.com
wide case is the first to make it all the way to the Vermont Supreme Court. Meanwhile, he has four other cases with national insurers still pending, including lawsuits against Progressive and Travelers. And, he said, over the years he has reached several settlements with other insurance companies but can’t talk about those do to confidentiality agreements. Parker said how the Vermont Supreme Court ruling will affect the other cases that remain pending remains unknown. ‘They were all waiting to see what was going to happen,” he said. “They were all hoping we were going to lose this.” Parker started bringing such legal actions against insurance companies for “short pays” several years ago. Since then, some insurance companies have started paying for the needed procedures they wouldn’t have paid for in the past, according to Parker. But, he said, others have taken different actions in response to his actions. “Some insurance companies try to steer away from us,” he said. “They
try to get people not to come here.” But Parker said, he isn’t deterred. “Everything we do is necessary,” he said, adding, “This is trying to get what was owed to begin with to bring the car back to pre-loss condition.” McClallen, Parker’s attorney, could not be reached Monday seeking comment. Also, Eric Boron, a Buffalo, New York, attorney, listed in court records as lead counsel for Nationwide, did not return a call Monday seeking comment. Marilyn Miller, executive director of the Vermont Vehicle and Automotive Distributors Association, said Monday she was still reviewing the details of the decision. “I do know this has been something that Mr. Parker has been fighting for,” said Miller, whose organization is a trade association representing the interests of the auto industry, including new and used car and truck dealers as well as auto shops and parts facilities. “I’m impressed that Mr. Parker has stuck with it this long and really saw it through to the end,” Miller said. “I think this is a positive thing,” Miller added, “certainly for independent (auto shops) and for anybody in
the business of repair when an insurance carrier is not willing to reimburse you what is a legitimate parts and labor cost.” In 2017, a jury following a twoday trial in Rutland County Superior civil court also sided with Parker’s in its dispute with Nationwide, awarding the auto shop $41,737. However, Judge Helen Toor later overturned that jury ruling, granting a motion for judgment “as a matter of law.” The judge stated that the insurance policies required the firm to pay “an amount [defendant] determined was sufficient to do the repairs,” according to the high court’s decision. And, that judge ruled, those insured could not sue Nationwide for money that “were entirely within” the firm’s “discretion to award.” The state’s highest court took a different view, ruling in part, that the policies lacked provisions allowing for challenges on how much was sufficient to be paid for a repair. “The trial court interpreted the insurance policy, which was silent on the matter, to only require defendant to pay ‘an amount [defendant] deter-
FIRST HONDA
mined was sufficient to do the repairs’,” according to the decision. “We disagree with this construction,” the ruling added. “Just as we will not rewrite an insurance policy in favor of an insured, we also cannot rewrite a policy in favor of an insurer.” And during the trial, the decision stated, Parker provided records for his charges. “Mr. Parker, the owner of the repair shop, testified on direct examination to his experience repairing vehicles and to the billing and repair processes employed in his shop,” the ruling stated. “He compared,” the decision added, “in some respects, the practices employed in his shop to those used by defendant’s claims adjuster.” Michael Pieciak, commissioner of the Vermont Department of Financial Regulation, said Monday he didn’t see the decision as precedent setting beyond the policy at issue in the case. The commissioner called it a “classic contract dispute,” in which the policy did not spell out some of the key terms, such as defining the
FIRST KIA Collision Parts that Shine
word “damage,” so the high court went ahead and did that. Typically, Pieciak said, such terms are laid out in great detail in policies and contracts. “It just so happens in this case it wasn’t that clear,” the commissioner said. Nationwide also contended it was not required to pay both “repair and labor costs” since the policy provided for payment of labor costs under the towing clause but not the “collisioncoverage insuring” clause. Justice Carroll, in the decision, rejected that argument. “Labor is an indispensable component of the cost to make a repair,” Carroll wrote. “Moreover, defendant’s opening statement and the only witness that defendant offered at trial effectively admitted that the policy covers, to some degree, labor costs for making a repair.” We thank VTDigger.org for reprint permission.
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Grass Valley, CA, Commissioners OK Delayed Expansion for Tripp’s Body Shop by Liz Kellar, The Union
Tripp’s Auto Body Shop had just purchased a new location on Freeman Lane in Grass Valley, CA, with plans to expand when disaster struck in the form of a giant sinkhole in January 2017. The 100-foot-deep sinkhole off Freeman Lane, which was caused by the failure of a culvert under Highway 49, caused a more than two-year delay in the business’ plan to add an automobile repair component to its business. But Tripp’s now is moving forward, getting an OK for a development review permit and use permit amendment for a 4,700-square-foot addition from Grass Valley’s planning commission on Tuesday, June 18. The building being proposed will house an auto repair shop with a canopy that connects to the existing building, said project head Rob Wood of Millennium Planning & Engineering. Grass Valley City Planner Lance Lowe said Tripp’s has provided 67 parking places, 14 more than required. The site plan currently does not meet landscaping requirements that include perimeter landscaping and one tree per every five parking spaces,
Lowe added. But because the city purchased a little more than a halfacre of the property to access the Wolf Creek Trail, Tripp’s has offered to provide additional landscaping along the southern property line, Lowe said. The project does not need an Environmental Impact Report because it’s an extension of an existing business and will have no significant environmental impacts, Lowe said. The parcel was a used car lot with a mechanic component before Tripp’s bought it, but was legally non-conforming, city staff said. Wood told the planning commissioners the new building was needed because Tripp’s has outgrown its current space. “He moved out there with the intent to expand,” Wood said. “He has been waiting for this for a long time.” In response to a question about traffic impacts, Wood said they would be “very, very minimal … I don’t think an increase would be noticeable.” Meanwhile, the city and Tripp’s are still in a legal dispute regarding some aspects of the sinkhole parcel. Grass Valley took on the responsibility for the repairs, making the decision to sculpt
Another Success: CAWA’s Summer Educational Forum and Leadership Meeting by Chasidy Rae Sisk
On June 20-21, CAWA hosted its Summer Educational Forum and Leadership Meeting at the Kimpton Goodland Boutique Hotel in Goleta, CA.
CAWA hosted its Summer Educational Forum and Leadership Meeting at the Kimpton Goodland Boutique Hotel in Goleta, CA, on June 20-21, 2019. Credit: CAWA
“The attendees were pleased with the meeting,” said Rodney Pierini, president and CEO of CAWA. “These leadership meetings are important because they bring contemporary issues to the members and industry, so they can decide for themselves what to consider implementing in their business and from their position within a company.” 14
In addition to committee and Board of Directors meetings, CAWA’s Summer Educational Forum and Leadership Meeting included a variety of seminars on contemporary automotive aftermarket issues, including “Financing Growth: Get Your Banker to Say ‘YES,’” “Automotive Aftermarket eCommerce Secrets—A Comprehensive Approach to Making Your Competitors Irrelevant,” “Understanding the Warehouseman’s Role in the Skilled Trades Supply Chain” and “The Greatest Threats Facing the Aftermarket Industry.” During the meeting, CAWA’s Board of Directors elected Young Suhr, Jr to serve as secretary for the association. “CAWA is critical to our industry and I’m so thankful to the Board for nominating and accepting me for this position,” Suhr said. CAWA’s next leadership meeting will be held in Napa, CA, on February 20-21, 2020.
For more information on CAWA and its events, visit cawa.org.
AUGUST 2019 AUTOBODY NEWS / autobodynews.com
the hole into a stable shape rather than filling it up, and then rented the property. Grass Valley had been in negotiations with Tripp’s regarding the purchase of a little more than a halfacre of the property, which stalled out over differing appraisals. Owning the parcel will allow the city to construct a maintenance road to provide access to storm drains that were put in, as well as a connection to the Wolf Creek Trail. The value of the property was in litigation for much of 2018, with the city filing an eminent domain claim and Tripp’s subsequently filing a suit against the city. The city and Tripp’s reached a mediated agreement for a $650,000 purchase price last fall. Craig Diamond, the attorney for Tripp’s, said at the time that issues still needing to be hashed out included inverse condemnation and economic damages. Court records show the case filed by Tripp’s is still open, with a settlement conference scheduled for Aug. 12 and a jury trial set for early September. We thank The Union for reprint permission.
New Nevada Law Protects Marijuana Users by Cinthia Maldonado, KTNV News
Nevada has become the first state to ban employers from refusing to hire those who fail a marijuana test. AB 132, signed by Gov. Steve Sisolak, makes it unlawful for any Nevada employer to fail or refuse to hire someone if they test positive for marijuana. There are some exceptions. Those trying to become firefighters or EMT’s cannot test positive, as well as those applying for jobs that require someone to operate a motor vehicle or jobs with the federal government. It also allows employees who are required to submit a screening test within the first 30 days of being hired the chance to take a second test, at the expense of the employee. The law goes into effect January 2020. We thank KTNV News for reprint permission.
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autobodynews.com / AUGUST 2019 AUTOBODY NEWS
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Students at Contra Costa College Receive Sikkens Autowave Training by Ed Attanasio
On June 12, AkzoNobel conducted a three-day Sikkens Autowave training seminar at Contra Costa College (CCC) in San Pablo, CA. Eight second-year students and two fledging painters from local shops completed the training program at Contra Costa College’s Automotive Collision Repair Technology School.
Technical Instructor Chris Hatch at AkzoNobel taught the training classes for the CCC students. Credit: Ed Attanasio
Technical Instructor Chris Hatch traveled from the AkzoNobel Training Center in Orange, CA, to conduct the classes and was delighted to be able to impart invaluable information to the CCC students. “I worked with the CCC students for a total of 24 hours over
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three days, so that we could dig a little deeper into all of the important topics. It was a combination of hands-on and classroom instruction. Every student received an AkzoNobel Sikkens Autowave certification upon completion.” First, on day one, we covered basics and fundamentals, where new products and techniques were discussed. On day two, we dealt with spot repairs as well as spraying strategies and on day three, the students learned about things such as color matching using AkzoNobel’s Automatchic Vision digital system that enables shops to precisely measure and match the existing color on any area of a vehicle. They were also introduced to the AkzoNobel Automatchic Smart Search color retrieval software that provides the optimum matching color formula.” “One of the primary goals of this training is to inspire the students, because this is a great industry that can provide careers that are both financially and personally rewarding,” Hatch said. “I could tell that these young people were excited and engaged throughout the entire training, which makes it so satisfying.” Akim Henderson is not a CCC
AUGUST 2019 AUTOBODY NEWS / autobodynews.com
great because it covered everything we need to know and Chris really knows his stuff. I can use this information every day on my job and be a better painter.” The training was coordinated by Laura Salas who graduated from CCC’s Automotive Collision Repair Technology Department in 2010 and was named the school’s dean in 2016. Her full title is Collision Repair Faculty and Automotive Department Chair, a position her predecessor, Peter Lock, held for 36 years. Eight second-year students and two fledging painters Salas was impressed by from local shops completed the training program at the training for its compreContra Costa College’s Automotive Collision Repair hensive approach to painting Technology School. Credit: Ed Attanasio and every aspect of the apcan. Henderson was a high school plication, curing and color matching. “This was Chris Hatch’s first football star and many felt he was headed to the NFL until he was shot time coming here and we’re so dein the chest during a drive-by. After lighted that he did,” she said. “All of working several years as a teacher’s our six, second-year students received aide, he decided to enter the collision certification from Sikkens and now repair industry for better pay and they are on their way to becoming ICAR Pro Level III. In order to reach year-round work. “I have been working at a shop that status, they need to undertake in Richmond for two years now,” some OEM training and this threeHenderson said. “This training was day training qualifies, of course.” student but he was invited to attend the workshop. He is already working for a local body shop; however, he wants to constantly refine his skills and attain as much knowledge as he
autobodynews.com / AUGUST 2019 AUTOBODY NEWS
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Main Auto Body Moves Into Albany, OR, Location General Manager and Vice President Bob Sams said more expanMain Auto Body moved into a new lo- sion could be in the works. “It’s not cation in downtown Albany, OR, in going to stop. If anything, it might late April, and the former auto dealer- pick up speed,” he added. ship at 500 Lyon St. SW is spacious, Bass credited the expansion to modern and clean. customer service and quality repairs, The renovated structure is a far which have built trust with residents. cry from the stereotype of dark and “It’s standing behind what we dirty body shops, said Manager Bryan do—a lifetime guarantee on every reBass. pair that goes through here,” he said. Main Auto Body’s new location also brings all of its operations under one roof. The shop was previously in two buildings on First Avenue and Second Avenue. The 13,000-square-foot shop on Lyon Street has a new roof, new bay doors, LED lights, drain lines, security cameras and more. Jeremy Mosley, left, and Adam Strader fit a bumper for a Subaru Outback at the new Main Auto Body “We basically had to pull the downtown Albany facility. The business now has nine electrical system out to start locations and employs more than 100 workers. over,” Bass said. “No stone’s Credit: Mark Ylen, Mid-Valley Media been left unturned to make this “There’s nothing like this around,” into a top-notch facility,” he added. he added. “You walk in here and it’s more like a doctor’s office or dentist’s office.” Besides the professional setting, the move highlights the rapid growth of the business, which was founded in 1977 at Sixth Avenue and Main Street in Albany. In the last decade, Main Cory Hooley mixes paint in the shop’s mixing room. The Auto Body has added shops in paint, which is water-based, is more environmentally Dallas, Philomath, Lincoln friendly then the solvent paints of the past. Credit: Mark City, Newport and Bend. The Ylen, Mid-Valley Media business now has nine locations and more than 100 workers, said But that took nearly a year after Bass, a 1989 graduate of South Al- the company bought the business bany High School. and property, Bass said. The Salem shop also has moved Two brand new paint rooms also into a larger and upgraded space, he were installed, and Main Auto Body added. installed state-of-the art racks and by Kyle Odegard, Albany Democrat-Herald
1st Class Auto Glass Becomes AGSC Member 1st Class Auto Glass of Kasson, MN, has joined the list of safetyconscious auto glass companies by becoming an accredited Registered Member Company of the prestigious Auto Glass Safety Council (AGSC). “By becoming a member, 1st Class Auto Glass demonstrates its commitment to the safety of its customers,” said Debra Levy, president of the AGSC. “This is an important step for 1st Class Auto Glass and
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shows that its staff values their work in completing proper and safe auto glass installations for customers.” Registered Member Companies such as 1st Class Auto Glass must demonstrate their ability and willingness to complete installations in accordance with the AGRSS Standard by undergoing random, on-site third-party validation audits at least once every four years.
AUGUST 2019 AUTOBODY NEWS / autobodynews.com
Jason Stavros to its team as assistant manager in January. He brought in years of experience with his family’s business, most recently known as Stavros Auto Services, which was sold to a Canadian firm. Stavros name recognition meant that customers of Stavros Auto Services followed him to Main Auto Body. Between Perlenfein, Bass and Stavros, the company has more than 100 years of expe(l to r) Assistant Manager Jason Stavros, Manager Bryan rience in the business. A grand Bass, and Main Auto Body Owner Steve Perlenfein have opening for Main Auto Body’s more than 100 combined years of experience in the new home on Lyon Street will industry. Credit: Mark Ylen, Mid-Valley Media be held from 11 a.m. to 3 p.m. Main Auto Body’s new building on Aug. 10. The Albany Fire Departalso has space available for rent. “It ment will be present and hold extricould be anything. It could be office cation demonstrations. space,” said owner Steve Perlenfein. The new location in downtown For more information on Main Auto Albany also has better parking and Body, 500 Lyon St. SW, call 541-926brings another considerable advan- 0073 or go to www.mainautobody tage in terms of visibility. “We have .net. so much traffic coming past here every day. It’s huge,” Bass said. We thank the Albany Democrat HerMain Auto Body also has added ald for reprint permission. welders, the latter of which can determine the type of metal and thickness of metal to deliver the exact amount of weld strength needed.
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Sacramento County Says It’s Illegal to Work on Your Own Car in Your Own Garage by Walter Olson, Overlawyered
It’s common for communities to use zoning codes to exclude commercial and industrial uses from residential areas, but Sacramento County, CA, seems extra-zealous about making sure that residents
don’t try to operate auto repair businesses amid homes. While it concedes to residents the right to perform minor auto repairs on their own cars in their driveway or garage, it bans repairs or maintenance in any of the following circumstances:
1. Using tools not normally found in a residence;
2. Conducted on vehicles registered to persons, not currently residing on the lot or parcel; 3. Conducted outside a fully enclosed garage and resulting in any vehicle being inoperable for a period in excess of twenty-four hours. So if you’re thinking of doing fairly minor work on your dad’s or girlfriend’s car, or trying any work that might run into a snag and have to be carried over to the next day — let alone working on a project car as a hobby, as many do — Sacramento County has other plans, and it doesn’t matter whether or not you are creating any nuisance for neighbors. “One commenter on the Grassroots Motorsports forum reported that he’d already been issued a $430 fine for working on his car in his garage.” [Jason Torchinsky, Jalopnik] We thank Overlawyered for reprint permission.
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AUGUST 2019 AUTOBODY NEWS / autobodynews.com
Continued from Cover
Uncertain Times
tomakers to offer bargain-basement deals, but shoppers can expect decent incentives at least through the summer months until automakers can adjust production. Increasing interest rates continue to create affordability issues for car shoppers. The average annual percentage rate (APR) on new vehicle loans is 6.2% this year. According to Edmunds data, a shopper will spend about $2,000 more in interest on average over the course of a loan in 2019 compared to three years ago. Higher prices aren’t enough to convince car shoppers to break the leasing cycle. Through May 2019, lease penetration hit 32.2%; the highest Edmunds has on record since 2002. Thanks to higher interest rates, the average new vehicle lease in 2019 costs $1,965 more than it did AUTOBODY
in 2016 and the average monthly payment is $536, which is $46 more than in 2016. A glut of off-lease used vehicles will continue to put pressure on new car sales as a more affordable option for car shoppers. In 2010, a 3-year-old used car cost on average $8,996 less than a new car; in 2019, a 3-year-old used car is on average $13,535 less. Green car sales are on pace to hit a new record, but automakers still struggle to get EVs to appeal to a wide audience. Edmunds anticipates 700,000 EVs and hybrids will be sold in 2019 and while that will be a new record, the narrow appeal of EVs to affluent males in coastal states limits further growth potential. So far this year, Tesla accounts for 82% of EVs sold and 28.9% of all Tesla’s sold this year were to men in California. We thank just-auto for reprint permission.
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Famous American Auto Executive Lee Iacocca Dies at the Age of 94 by Fabienne Lang, Interesting Engineering
World-famous American Auto Executive, Lee Iacocca, passed away in his Bel Air home in California due to complications with Parkinson’s, according to his daughter Lia Iacocca Assad. Iacocca will forever be known as Ford Mustang’s godfather and for saving Chrysler from bankruptcy. Who Was Lee Iacocca? Born in Allentown, PA, in 1924 to Italian immigrant parents, Iacocca joined Ford Motor Company in 1946 as an engineer. He later switched to sales, focusing on his excellent flair for marketing. He made good use of his marketing strengths and famously came up with the “56 for ‘56” campaign in the mid-50s. The campaign offered buyers a 1956 Ford with 20 percent down and three years to pay for the car, in installments of $56 each month. The plan was a huge success and placed Iacocca on the automotive map loud and clear. A little under ten years later, in 1964, Iacocca appeared on the front
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billion government bailout. At the time, he was also famous for only accepting $1 as a yearly salary while the company got back on its feet. It was all worth it. In 1983 he declared that Chrysler had paid back the government loans, seven years earlier than planned. In 1992, Iacocca retired and lived the rest of his peaceful life in his stylish Bel Air home, where he had the time to write a book “Where Have All the Leaders Gone?” which was published in 2007. Iacocca was married three times. His first wife, Lee Iacocca. Credit: Emmett Francois, The U.S. Mary, passed away due to National Archives diabetes in 1983, which “Well, sometimes you just don’t like prompted him to start a family foundation to fight the disease. somebody.” covers of Time and Newsweek magazines due to his marketing and sales prowess and ingenuity. It wasn’t all ease and grace for him though, as his career took a dip in 1978 when Henry Ford II fired Iacocca, and famously responded:
After Ford Came Chrysler It didn’t take long for Iacocca to get back on his own two feet though. In 1979 he took over Chrysler Corporation, who were in dire straits economically. Iacocca worked hard and long and ultimately pulled the company out and over the hump with a $1.5
AUGUST 2019 AUTOBODY NEWS / autobodynews.com
We thank Interesting Engineering for reprint permission.
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ProCare Collision Announces Rebranding
ProCare Collision, a Texasbased MSO with 30 locations, announced it is rebranding it’s Art’s Paint & Body location to ProCare Collision. This consolidation of brands and alignment is part of the continued MSO’s strategy to bring a unified presence to the San Antonio market. ProCare has owned the Art’s Paint & Body brand for three years. “Our corporate entity has always been ProCare Collision doing business as Art’s Paint and Body,” said Vince Brock, CEO of ProCare. “We are simply dropping the Art’s moniker and utilizing the actual name of the company moving forward.” Parent company ProCare operates multiple brands across Texas including ProCare Collision in San Antonio, AMM Collision in Austin, Texas, and Fogle Collision in Houston. The new name is effective immediately and will be implemented across the company’s services.
“That’s where the OEM repair procedures, necessary steps and infor“The New Battleground” mation become so critical, because [technicians] and [body shop ownswered “no” in unison, to which ers] can’t be expected to know how Simmons replied, “If we do business to repair the vehicle without performthe same way we always have and ing the OEM procedure research,” he expect a different result, we’re in- explained. Simmons then clarified the difsane.” “We have to approach it differ- ference between opinion and judgment when partaking in a ently,” he said. “Code is the negotiation. way I’ve been approaching “Opinions are based on it; I’d like to think it’s the emotions and emotions have new battleground.” to be removed from the equaWhen it comes to aption,” he said. “Beating on proaching vastly new techsomebody’s head with Thor’s nology advancements in the industry, Simmons used the Melanie Allan, CAA hammer until they say yes is not a negotiation tactic that saying, “we don’t know what SoCal chapter works anymore.” we don’t know.” president and vice president of busiSimmons explained that “Can a technician be expected to know how to re- ness development & discussions should be based sales at Craftsman on facts and are comprised pair a vehicle today? No,” Collision of “research and information he said. Simmons said shops should that can be presented and duplicated.” This is reflected in the Collision Adfocus on the following four items: vice motto, “Learn to Research, Research to Learn.” • Providing training Learn to use the OEM websites • Correct tools and then use the OEM websites to • Correct materials learn how to perform a safe and proper • Providing instructions Continued from Cover
repair, he added. “How and why did we get lost?” Simmons asked. “We started creating things that didn’t exist.” Since Acura writes the building codes for Acura, we must go by Acura’s standards and the same goes for all OEMs, he explained. “Excuses like ‘that’s not the way it’s done’ or ‘there are industry standards,’ based on something that happened in the past, does not make sense anymore,” Simmons said. “What we’re fixing today is not like anything we’ve fixed before, so how can there be a standard on it?” He added that a typical high-end vehicle today has around 100 million lines of code, compared to a Boeing 787 which has about 9 million lines of code. “Now that we’re dealing with codes for advanced vehicle systems, we have to change our repair mindset, which means negotiating from a different position of power,” Simmons said. He then made a comparison between bringing a vehicle to a mechanical shop vs. a collision repair shop. “If we took our vehicle to a me-
chanical shop for a repair and there were 15 codes identified in the service bay and when they plugged it into the scanner there were 15 codes, how many lines would we expect to see on that receipt?” he asked. “Fifteen.” Simmons said this is because the mechanical shop would identify each code, what it was related to, have a specific procedure lined up, and follow and provide some form of documentation as to why it would reoccur and how it was resolved. “How many times do we look at our post-scan and make sure every code related to losses has a line item on the sheet to address that it was cleared?” Simmons asked. After not getting much of a response, Simmons explained that if technicians want training on resolving codes and looking at items, look no further than the vehicle, which provides an instruction manual. “I get this question a lot in classes,” Simmons said. “People miss the fact that we’re not creating a receipt during the repair. We’re creating a factual document to substantiate our repair until the vehicle is recycled and turned into a coffee table or a chair.”
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“Don’t say total loss, because even when a vehicle is totaled, it can still come back from the dead and we’re still liable for our repairs,” he explained. “We are liable for repairs as long as the vehicle remains on the road.” Simmons said when he’s auditing repair orders and sheets, he often notices it will read that the scans were cleared but there will be no documentation of the repair actually being fixed. “And the documentation of each code being addressed is vital,” he added. He also reinforced that every DTC, related or not related to the loss, should be addressed by a line item. Simmons explained that the main reason we stop doing something is because someone presents a challenge. “The large majority of the industry associates failing with anxiety,” Simmons explained. “People associate being told no as a failure, instead of looking at it as an opportunity to learn from the challenge.” “We’re stressed because we don’t understand what’s happening to the car, even though we have the instructions,” he added. “The car tells us where to find that particular documentation and whether the issue is related to the engine, on the mechanical side, body control module, or elsewhere.”
ple in these positions is imperative. Simmons suggests achieving this by “giving them the coolest information.” New tactics are required, he emphasized. These following conditions debunk the historical methods used by the collision repair industry, according to Simmons.
• Is it required? Can the argument be substantiated by documentation? • It is included? Does it come out of a resume platform with resources that can be touched on? • Is it included in the estimating soft-
“Can a technician be expected to know how to repair a vehicle today? No,” — Scott Simmons
ware labor time? • Is there a pre-determined time in the database? • If there’s not a time, what’s it worth?
“Each of these steps we build on every time by never underestimating our opponent,” Simmons said. “We need to be prepared for every negotiation and the negotiation comes when there’s no opinion or emotions involved.” While continuing to debunk common industry practices, Simmons asked attendees how they transport a vehicle that needs calibration. Almost everyone said someone in their shop drives the vehicle. “Let me get this straight, I got a vehicle system that is a life or death safety item, we’re not sure if it works so we are sending it to somebody to get it calibrated to confirm functionality,” he The CAA meeting had around 50 attendees from across said. “And we give it to an Southern California. Credit: Victoria Antonelli employee to drive to the loThe DTC codes found in the cation? Does that make sense?” scan will direct technicians to the inSimmons insisted the vehicle formation for that specific code and should be towed. the operations needed to repair, diag“If we put someone in a vehicle nose and troubleshoot, Simmons ex- with a system that doesn’t function, plained. it will drive like a nervous 16-yearAccording to Simmons, the days old bouncing in between the lanes,” of simply saying, “here, do this” are he said. “I’ve driven those cars and I over. can guarantee without the correct “This is because the anxiety level calibration, it can feel like it is hyof the individual we’re negotiating droplaning or out of alignment.” with is going to be very high, whether For attendees who wanted more they’re a desk auditor, inspector or su- guidelines on how to remove opinion pervisor,” he said. and create judgment, Simmons recCreating a level of trust with peo- ommended the website DEGweb.org. 24
He explained that DEG is a resource that can be used to notify the IP’s (information providers) if there are possible errors in the database or provide clarity for the following: missing parts, missing labor from the database, changing labor times and, or proving something is not included. “They become an umpire— someone who doesn’t have a dog in the hunt,” Simmons said. “For example, if according to an estimating platform something is not included, but someone else is saying it is, DEG serves as the unbiased party that can
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verify this information. And that goes for all topics, not just advanced vehicle systems.” “Sometimes I’ll hear back from DEG in less than an hour, other times it takes two or three days,” he said. “But once the result is received, the databases of all three estimating platforms are updated with the appropriate change; it is now there for every one of us to benefit from.”
Repair facilities and repairers have the power to determine what is necessary and appropriate, said Simmons. “We need to get our labor hours in for the particular operations because it’s going to be a struggle to keep certain items in the database and have the appropriate hours,” he explained. “More and more of these advanced vehicle systems are going to become standard, so we’ll see faster improvement in the database for those capabilities and items.” Simmons then asked how many attendees have taken Anderson’s ‘Who Pays for What’ survey and encouraged everyone to do so. “The survey acts as a tool to combine and gather statistics that show us what collision repairers get paid for in the particular markets with the particular requests, ranging from mechanical labor operations, structural operations, aluminum labor operations, refinish operations and so much more,” he explained. “Each area is divided by carrier and region.” Next, Simmons addressed how
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shops should create their own packet. that no matter who is paying the bill, “Whether we’re creating a nego- we should not waver the 100 percent tiation packet with the carrier or an focus on repairing the vehicle via the information packet for the customer building code written by the OEM. concerning repairs, we have a re“If we don’t repair the vehicle sponsibility to present it as fact in that way, we don’t have the ability to order to earn trust,” he said. ensure our customer is safe “There should never be a in the vehicle,” he said. “We choice as to how to prepare want to keep the customers the vehicle correctly, there’s informed on how we do busionly a business decision ness, so they feel engaged in whether or not we bill for the entire process.” it.” Simmons then informed Simmons added that the attendees they should Jake Rodenroth, asTech’s director the necessary documentahave a line entry for every of industry and tion to support the negotiaoperation when it comes to OEM relations tion needs to be provided as clearing code. well. “If our first thought is that we “When we are discussing insur- don’t have enough time to ensure ance, no insurance, customer, no cus- everything is right, think about all tomer, we have to fall away and the time and money we waste when realize the insurance company has a something ends up being wrong,” he contractual agreement with the cus- said. “We pay for rentals, wait after tomer to pay for what’s necessary to work, come in Saturdays … that is repair the vehicle,” he added. “Many until our errors kill somebody.” of us could be DRP related and Simmons said for some reason would, therefore, have an agreement many industry members have a “menwith the DRP for certain portions of tal predisposition” that this process is the agreement for the business rela- much harder than it actually is. tionship.” “A simple search in an ALLRegardless, Simmons stressed DATA or OE database will pull up
26
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what’s needed to fix the DTC code,” he said. “The software provides the information and instructions on what operations need to be performed and what we need to look up.” However, an auto body shop’s staff does need to be trained on how to ensure that there has been a quality check or audit and provide proof everything has been fixed. For more information, Simmons can be reached by email at scott@ collisionadvice.com. Jake Rodenroth, director of industry and OEM relations for asTech, took the podium next. He started his segment by sharing asTech updates and discussing calibration. “Now that scanning is starting to become more widely accepted, everyone is talking about calibration,” he said. “Another emerging technology is the ongoing wave of electrification.” Rodenroth explained that the electric parts are very different from the powertrains and include scantool supported parts technicians will be exposed to. According to the company website, the asTech device provides serv-
ice to technicians performing repairs to vehicle electronic networks. “asTech recently serviced its 1 millionth vehicle remotely,” said Rodenroth. “We currently service about 4,600 vehicles a day.” He added that the company employs over 450 technicians across the country. “We have partnered with several OEMs, seven of the top ten dealer groups, amongst others, so we can support their body shops,” Rodenroth said. Most industry members know asTech as a company that provides remote diagnostics and support, but they also have 75 in shop technicians that work mostly in busy, high volume stores, he added. “Our technicians perform all of the scans for these stores and shops have to meet certain metrics in order for us to do that,” Rodenroth explained. He added that 33 cities are also covered by asTech mobile trucks. “Not everything can be done over the internet,” Rodenroth said. “We want to support those shops with programming needs, wire repair and certain ADAS calibrations that
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require assistance. We want to truly help our client FIX the vehicle.” asTech currently has four calibration centers and a fifth one in the making. “I personally believe processes and tools will continue to evolve and hopefully it will become a little easier for everybody,” he said. “For example, I think we’re going to see quarter panels that we repair, we’re going to do ADAS calibration measurements before we paint and other new steps that will become part of our day-to-day business. These new steps create additional challenges for all stakeholders, so asTech wants to help educate the market on these new processes.” Rodenroth has also aided several OEMs in writing position statements to help educate others on new technology, including Chrysler and Subaru. “I’ve worked with several OEMs to help them realize that the collision industry doesn’t understand the technology they’re putting on the vehicle,” he said. “The OEMs may have questions about how to educate the bill payer or the customer as well.” Rodenroth stressed the importance of creating awareness. “The position statements were intended to inform shops of the changes and to show customers what technology their vehicle has and what requirements would be needed after a wreck,” he explained. As far as getting paid for electric work without using the position statement, Rodenroth used a 2010 Lexus as an example. “Identify the electric steps, illustrate the steps on a repair order and charge for them,” he explained. “Research every battery disconnect for a service manual requirement. Everybody complains they can’t find Volkswagen’s position statement, but it’s in the service manual, multiple times in fact.” Even if a vehicle was manufactured in 2010, for example, the most recent procedure must be utilized, as it could have changed, according to Rodenroth. “This happens all the time,” he said. “We have to teach estimators how to research this stuff. Don’t create a way, follow the manufacturer way.” Rodenroth added that the vehi28
cle could improperly calibrate if ence at the front radar. Allan then asked how many of every step isn’t followed, so there is “That’s huge,” he said. “It’s the the attendees get different emails from no way of telling it’s wrong. That is difference between stopping and not all the publications, OEs and more. why following the most recent OEM stopping.” “I can’t look at these emails procedure is especially important. Rodenroth then described a use- every second of every day, so it “Not all parts are created equal,” ful job aide Honda came out with, in would be great if I had someone who he added. October 2018. was willing to gather all of the inforRodenroth gave an example of “It gives the name of the sys- mation, look at repair procedures as an Audi that could not be calibrated tem, abbreviation and what the sys- well as articles and think creatively and the technicians couldn’t figure tem does,” he explained. “Use those about how we’re going to deal with out why for several hours. Finally, resources.” an issue at hand,” she said. “This perthey came to the conclusion that the For further questions, Roden- son would be the leader in that area glass used for the repair was aftermarroth can be reached at JRodenroth@ and we would meet weekly to go ket and in the Audi position statement, astech.com. over their findings and ideas.” it states to only use OEM Following up points that Allan explained that this new glass. Once the Audi OEM both Simmons and Roden- hire doesn’t necessarily have to glass was in place, it caliroth made, chapter president have an auto body background but brated the first try. Allan shared who her next would most likely be someone on He then began going hire at Craftsman Collision the younger side; a ‘tinkerer.’ over the two types of modwill be and why. Simmons then shared he knows ifications—intentional and “It will be a shop techni- of two shops that have created similar unintentional. An example cian who knows his way positions and even though they’re in Tom McFinch, of an intentional modifica- I-CAR’s southwest around repair procedures the experimental phase, it has been an regional manager tion would be a pickup truck and can guide the rest of the overall success. with a lift kit, tinted glass and a bug shop on how to do it; the type of perThe final speakers were Mark shield. Examples of unintentional son who wants to problem solve and Holloway and Tom McFinch from modifications include a quarter panel read,” she said. “This person will run I-CAR. Holloway had just been hired that isn’t straight because it should’ve scan tools and remind writers, tech- as the southwest regional manager a been replaced or a bumper cover that nicians, and all other positions how month prior, so McFinch, the longwas repaired when it shouldn’t have to stay up-to-date with new technolo- time southeast regional manager, led been. gies and processes.” their portion of the presentation. “SEMA is coming to our headquarters in Dallas since car modifications are a big concern for them,” Rodenroth explained. “They are bringing three fully modified SEMA vehicles and we are providing three of the bone stock versions, and we are going to do side-by-side measurements to see how tinted glass, brush bars and stuff like that affects ADAS üNO Calibration calibration.” üNO Lasers He gave another example, this time of a Honda with bumper damüNO Targets age. The shop did their research and üNO Adaptors discovered that Honda calls for a üNO Magnets bumper replacement because the veü Place car on Bench, hicle has a blind spot on board. The Lift or Ground shop did their research, copy and ü Mitchell Data pasted the statement into their notes and got the bumper paid for by the inü Simply Point and Measure surer. “Calibration is a game of milWATCH OUR ONLINE VIDEOS limeters,” Rodenroth said, reiterating QUICK www.accuvision-3d.com the importance of following OEM service manuals. “If it’s not in spec before we paint, we’ll have a problem in calibration,” ACCURATE 21 Lawrence Paquette Drive he added. New York, NY 12919 Rodenroth gave an example of Toll Free: an Infiniti being calibrated at a quarEASY-TO-USE ter tank versus a full tank: at a quarter tanks there was a one-degree differ-
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McFinch began by sharing how I-CAR is keeping up with the “technical tsunami” impacting the collision repair industry. “We understand cars are different today than they were last year or five years ago, so we have to figure out how, at I-CAR, to deliver the training technicians need to properly repair these new vehicles,” said McFinch. McFinch stated that 65 percent of shops don’t train their employees. “We have to change and protect our brand by training and properly repairing vehicles,” he added. “At the end of the day, it costs all of us.” Four years ago, I-CAR met with an industry segment advisory council (ISAC) comprised of OEMs, insurance workers, shops owners, collision repair instructors, and volunteers, to figure out what the industry wanted from them as far as training and guidance in this new era. “Over the course of four years we developed an education-based curriculum for what I-CAR needs to look like in the future,” McFinch said. “We reviewed customer feedback, went to OEMs and observed
their benchmarks.” I-CAR wanted to understand the different OEM training and guidelines, and then from there update ICAR’s standards. “Based off of DACUMS (developing a curriculum), The Ohio State University developed a protocol book for us that lays out the path for future students,” McFinch explained.
He then began explaining the new requirements for achieving Platinum ProLevel 1 with I-CAR. “If an individual is platinum today, they will be grandfathered in moving forward, as long as each year they keep up with their status so they can continue to ProLevel 2 and ProLevel 3,” McFinch explained. Gold Class will now be attained at ProLevel 2 and shops that are already Gold Class will be grandfathered in. “At ProLevel 2, it is now required for 100 percent of a shop’s structural technicians, 50 percent of estimators, and 50 percent of refinish and non-structural techs to be classified as role representaThe California Autobody Association (CAA) meeting was tives,” McFinch explained. held on May 2 at Craftsman Collision in Long Beach, CA. It is near impossible for Credit: Victoria Antonelli a shop to be fully trained He added that the book also de- when only four out of, for example, tails every role available at I-CAR. 50 technicians qualify as role repre“We present this book to young sentatives, according to McFinch. people who want to come to our in“I’ve heard shop owners say dustry,” McFinch said. “They then they’re going to send a couple of understand what that path of progres- guys to train and they’ll come back sion looks like; they need to know and tell everybody else what’s going where they’re going.” on,” he said. “Let me know how that
works, I haven’t seen it happen yet.” McFinch said that 100 percent of structural technicians have to be classified as role representatives because that’s the most critical part of the repair process. Failing to correctly repair structural damage is what gets everybody in court, he added. McFinch clarified that if a shop has an uneven number of estimators or non-structural / refinish technicians, the majority will have to be role representatives. The rule of having at least 50 percent of these employees as role representatives also ensures fairness. “We’re looking at it from a standpoint of a shop with 20 guys and only four role reps versus a shop with six technicians and four role reps,” he explained. “The former shop has conceivably spent the same as the latter shop, yet all the guys are fixing cars.” Another way I-CAR ensures fairness is by not allowing any person, including the shop owner, to hold more than two roles. “Being a combo tech isn’t realistic anymore,” McFinch added. Next, McFinch covered shop level diagnostics.
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“As we go into the next stages of Gold Class, ten classes will be required for shop level diagnostics that explain why certain technologies and procedures are being utilized,” he explained. “Even if a shop isn’t using calibration, for example, they still have to understand why it’s done.” These courses can be completed by anyone in the facility who is capable of understanding the whys behind what I-CAR is implementing, McFinch explained. “It doesn’t have to be the same person taking all ten courses,” he added. “One person can take three, another person takes five and so on.” I-CAR’s turnover rules have also been updated. “We’re not going to make a shop owner or shop manager suffer every time someone gets fired or leaves,” McFinch said. “Whenever a shop’s Gold Class renews, roster changes will be updated so we know exactly how many people are at a shop.” Annual training for non-role representatives will consist of six vehicle technology specific items. “A refinisher no longer needs six hours of say a FOR06 class so he can
learn how to do repair work on a Ford truck; those days are over,” McFinch explained. “Now, he or she, is going to take vehicle specific technology that’s most likely going to relate to a vehicle that’s coming into the shop soon or is already there and it will be role relevant.” Welding recertification has also changed to better fit with today’s collision repair environment. “As we know, welding recertification is every five years, but it will be changing to every three years,” McFinch announced. “The industry segment advisory council (ISAC) wanted to consider every year, but that would be unrealistic, so we were able to come to a compromise.” The change came about because the welding recertification will now be different from the initial welding test, according to McFinch. “Welding recertification will now be approximately half the cost of the welding test because the instructor is going to come to the shop but is not going to help the technician prep for the exam,” he explained. “The instructor will sit with the technician, the technician will
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perform the welds and he or she will then turn the welds in for destructive testing.” If the technician passes the destructive test, he or she will get their recertification. If they fail, they’ll take the full exam again, McFinch added. The recertification test will take about half the time of the full course according to McFinch. “There are automotive companies that do a recertification every two years, so we’re not out of line with every three,” he said. “There is also a vehicle box manufacturing company that makes their technicians get welding recertified every 30 days.” For aluminum structural roles, there must be a separate designation at the collision repair facility for aluminum. If a shop chooses to utilize Aluminum Structural designation, they will be required to have all the structural technicians take the Aluminum certification which consists of two online courses, two hands-on courses and the Aluminum welding certification. I-CAR has also changed its position on where training must come
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from. “We don’t care who shops train with, as long as it’s an approved vendor,” McFinch explained. “For example, whether it’s Car-O-Liner, Chief, AkzoNobel, 3M or any of our approved sustaining partners, they’re going to know more about their product than we know about their product.” Payment and recognition for training will be less of a hassle now too. “If a shop is training with a training alliance partner, the technician will take his I-CAR ID number to the training class, put it in the information material which will be sent to I-CAR and then receive credit automatically for that training at no additional cost,” McFinch said. Ford is the only OEM training alliance partner currently; a list of all sustaining partners can be found on www.i-car.com, he added. McFinch can be reached at Thomas.mcfinch@i-car.com and Holloway can be reached at mark.holloway @i-car.com. The meeting concluded around 9 p.m.
HYUNDAI
WAC’s June Meeting Focused on Generation Z by Chasidy Rae Sisk
On June 19, Women in Automotive and Collision (WAC) held its monthly meeting at Enterprise Fleet Management (EFM) in St. Louis, featuring guest speaker Kevin Andert, manager of College and Career Readiness
for North and South Technical Colleges. According to WAC President Shelly Jones, “Kevin did a presentation on Generation Z compared to other generations. It was excellent. This is one of those presentations that you wish every collision shop manager or owner could attend.”
Andert provided an overview of the five generations in the workplace and defined Generation Z. Credit: WAC
Guest speaker Kevin Andert, manager of College and Career Readiness for North and South Technical Colleges, taught WAC members about Generation Z. Credit: WAC
During his presentation, Andert provided an overview of the five generations in the workplace and defined Generation Z. He also discussed strategies for overcoming the differences and embracing the strengths offered by each generation. The meeting was hosted by EFM, a recent addition to WAC’s growing list of gold sponsors. EFM Talent Ac-
quisition Specialist Tamara Weidler attended the meeting and shared, “The meeting was very insightful in that we learned a lot about what to expect with
sion repair was evident.” Weidler said those at the meeting heard a testimony from Alex Emge, customer support advisor for EFM. Emge wasn’t making enough money at her previous job, so she decided to study diesel technology while working for EFM as an intern. She eventually landed a full-time job there. This testimony encouraged the young people at the meeting to pursue their passion, Weidler added. WAC’s next meeting will be held at 6 p.m. on WednesWAC members gathered for its monthly meeting on day, July 17 at Ranken TechJune 19. Credit: WAC nical College with guest Generation Z, specifically how to ap- speaker Stan Shoun, president of proach them and how to manage them Ranken. Jones predicts, “This will be another informative and fascinating to keep them engaged.” “We were also happy to share presentation. Look for more guest information about services EFM of- speakers at future meetings. There are fers our clients and the type of pro- many organizations that have a mission fessional opportunities that await or hold events, such as job fairs, that young people that decide to pursue would tie into the WAC mission and a technical education,” Weidler said. benefit our members.” “There were many new faces at the meeting and the energy for reaching For more information about WAC and young people to share the opportu- its upcoming meetings, visit: wacstl nity of automotive repair and colli- .com.
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National News
Chasidy Rae Sisk is a freelance technical writer from Wilmington, Delaware, who writes on a variety of fields and subjects, and grew up in a family of NASCAR fans. She can be contacted at crsisk@chasidyraesisk.com.
with Chasidy Rae Sisk
Mike Anderson and Impacted Shop Owner Warn Industry of Computer Ransom Scheme Over the past few months, Collision Advice’s Mike Anderson has been contacted by over a dozen shops regarding a computer ransom scheme where body shops’ computers and IT systems are hijacked and held for ransom. Unable to access their programs and documents, victims are then contacted by the hackers with instructions on how to pay the ransom, usually in bitcoin. Ryan Cropper, owner of Able Body Shops in Anchorage, AK, stopped in his shop on the Saturday before going on vacation in November 2018. He recalls, “All of the icons looked like Christmas presents and clicking on them opened a message with an email address to contact to unlock them. I contacted IT, and they confirmed my computer was hacked and I’d have to pay a ransom to release it.” Fortunately, the hacker couldn’t access password-protected files. How-
ever, unable to find an alternate solution, Cropper paid $4,000 in bitcoin after IT verified the hacker’s record of releasing victims’ computers once the ransom was paid. Cropper was locked out of his computer system for four days. He shares, “It was a nightmare; I was losing my mind.” “The amount they demand depends on what they find,” Cropper continued. “The hacker was unwilling to negotiate whatsoever. Our hacker came from Russia; we verified that through the IP address.” After his documents were released, Cropper’s next step was figuring out how he got hacked. He learned that there was an open port on his computer that allowed him to access it from his laptop while traveling. “The hacker found the open port and did damage to benefit himself,” Cropper explained. “It didn’t ruin us, but it could have. Our firewalls didn’t stop
it. Now, I have a two-part authentication for remotely accessing my system and that’s key to ensuring we aren’t hacked again.” According to Anderson, “This has happened to a lot of folks. People have open ports and then receive a spam email; once they open it, hackers have access to your computer and lock it down until the ransom is paid. One shop owner heard me speak about this topic and protected himself so he could avoid paying the ransom when he was attacked, but several shops have been forced to pay. These hackers are good at what they do.” So how can shops protect themselves? Anderson advised, “First thing they can do is contact their IT department to make sure their system is secure. Then, make sure they have good insurance so the ransom is covered. Once it happens, it can be solved, but there’s definitely a cost to resolve it.”
Another impacted shop owner who prefers to remain anonymous offered this advice following his experience: “Hire an outside IT company to audit your IT network; you want them to try to penetrate your system to find the faults and loopholes. Don’t tell anyone, particularly your current IT support company, about this audit because you want it to be random. Upon the audit discovery, you’ll find out if you’re getting what you’re paying for monthly from your IT support company, and you’ll learn how quickly and closely they operate and monitor your business. They should see things happening quickly and spring into action by notifying if they are good.” He continued, “You also want to make sure your IT support company is backing up your business onto the cloud on their own along with local offsite backups. Backups should be See Ransom Scheme, Page 38
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From the Desk of Mike Anderson with Mike Anderson
Mike Anderson is the president and owner of Collision Advice, a consulting company for the auto body/collision repair industry. For nearly 25 years, he was the owner of Wagonwork Collision Center, an OEM-certified, full-service auto body repair facility in Alexandria, VA.
Building Trust Through Online Reviews, OEM Certifications I was recently over at my best friend Greg Thompson’s house and his son, Jarrett Thompson, stopped by. Greg had agreed to babysit his grandson so that Jarrett and his wife could have an evening out. Greg asked Jarrett what their plans were and Jarrett said they were thinking about going out to dinner at an Italian restaurant I’ll call “Ernesto’s.” “Oh, you are going to love Ernesto’s,” Greg told Jarrett. “They have the best pizza.” I was there when Jarrett stopped by later that night to pick up his son and Greg asked Jarrett how they liked Ernesto’s. “Dad, we didn’t go there because it didn’t have good reviews online,” Jarrett told him. Ladies and gentlemen, that is all the evidence you need that many people—young people in particular— rely more on online reviews than the word of their own father (or another family member or friend). I mention this because I’ve been thinking a lot about how shops can build trust among customers and po-
tential customers. Greg and Jarrett’s interaction is a great example of how online reviews are a great way to start developing that trust. Customers are no longer just choosing the closest shop from the list they were handed by their insurance company. They go online to verify that whatever shop was recommended to them is, in fact, a good choice; therefore, it’s important that you have great online reviews. The whole issue of building trust came up at a recent conference where I was a speaker. Another one of the speakers, Ray Chew of CCC Information Services, went around the room asking shops how they think people feel when they have to find a shop after an accident. Some said anxious, upset, mad, sad, etc. However, everyone agreed that consumers face negative emotions when looking for a body shop. So, our first goal should be to alleviate those negative feelings by building their trust. Having positive online reviews about your shop can help ease customers.
Continued from Page 36
was refunded $3,500, the full ransom amount after paying his $500 deductible, but ransomware is not covered in every policy, so it’s important to check with your insurance company. According to David Willett, general manager of the Automotive Industry at Intrepid Direct Insurance, “This is happening to other industries, but it’s becoming more frequent in our industry. The number of automotive repairers with cyber risk coverage in their garage insurance package is growing but still represents a small percentage. The normal ransomware provision pays for rebuilding the system and database, which can take 30 days or more. It doesn’t reimburse or pay the actual ransom request (usually bitcoin), which offers an immediate fix.” Stay tuned to Autobody News next month for an in-depth look at cybersecurity and how to mitigate these risks with Willett.
Ransom Scheme
done daily, if not more frequently. Everyone should also be performing onsite external backups to the server and a computer. It’s important to have multiple external hard drives that get switched out daily.” “Make sure you have insurance coverage for cyber-attacks, loss of customers’ information and ransom attacks. This is not something that is blanketed on your insurance policy. You need to discuss coverage for all these items separately,” he urged, adding, “Do NOT rely on technology only. Run your business with good processes and procedures that will allow you to operate in the event of a technology attack and/or the loss of computers and the internet.” Cropper was able to turn the ransom into his insurance company and 38
AUGUST 2019 AUTOBODY NEWS / autobodynews.com
Oftentimes, after the customer comes to the shop, a discussion about insurance company involvement is brought up. We need to stop and make them feel better first—recognize their pain and sympathize with their experience. Then, start to build trust by focusing on why they made the right call by choosing your shop. You might ease your customer by saying, “Okay, I know you’re concerned about whether your Nissan will ever be the same. I want you to know that there are 40,000 body shops in the United States, but fewer than 2,000 have met the training and equipment requirements to be Nissan certified. We’re a shop that has been Nissan certified. In fact, we’ve had advanced training.” That term “advanced training” is important, Ryan Taylor of Bodyshop Booster said. Having the “advanced
training” to earn automaker certifications is a good way to build trust and reduce their anxiety. I don’t think enough certified shops are talking about that certification with potential customers and then these shops gripe about spending money on OEM certifications, without seeing any work from it. However, at recent automaker conferences, I brought people up on stage and we called their shops. I would say, “I just wrecked my [brand of car] and wondered if you work with ABC Insurance.” The shops would assure me they are a direct repair shop for ABC Insurance and ask me if I had a claim number, but never mention they are certified by the maker of my car and what that means to me. We need to start making our advanced training and automaker certification part of the conversation up front to build customer trust.
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National Associations with Chasidy Rae Sisk
Chasidy Rae Sisk is a freelance technical writer from Wilmington, Delaware, who writes on a variety of fields and subjects, and grew up in a family of NASCAR fans. She can be contacted at crsisk@chasidyraesisk.com.
ASA Webinar Wednesday Addresses Belt Slip On June 19, the Automotive Service Association (ASA) hosted the newest installment in its Webinar Wednesday series. Bobby Bassett, North America National Training Manager for Gates Corporation, presented “Belt Slip: the Gift that Keeps on Giving,” focusing on the reasons that components for the accessory belt drive system (ABDS) have high rates of warranties and return to the shop repeatedly. ASA Vice President Tony Molla served as host, welcoming attendees and introducing Bassett. Basset said his goal was to enhance attendees’ understanding of the complete ABDS and how one component can impact another. Bassett stressed, “We can’t do it like we used to. Technology is changing every day. We are going to discuss industry information that’s creating failures all over the world.” Using the example of repeatedly
filling a tire with air, Bassett pointed out, “You have to stop using the Band-Aid approach and find the root cause. If you are replacing the same component for a second time for the same reason, fully inspect the system for proper diagnosis before reinstalling yet another component.” According to Bassett, based on a sampling of alleged warranties returned to the factory, 40 percent of radiator failures are due to the condition of the coolant and 40 percent of returned batteries merely needed to be charged. Ninety percent of timing belts fail just after a belt is installed and 99.8 percent of returned serpentine belts were forced to failure. “A lot of components are forced to fail and there are lots of excuses for the failures,” Bassett said. “Collision repairers own the liability for the repair, so it falls on us if we accept the customer’s advice based on
those excuses.” After exploring the advantages and disadvantages of serpentine belts, Bassett discussed how modern belts are made with ethylene propylene diene monomer (EPDM) rubber and need to be replaced at approximately 90,000 miles. He explained, “EPDM wears differently so cracks are minimal, if any. Just five percent of belt wear will allow the belt to slip under load. Rib wear is the predominant wear indicator and visually difficult to determine unless using a belt wear tool. The belt must always point to the root cause of the failure. When a customer comes in, you need to gauge belt wear. Addressing the problem of belt whip where the belt whips as it rotates over the back of the system, Bassett explained that this creates torsional vibration and the solution is to create an aramid cord belt. He
provided detailed information on the wear-and-tear parts of the serpentine belt drive components, emphasizing, “The belt has one job—to transfer the power from the crank, but the ABDS is not just a belt; it’s a system that includes the belt, the tensioner, system pulleys and related accessories, and the repairer needs to verify that everything in the system is operating correctly.” Belts can only tolerate a misalignment variance of one degree, and excess variances often lead to belt noise. Bassett explored belt noises related to tension and alignment, reiterating “The belt is doing its job which is to grip the pulley and create friction, but it is being forced to slip.” After sharing some troubleshooting tips for Micro-V belt noise problems, Bassett covered some common perceived belt failures and he deSee ASA Webinar, Page 48
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In Reverse with Gary Ledoux
Gary Ledoux is an industry veteran with 48 years’ experience in the automotive and OEM collision parts industry. His column appears exclusively in Autobody News. He can be reached at YesterWreck@yahoo.com
An Industry in Constant Flux - A 1970s Perspective The collision industry went through many changes during the 1970s. Industry associations were stronger and industry communications were better than ever. Below are a few predictions made from the past about the future, some ponderings from leaders of their time and a taste of what changed and what remained the same.
Prognostications From Connecticut In March 1970, an unnamed person from the Connecticut Department of Transportation addressed a group of collision industry executives as well as shop owners and predicted the following about the future:
• By 1975, 25 percent of our workforce will be replaced by automation. • By 1980, the typical work week will be 35 hours. • By 1980, everyone will have access to instant communication. • By 1980, most of the population will be working from home rather than from an office. • By 2000, only ten percent of the population of the U.S. will work or need to work. • By 2020, Connecticut will be in what was then known as the North Atlantic Megalopolis—a 150-milewide stretch of real estate from Boston to Richmond, VA. • By 2020, there will be automated roads where one can get into a car and sleep, play cards, or watch television, while the car whisks its occupants to their destination. The Natal Beginnings of Vehicle Autonomy In 1972, the RCA Corporation worked on crash avoidance technology. An experimental system displayed by the company uses a radar unit that sends a continuous signal to the rear of the vehicle ahead. As the distance between the two cars closes, flashers and
audible signals in the following car are triggered. The system could also be tied to the throttle and braking system. RCA estimates that this system will add anywhere from $50 to $100 per vehicle on mass-produced models and should be ready for all cars in ten years. “We can no longer stand still,” said Paul Goldberg, Auto Body Association of America (ABAA) president. “We can no longer, in these times of rapid change, stand content with methods of shop operations designed for the 1930s. We can no longer keep our heads stuck in the sand. The 2020s are quickly moving toward us.”
More Industry Changes An article in a June 1971 trade magazine said the industry has seen more changes in the last five years than it has seen in the previous 20 years. This is because “the industry is populated by so many young, energetic body-men and shop owners and few high-powered leaders.” The advent of these recent changes indicate that the collision industry is still in its infancy, but “adolescence is fast approaching and before you know it, we will have a mature industry.” A mature industry, the article notes, will be exemplified by shops that are free to repair a car properly. Finding New Technicians Today, in 2019, the fight goes on to find new collision techs. During the 1970s, and even prior to that, was no different—the collision repair industry was under fire from politicians about the alleged “high price of auto repair.” Rising Repair Costs Costs were increasing rapidly. In 1960, the average new home cost $12,700 and the average price of a new car was $2,600. However, in
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1970, the average home was $23,450 and the average new car cost $3,450. The American Mutual Insurance Alliance, an industry trade group representing over 100 insurance companies nationwide reports in 1971 that the average auto repair claim in 1960 was $131. In January 1971, it jumped to $276.
Maximizing Productivity Dr. William Baumol, a professor of economics at Princeton University said in a speech at the annual American Insurance Association meeting in 1970 that there is no way to save money in insurance claims through body shop productivity increases. The industry accrues costs that are out of its hands, he added. Number Please Before the advent of the internet, a 1970 Yellow Pages National Usage
study revealed that one in every five adults looks for a body shop in the Yellow Pages annually. From 1997 to 2000, internet business saw meteoric growth, yet the collision industry lagged behind. Early in 2000, Amica Mutual Insurance was one of the first to provide online claims handling. Beware of Javelins In 1970, shops are warned about working on the new model AMC Javelin which will feature “heavygauge steel members” welded inside each door. More Fiberglass In 1970 and before the advent of high-strength steel, Owens-Corning reports the use of fiberglass. The company said fiberglass reinforced plastics will reach an all-time high in 1971 model, US built cars due to it being lighter weight than steel.
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Continued from Cover
SCRS Event Discussion
were “reflective of what we anticipated,” namely that “regulatory bodies don’t have a solid understanding of the repair process and therefore don’t understand” how OEM procedures impact claims settlement. “This really was a mechanism to expose what I think is a gaping hole in the statutes in most states to hold [insurers] accountable for the things we [as repairers] need to do,” Schulenburg said. Responses Often Address Other Issues In one state’s response, Alex Avalos, senior insurance compliance officer for California’s Department of Insurance, said that state’s “insurance laws and regulations are silent on vehicle manufacturer documented procedures.” Would the Department consider it a “reasonable expectation that if an OEM repair procedure or instruction existed, that the claim should cover the associated costs,” the SCRS asked in its letter. “That one would need to be
looked at on a case-by-case basis,” Avalos responded. “Our regulations mandate that insurance estimates allow for repairs to be made in a workman-like manner.”
Dan Caldwell of Nissan said local chambers of commerce can help small businesses have a voice with government on workforce development.
Many of the responses received from insurance regulators focused largely on state statutes related to OEM parts or noted only that the regulatory agencies couldn’t comment on some of what they saw as hypotheticals posed in the SCRS’ letter. But some more directly addressed the SCRS’ primary question. For example, Ian Shapiro, insurance analyst with the Illinois Department of Insurance, wrote that his agency “would consider it a ‘reason-
able’ expectation that if an OEM repair procedure or instruction existed, the claim should cover the associated costs.” However, Shapiro also added that “there is nothing currently written in the statutes that requires an insurance carrier to cover those costs.” Donald Beatty, deputy commissioner for Virginia’s Bureau of Insurance, wrote in his response that standard policy forms insurers must use in his state would not allow an insurer to say costs associated with automaker procedures are not covered, but those forms also “do not require insurers to accept manufacturers’ procedures for repair.” In perhaps even more troubling news for shops and their customers, Suzanne Tipton, insurance deputy commissioner of the Arkansas Insurance Department, wrote that if an insurer directs a shop not to follow OEM repair procedures, that “may be considered to be reasonable” as long as the vehicle “is shown to have been ‘restored to its condition prior to the loss.’” One of the more promising responses the SCRS has received came
from Andy Case, director of the Mississippi Insurance Department’s Consumer Services Division. Case wrote that there is nothing in that state’s laws that mandates that OEM repair procedures be followed, and that the most an insurer is expected to pay under state regulation is the
Kenyatta Lovett said working with local governments on workforce issues can pay off when those officials go on to statewide positions
“lowest amount that such vehicle or glass could be properly and fairly repaired or replaced by a contractor or repair shop within a reasonable geographic or trade area of the insured.” Case went on to say that “if a vehicle manufacturer outlines a specific recommended repair procedure … the Mississippi Department does ask
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that insurers recognize that procedure as it relates to repair methods only.” Schulenburg said overall, however, the responses demonstrate the need for state legislation recognizing OEM repair procedures as “what we have to do as repairers and what insurers are obligated to under their policies.” Copies of the SCRS letter and responses received to date can be viewed at scrs.com/doi-responses/. Speakers Share Idea to Grow Workforce Also during the SCRS meetings held earlier this year in Nashville, TN, a number of speakers focused on public and corporate efforts to improve workforce development in that state. Given the challenge shop owners nationwide face in finding the employees they need, Schulenburg asked the panel to share what they believe small business owners can do to address the situation in their market. Ann Thompson of the Tennessee Department of Economic & Community Development said her father is a small business owner who has implemented something that she
suggests shops do. “How many of you have some sort of internship program, or an opportunity to let either a teacher or some high school students come into your business,” Thompson asked at-
Andy Tylka, owner of Tom & Ed’s Autobody, said the Jobs for America’s Graduates (JAG) program can cover the cost of a student working 200-300 hours in a business
tendees at the event. “That is the best thing you can do. Look around at the different occupations and the different processes that you have, and find some things that are lowskilled where you can get those students in early.” Jon Mandrell, president of the Tennessee College of Applied Technology in Murfreesboro, TN, said that as with many technical and community colleges, his school’s programs
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are guided by industry advisory councils. Getting involved with such councils at a local level are a great way for shops to influence curriculum or have an opportunity to speak to students, Mandrell said. He said shops and industry vendors can also help local schools get the current tools and equipment to help students prepare to enter the industry successfully. “Most institutions work closely with alum and donors and talk about funds and scholarships, whereas technical colleges look at how to get that cutting-edge equipment to help us embed things as fast as possible, ahead of the curve,” he said. Dan Caldwell of Nissan acknowledged that as a large employer in Tennessee, his company had some sway in gaining government support for workforce development efforts that are helping create employees with the skills Nissan needs. Even smaller employers have opportunities to create a large “voice” through a vibrant chamber of commerce that acts as an intermediary to communicate to schools and local government the industry’s needs, he said. Kenyatta Lovett, of the non-
profit education advocacy group “Complete Tennessee,” encouraged shops to get involved in government and workforce development even on a local level because statewide programs in Tennessee grew out of local efforts by a mayor who went on to be governor. “Once you articulate this challenge and what role locally-elected officials can play, you’d be surprised how they can become a champion who can move it a long way,” Lovett said. “You never know who is going to become governor next.” An event attendee, Andy Tylka of Tom & Ed’s Autobody, which operates five shops in Indiana, said he recommends shops get involved with Jobs for America’s Graduates (JAG), a national non-profit organization (with programs in 34 states) working to help young people who have serious barriers to high school graduation or employment. “It’s an elective program in high schools where students can learn soft skills and then get placed in a job, with the government funding 200300 hours for them to work for you,” Tylka said.
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Media and Publicity for Shops
Ed Attanasio is an automotive journalist based in San Francisco, California. He can be reached at era39@aol.com.
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Marketing Guru Schools Shops on All Things Google Nick Schoolcraft, president of Phoenix Solutions Group (PSG), works with hundreds of body shops to set them up for success when it comes to both their digital and customer marketing. Recently, he took the time to share his insights about things such as Google’s mobile first indexing update, the importance of understanding how digital impacts the collision customer, as well as a trend he’s been following called “digital dieting.”
What does it mean when Google releases updates and changes to its algorithm?
Q:
Each update serves a purpose. For example, Google released an update called Panda in 2011 to reward websites with higher-quality content. Its goal was to remove search results that lead searchers to sites with poor quality or little content. Also, it focused on filtering sites that were “keyword stuffing.” This update was significant in that it changed how Google ranks pages. It was a clear sign from Google that incorporating practices that didn’t benefit the user, like creating pages with little content to drive better search ranking, would no longer be tolerated. That said, not all updates are bad. For example, Hummingbird, which was announced by Google in 2013, was seen as a complete overhaul of their search algorithm. This update was massive because it started to incorporate natural language processing, which helped Google to match the searcher’s intent with relevant content better, which is why we always suggest writing your website content in simple language instead of focusing on industry-related terms. Hummingbird had minimal impact on search results; however, it was a massive update in how search results are displayed, which signaled Google’s focus on ensuring they deliver the most relevant search results that match the user’s intent.
A:
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Q: A:
What is Mobile First Indexing and why is it important?
Starting July 1, Google will start indexing the mobile version of your site as the default index method. In the past, they used the desktop version to help with ranking your website. This change is meant to help mobile users find what they’re looking for more quickly. Google sees that people are using their mobile devices more often in search, so they’re making a strong effort to address that. More importantly, what a shop owner should recognize is that their digital presence is a reflection of the type of experience a customer will receive when visiting the actual shop. Shops should look at these updates as Google’s way of adapting to their user’s needs. If a shop doesn’t understand, they should consult a digital industry expert like Phoenix Solutions Group to better understand the implications these changes have on their digital presence. These updates happen frequently. To ensure a shop is set up for ongoing success, they should make sure their site aligns with their user’s needs and with Google’s published requirements.
Q: A:
Google has said that over half of the pages shown in search results are mobile-first indexed. Is this the new standard and why is July 1 significant?
Q:
Yes, Google started talking about mobile indexing in 2016 and as you’d expect, an update of this size takes time and planning. The most important fact is that starting on July 1, mobile first will be the default index method.
A:
Does this update have anything to do with the trend you are following called “digital dieting”?
Q:
Not really—”digital dieting” focuses on the overabundance of digital marketing noise in our lives and how people are becoming more intolerant of unnecessary digi-
A:
RN SOUTHE
tal interruptions. “Digital dieting” refers to the increase in “unsubscribe” rates and the consumer’s search for more personalized interactions with brands. It’s vital to realize fads will come and go and while technology will continue to play a disruptive role in our future, shops should remain focused on the one element that hasn’t changed since the beginning of time—the value of delivering differentiated customer experiences. This is what PSG has done for nearly 30 years through products like hand signed, personalized post-repair follow-up letters that help shops stand out from their competitors, remain top of mind with their customers and build brand loyalty.
Q:
What does research tell us about collision repair cusSee All Things Google, Page 52
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What will your mobile evaluation tell us?
We recognize that a lot of shops don’t have the time to keep on top of all these changes. As digital becomes more of a tactical element of the collision buying journey, shops need to make sure they are delivering at least an “at par” experience. Unfortunately, we find that most shops believe that because their site is responsive or “mobile friendly” they are already prepared. There is a lot more that goes into making sure you perform well with this update. Our evaluation looks at a variety of technical and structural factors to ensure that they are not only mobile-index ready but also they are optimized for the future of search—voice.
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Continued from Page 40
ASA Webinar
scribed the tensioner’s two job functions: maintaining the correct belt tension throughout the tensioner’s duty cycle and dampening the impulses from the engine as each cylinder fires. Bassett then identified the four failure modes of a tensioner. Like a tire that requires four things to ensure proper performance (proper tread, alignment, balance and air pressure), the belt’s proper performance relies on proper rib depth, alignment, dampening and belt tension. Bassett added, “Belts and tensioners were designed as a system. Correct alignment and tension are critical to the system. For best results, replace both together.” Next, Bassett covered modes of belt failure and understanding those failures. He wrapped up his webinar by describing the Gates Solution to the problem. “Without proper tension, even the best new belt can’t efficiently transfer power. Kits get to the root of the problem. A worn or noisy belt is only part of the issue.
Tensioners wear at the same rate as the belt and should be replaced together. A worn tensioner can make a new belt wear up to two times faster. Loose parts take more time to source or may be forgotten during the repair. Performing a complete system repair doesn’t add much time, but it adds a lot of value and protects against returns. Be part of the solution.” For 24/7 belt training, Bassett recommended visiting navigates .gates.com or gatesaftermarkettrainingcenter.com. He concluded by taking questions from attendees. ASA’s next Webinar Wednesday is scheduled for July 17 with Gene Jensen, Automotive Lubricants Trainer for Chevron/Havoline, discussing “Automotive Lubricant Fundamentals and Trends to Optimize Your Oil Program.” On July 24, ASA will offer a bonus webinar featuring Elite Worldwide President Bob Cooper as he presents “Four Easy, Cost-Free Ways to Bring in More Customers.” For more information on ASA or to register for their webinars, visit asashop.org.
SIERRACHEVROLET
by Emmariah Holcomb, glassBYTEs.com
GEICO’s Florida lawsuit against Shazam Auto Glass, LLC, and its owner, Sean Martineau, might have a new date in court. On Monday, June 24, Martineau and his company, requested an extension to respond to GEICO’s allegations against them. GEICO alleges Shazam and Martineau are responsible for a “fraudulent scheme” that included falsifying windshield replacement services totaling more than $340,000. GEICO is seeking to recover financial damages under the civil racketeer influenced and corrupt organizations act (RICO) statutes. The defendants (Martineau and Shazam) stated they were served with the insurance company’s complaint earlier this month, but according to the newly filed court document, Martineau is requesting an additional 21 days to file a response. “The issues raised in the complaint are complex and numerous. Given the extensive allegations of the complaint and the short period of time remaining before [the] defendants’ answer or response is due pursuant to Fed.R.Civ.P. 12, defendants’
SIERRASUBARU
counsel requires additional time to parse the extensive allegations with respect to each defendant, to formulate a defense strategy, to explore potential counterclaims, and to draft a comprehensive response,” a portion of the court document reads. The defendants are requesting the date be pushed back to July 19, 2019, to allow enough time for its legal counsel to gather enough evidence to respond to the claims of falsified windshield replacement services for several years. Currently, GEICO still claims Shazam at no point in time kept automotive glass, had auto glass repair or replacement tools, did not maintain any vehicles and did not perform any physical work on a customer’s vehicle. This is also a claim that the defendants mentioned would be addressed in its response. GEICO aims to recover its financial damages which total more than $340,000 from the defendants for their alleged fraudulent scheme. Meanwhile, the court has yet to approve the proposed response extension date of July 19, 2019. We thank glassBYTEs.com for reprint permission.
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GEICO’s Florida Fraud Case May Get a New Date
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Jason Bartanen Moves From I-CAR to Collision Hub by Gary Ledoux
Furthermore, I’m proud of advancing what I-CAR did with the OE’s and the vehicle-specific training we developed for them. I had a great relationship with all the I-CAR instructors and volunteers—all great people.
After almost 23 years, news hit that Jason Bartanen, I-CAR’s director of industry technical relations, was leaving the organization. On June 17, the industry was stunned when they found out that Bartanen would be You invested time and effort joining the team at Collision Hub— into I-CAR. What was the deone of the most prolific training organciding factor in making the move? izations headed by Kristen Felder. Passion for the collision indusCollision Hub will allow me to try runs in Bartanen’s family. refocus on the technician and “My grandfather opened a body shop in Ishpeming, WI, in 1939, help them excel, and perform correct taught my father collision repair and repairs. This is predicated on two fache passed it along to me,” Bartanen tors. One, Kristen Felder knows what said. “My father was my high school technicians want and need. She is alautomotive teacher and we operated ways connecting with them in person or on social media. She has a smaller Bartanen’s Auto a good feel for the shop’s Body in Oconto, WI. That’s production floor as well as really where I learned colliwhat goes on in the front ofsion repair. I also worked fice. Two, Collision Hub is part-time, while in college, big enough to have an effect at Commercial Auto Body in on the industry, but small Green Bay, WI, where I was enough to be nimble when it a painter’s helper.” Jason Bartanen In 1996, Bartanen went leaves I-CAR after comes to producing new to work for I-CAR as a tech- almost 23 years and products and services. Collinical writer developing train- joins Collision Hub sion Hub can bring product ing courses. This led to a promotion as to market very quickly. The industry is changing rapidly—we all have to technical development manager overseeing all curriculum development. run just to keep up. This, in turn, led to a stint as techniWhat unique opportunity does cal director where he maintained inCollision Hub present to you? dustry relations with shops, OE’s and other stakeholders. Bartanen has Collision Hub will give me been a mainstay in the industry, more opportunity and more speaking at many industry events, conducting training classes at indus- potential to grow. It will be a chance try events as well as local association for me to re-engage with the smaller meetings, and serving as a spokesper- shops that need the most help and son for I-CAR in industry magazine have the fewest resources. articles. What is your new title at ColAutobody News spoke with Barlision Hub and what does your tanen about his move to Collision Hub, and how this will affect him and the in- title entail? dustry. Here’s what he had to say: My new title is director of colWhat is your proudest accomlision industry relations. On a plishment at I-CAR? day-to-day basis, I will be working with industry stakeholders to develop I am proud of the Repairabil- new products and services delivered ity Technical Support Portal through Collision Hub. website. It was the first tool in the inDoes this mean you will be dustry to bridge the gap between competing with I-CAR in the OE’s and technicians. It’s a great way to share information. In addition, it same space? was the first product of its type—deNo—I see what we will be signed by technicians for technidoing as a compliment to what cians—so, the users can relate to it.
Q: A:
Q: A:
I-CAR does. Our training is more focused on certain areas, while I-CAR has a broader approach. Let’s face it … there are only about 8,000 I-CAR Gold Class shops out there out of 35,000 total shops. Many shops are at various levels of training and some have no training at all, so there is plenty of training to go around.
Larry Montanez of P&L Consultants and Mark Olson of Vehicle Collision Experts have each become an integral part of Collision Hub training. We see them all the time in the YouTube videos. How will your responsibilities affect them?
Q:
Kristen and Larry focus primarily on education for shop owners and the front office. I will focus on the actual repairs and the
A:
AUTOBODY
production floor. Mark is versed in many areas and brings his own special expertise to the table.
Do you foresee bringing in more people from the industry? How do you see expansion from here?
Q:
Kristen and I have a lot of ideas that I can’t discuss yet. We can expand, if necessary.
A: Q: A:
What is your ultimate goal or end-game?
My end-game is simple: I want technicians to be successful and perform proper, safe and complete repairs. It was my goal at I-CAR and it will remain the same here at Collision Hub. It is what the industry wants and needs.
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Truck Topics with Gary Ledoux
Gary Ledoux is an industry veteran with 48 years’ experience in the automotive and OEM collision parts industry. His column appears exclusively in Autobody News. He can be reached at YesterWreck@yahoo.com
Need Techs? HD Shops Have the Advantage Around 50 percent of shop ownMost automotive and HD truck shops—mechanical and collision-re- ers look to hire an experienced tech; pair shops—need more technicians. however, Holt wants to help the other Over the years, shop owners have 50 percent of shops that do want to sought to hire new techs and have grow their business with entry-level ended up with various results. techs. Since 2002, S/P2 has Car dealerships are open to employing entry-level provided industry-specific techs, but HD shops are the online training in mentoring most willing to take on new and soft skills. S/P2 Careers techs, said Holt. takes highly-skilled workers “Our goal is to connect within the automotive servthe entry-level tech with the ice and collision repair industry and helps place them Kyle Holt, president right shop as their first emwith the right first employer. of S/P2, helps shops ployer,” said Holt. “Not just Now, S/P2 is on a mis- grow their business any shop—a shop where with entry-level they can plant themselves. sion to help shops find, retechs We want to reverse this turn cruit and hire entry-level out after two years trend.” techs. Most entry-level techs have an “42 percent of students that graduate from automotive programs and ideal employer in mind. Below, enter the industry end up leaving in Holt outlines five key points for emtheir first two years,” said Kyle Holt, ployers who wish to employ a new tech. president of S/P2.
Continued from Page 46
All Things Google
tomers and their online vs. mobile search habits?
This is a hard question to answer, mostly because all body shops aren’t created equal. However, one commonality that we see across all of the 160+ sites that we manage is how people end up at a collision website from search. Using Google Search Console, we find that in most cases, 90-95 percent of shop site traffic is coming through branded keywords terms (i.e., some variation of the shops’ name). This data is significant for a lot of reasons. One, because it affects every type of shop—from the ones who spend a lot of money on SEO to the ones that spend very little. Secondly, these types of searches are indicative of customers who are in the late stages of their purchase decision and already have an awareness of the shop before entering search. This knowledge allows us to help our customers focus on the things
A:
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that matter most to collision customers, while others focus on the things that produce a marginal impact. Google Analytics and Google Search Console should be a shop’s first digital reference point, as they will most likely expose a more tactical interaction than the assumed consumption-based interaction of more traditional websites, which should help a shop owner better understand the real ROI of their marketing spend. What are some additional items a shop can do to capitalize on this new algorithm?
Q:
Our suggestions to our customers have always been to make sure your site is keeping up with the shift in expectations, which should start with focusing on what your analytics are telling you. The bottom line is, shops should work with companies that not only understand this industry but apply these latest updates and trends to ensure maximum impact on their business.
A:
AUGUST 2019 AUTOBODY NEWS / autobodynews.com
Outline an Effective Career Path Nobody wants to be in a dead-end job. Nothing kills enthusiasm more than knowing there is nothing to look forward to. Shop owners should design a path showing entry-level techs where they can go in their career and what they can earn based on training or education they receive. Implement a Systematic Mentoring Program Many times a shop owner will pair a new tech with the most experienced tech; however, this distracts the more adept tech. Instead, look for someone who is knowledgeable yet empathetic. Your expert tech is not necessarily the best teacher. Address the Pay Issue As a tech gains more knowledge and skill, they are worth more and should be paid accordingly. A beginner tech
should be aware of how much they can make. Leverage a Free Tool System A toolbox and a tech go hand-inhand. However, buying tools is expensive. Many starting techs cannot afford to cover these costs. Holt said many shops are starting to buy tools for their techs, which is a great idea. Others are giving techs a monthly tool allowance. “I suggest that shops buy and own all of the tools, but makes the techs responsible for them,” Holt said. Practice Patience “People learn at different speeds and in different ways,” said Holt. Don’t expect your entry-level tech to retain a ton of new information in a short amount of time, he said. Be patient and let them learn at their own pace, he added.
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GM, Owens Partner for Debt-Free Path to Auto-Tech Jobs by Staff, Sentinel-Tribune
General Motors Co. (GM) has chosen Owens Community College in Ohio as one of seven community colleges in Michigan, Ohio and Pennsylvania to launch its GM Dealer Technician Scholarship, a program that can help students graduate debt-free with a two-year associate degree in automotive technology, beginning this fall. This scholarship is offered through the Owens Community College Foundation to assist eligible students who are enrolled in the GM Automotive Service Educational Program with full tuition and fees. “This is great news for our students who are looking to enter the automotive technology field with low cost, high-quality training,” said Steve Robinson, president, Owens Community College. “We are proud to continue our more than 25-year partnership with GM to help fill the gap between industry needs and qualified workers.”
The GM Dealer Technician Scholarship will help address the growing demand for highly trained automotive service technicians. The Ohio Occupational Employment Projection Report estimates that the industry will need 28,675 more technicians by 2026 due to anticipated demand and attrition. Owens Community College works with nearly 50 GM dealerships in the region to provide students the opportunity to work alongside experienced technicians to maintain and repair today’s high-tech vehicles. There is a 100 percent job placement rate for students completing the GM ASEP program at Owens. The end goal of exposing these students to many of GM’s industryleading technologies, including battery-electric vehicles, semi-autonomous driver assistance systems like Cadillac Super Cruise and built-in Wi-Fi connectivity is fulltime employment at one of more than 4,000 GM dealerships around
the country. “We’re tearing down the barriers that stand in the way of people pursuing these good-paying, hightech jobs,” said Terry Rhadigan, executive director, GM Corporate Giving. “After two years, we want people to hit the ground running, so we will help them get a quality education, technical training and handson experience without the burden of student loans.”
Students interested in the scholarship program should contact Owens Transportation Technologies department at 567-661-7388. We thank the Sentinel-Tribune for reprint permission.
www.autobodynews.com
ECS Renews Commitment to CIECA
Electronic Claims Services (ECS) has renewed its commitment to CIECA and the CIECA standards. “We have a long history in the property & casualty and collision repair and glass industries and have been familiar with CIECA’s efforts to encourage industry standards,” said Brett Mulvihill, president at ECS, which is based in Portland, OR. “We joined CIECA as we support open commerce.” Mulvihill said the company has many longstanding relationships with Pacific Northwest companies as well as other clients throughout the U.S. and is committed to supporting these customers with first-class service and support. “Standards simplify the integration process and improve the efficiency of the interactions with our insurance clients, collision and glass repair and the various service providers we work with while facilitating the insurance claim process,” he added. For more information about Electronic Claims Services, visit www.claimsoffice.com/company .aspx. For more information about CIECA, visit www.cieca.com.
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Dr. Ricki Garrett’s Focus on Education & Training Helps MSCRA Become Industry Model by Stacey Phillips
Two years ago, the Mississippi Collision Repair Association (MSCRA) asked Dr. Ricki Garrett, Ph.D., to assume the role of executive director so the current director, John Morgan Hughes, could focus on lobbying efforts for the association. Garrett welcomed the opportunity. “My focus is to help the association become an outstanding organization and a leader in the profession,” said Dr. Garrett. Previously, Dr. Garrett served as the executive director of the Mississippi Nurses Association. She created and managed the first association for nurse practitioners in Mississippi— The Mississippi Association of Nurse Practitioners (MANP). In addition, Garrett owns an association management firm, Ricki R. Garrett, LLC that manages The Mississippi Speech-Language-Hearing Association and consults for other associations. Prior to her association management career, Dr. Garrett served a 12-
year gubernatorial appointment to the the industry.” Dr. Garrett currently serves as Board of Trustees of State Institutions of Higher Learning, governing the alderwoman-at-large for the city the eight public universities in Mis- of Clinton, where she lives in Mississippi. sissippi. Throughout her career, “That experience gave she has been involved with me a depth of knowledge leadership positions in mulabout governance, managetiple state professional assoment, education, and legal ciations. Dr. Garrett earned a and financial issues,” said PhD in Urban Higher EducaDr. Garrett. “Association tion from Jackson State Unimanagement is very much Dr. Ricki Garrett, versity, a master’s in English the same, despite representexecutive director of the Mississippi from the University of Mising a diverse group of proCollision Repair sissippi, and a bachelor’s in fessions and organizations.” Association (MSCRA). English from the Mississippi She said collision repair specialists need up-to-date, state- University for Women. An important part of her role at of-the-art education and training and stressed the importance of learning the MSCRA is managing the annual the value of advocacy for their pro- Southeastern Automotive Repair Conference (SARC), which took place this fession. “Their professional association past June in New Orleans, LA. “They said they needed someis, literally, the best vehicle for acquiring that education and for mov- one with extensive event planning ing the industry forward,” explained experience to manage a conference Dr. Garrett. “I hope my experience in of that size and scope,” said Dr. Garassociation management and gover- rett. Approximately 300 attendees nance and my education will help to move MSCRA forward as a leader in had the opportunity to experience
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autobodynews.com / AUGUST 2019 AUTOBODY NEWS
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tance of following industry standards in all repairs and the value of political advocacy for the industry. As the host of the SARC Conference, Garrett said MSCRA is focused not only on Mississippi issues but also on making sure the association is representing the industry needs of the Southeast and nationally. The association is known for its lobbying over the years and is involved in such issues as consumer protection, OEM parts requirements and eliminating the practice of title washing of totaled vehicles. “MSCRA wants to ensure local and regional body shops are becoming models for the industry by providing the very best training and education for our members,” she added. As a result, there were presentations throughout the event from industry leaders such as Aaron Schulenburg, executive director of the Society of Collision Repair Specialists (SCRS); Burl Richards, president of Burl’s Collision Center and president of the Auto Body Association of Texas (ABAT); and Jake Rodenroth, director of industry relations at asTech. Other speakers included former pro hockey player and author, Dave Jesiolowski, and Mississippi Attorney General Jim Hood. The conference also featured information about the Honda Fit from the John Eagle Collision Center court case. The annual event was established in 2012 by Steve Plier, president of Consumer Auto Repair Excellence, as a platform to showcase the collision repair industry and address issues unique to body shops. Five years later, SARC has become the premier industry event for the Southeastern United States. He said the goal is to bring the industry together so they can communicate and better understand that issues do not only affect a single repairer or a repairer in a particular area, but everyone faces the same or
similar issues. “The conference was founded for the industry and the event has grown because of the collision repairers who attend and the suppliers/industry sponsors,” said Plier. “It was due to the efforts and time of each of those groups that grew SARC to the levels it has reached, and it will be
and to clarify any ambiguities. “In Mississippi, it seems like most insurers are following the manufacturer position statements regarding the scan codes, but I encourage body shops and consumers in our state to notify my Consumer Protection Division and MID if that is not the case,” Hood told attendees.
the efforts and time of those groups that will continue to make SARC and or other regional events a success.” During this year’s conference, Hood discussed the Mississippi Auto Repair Task Force that was created by the attorney general’s office and the Mississippi insurance commissioner, Mike Chaney, with representatives from a cross-section of the industry. As a result of the taskforce, the Attorney General’s office issued a guide for Mississippians about detailing the state and federal law for insurance and auto repair: A Consumer’s Guide to Auto Body Repair. “I hope that other states will use our guide as an example for what they can create in their states,” Hood said. At the end of the task force meeting in January 2017, Hood said it was clear that computerization was going to be the next big issue to monitor. Since then, his office has worked with the MS Insurance Department to facilitate resolution of disputes and to monitor whether or not scan codes are being covered by insurance companies. Last August, Hood’s office reached out to OEMs, including FCA, Honda, Hyundai, Nissan and Toyota, to discuss their position statements regarding scan codes
In order to assist consumers in the future, Hood said it’s important for him and his staff to stay informed regarding industries impacting consumers, especially new technologies, and how the attorney general can help. “Additionally, I have found that multi-sector collaboration is essential on every issue—whether we are talking about recovery from the opioid crisis or auto repair and insurance coverage; conferences such as SARC help build those necessary relationships.”
“Their professional association is, literally, the best vehicle for acquiring that education and for moving the industry forward,” — Dr. Ricki Garrett
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AUGUST 2019 AUTOBODY NEWS / autobodynews.com
Garrett added that the enduring purpose of SARC is to provide an annual forum for collision repair professionals in the region – where attendees can visit exhibits, receive important industry information and training, stay abreast of new vehicle technologies, learn the best methods for marketplace success, and stay focused on consumer safety. “We were very pleased with the response to the SARC 19 conference and look forward to announcing the dates and location for SARC 2020 soon,” said Garrett. “It is our hope that SARC will become bigger and better each year and will enable both our attendees and our industry partners to have the most valuable and rewarding experience possible.” For more information about MSCRA, visit https://mscra.net. For more information about SARC, visit https://sarc-collision.com. A Consumer’s Guide to Auto Body Repair is available for download at www.agjimhood.com or by following this link: www.ago.state.ms .us/wp-content/uploads/2017/05/AUTO -BODY-REPAIR-A-CONSUMERSGUIDE_Final.pdf.
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autobodynews.com / AUGUST 2019 AUTOBODY NEWS
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Volvo Trucks’ Cabin-Less Self-Driving Hauler Takes on Its First Job by Nick Lavars, New Atlas
What would trucks look like if they didn’t need to accommodate a human driver? Volvo Trucks’ Vera vehicle is an exploration of this idea, doing away with the cabin entirely so it can more efficiently tow goods around ports and factories. The freewheeling four-wheeler has just been assigned its first task, and will soon go to work delivering containers to a port terminal in Sweden.
What would truck cabins look like if they didn’t need to accommodate a human driver? Credit: Volvo Trucks
Revealed in September last year, the autonomous Vera is powered by the same drivetrain and battery packs found in Volvo’s electric trucks. It is, however, more electric sled than electric big rig, consisting of four-
wheels and a low-profile body that can be latched onto by standard load carriers and trailers.
Communicating with one another via a control center over the cloud, this could optimize traffic flow, keep operations running smoothly and minimize waiting times. And Volvo Trucks is now set to see how well this works in practice, with Vera receiving its first assignment towing containers from a logistics center in Gothenburg, Sweden,
Volvo Trucks’ Vera vehicle has received its first assignment. Credit: Volvo Trucks
Revealed in September last year, Vera is powered by the same drivetrain and battery packs in Volvo’s electric trucks. Credit: Volvo Trucks
Volvo Trucks’ Vera is set to go to work moving containers around a logistics center in Sweden. Credit: Volvo Trucks
The thinking is that one day fleets of connected Veras can scurry around ports, factories and other facilities with large loads on the back.
to a nearby port terminal for distribution around the world. The pilot is a collaboration with logistics company DFDS and will involve short trips with speeds limited to 40 km/h (25 mph). “Autonomous transports with
Confidence through the corners, because we never cut them. Porsche Genuine Parts and Service, only at your local authorized Porsche dealer. Porsche of Boise Boise, ID 800-621-1775 208-672-3494 Fax
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©2019 Porsche Cars North America, Inc. Porsche recommends seatbelt usage and observance of traffic laws at all times.
60
low noise levels and zero exhaust emissions have an important role to play in the future of logistics, and will benefit both business and society,” says Mikael Karlsson, vice president of Autonomous Solutions
AUGUST 2019 AUTOBODY NEWS / autobodynews.com
The thinking is that one day fleets of connected Veras can scurry around ports, factories and other facilities with large loads on the back. Credit: Volvo Trucks
at Volvo Trucks. “We see this collaboration as an important start and want to drive progress in this area. Vera may have a speed limit, but we don’t. Testing has already started and we intend to implement the solution within the coming years.” We thank New Atlas for reprint permission.
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autobodynews.com / AUGUST 2019 AUTOBODY NEWS
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AAPEX 2019 to Recognize Exhibitors
AAPEX 2019 has lined up specialists from the exhibition industry to tour the show floor and select Best Booth Award winners using design, staffing and exhibition best practices as the criteria. AAPEX represents the more than $1 trillion global automotive aftermarket industry and will take place Tuesday, Nov. 5, through Thursday, Nov. 7, 2019, at the Sands Expo in Las Vegas. Judges include: Kimberly Hardcastle, CEM, president, mdg; Dana Freker Doody, vice president, Communications and Strategic Client Solutions, The Expo Group; Nancey Drapeau, PRC, senior research director, Center for Exhibition Industry Research (CEIR); and Carrie Ferenac, president, CNTV. All AAPEX 2019 exhibiting companies are automatically entered into the competition, without the need to sign up to participate. The Best Booth Award winners will be announced Wednesday, Nov. 6, at 3:30 p.m. on the Let’s Tech stage, Level 2 of the Sands Expo.
Truck Driving Could Soon Be a Desk Job by Joann Muller, AXIOS News
On the week on June 17, for likely the first time, a heavy-duty commercial truck drove for 9.4 miles on the Florida Turnpike with no one inside. The “driver” was 140 miles away, operating the rig remotely. The big picture: Automated freight delivery is expected to begin long before self-driving cars are here, and at least a half dozen truck companies are working on the technology, with tests in various stages of development. Starsky Robotics’ Florida demonstration was believed to be the first unmanned, high-speed test of a heavyduty commercial truck on a public highway. Why it matters: The U.S. is experiencing a severe shortage of truck drivers—as many as 175,000 by 2026, according to the American Trucking Associations. Companies like Starsky Robotics hope they can address the shortage by making the jobs less taxing. To make the job more appealing, self-driving truck start-up TuSimple even helped create an autonomous driving certificate pro-
Mini Dealership Sues BMW Because It Had No Choice by Jazz Traugott, CarBuzz
Mini is not in the best shape in North America these days. Despite the quality vehicles, prices are high and Americans have been gravitating towards crossovers. Mini only offers one, the Countryman. On top of that, new small car sales have been declining in the US, which is obviously bad news for Mini. Its parent company, BMW, is fully aware of the problem making the decision to allow Mini dealers, who are also BMW dealers, to either downsize or move operations to their BMW stores. According to a new report from Automotive News, however, BMW’s handling of Mini has become the source of frustration and even a lawsuit. The previous chairman of the Mini dealer council, David Peterson, has sued BMW of North America alleging that the automaker breached its dealership agreement by failing to promote and develop the Mini brand. Peterson’s Mini dealership in AUTOBODY
62
Louisville, KY, is one of five dealerships in the US that closed recently due to slow sales and low profitability. Peterson said BMW simply didn’t do enough to properly promote Mini and its vehicle lineup and, in addition, is only providing assistance to some Mini dealers, specifically those who opted to join with the BMW dealers. He alleges “unfair discrimination by BMW,” arguing that its plans place more onerous requirements on Mini dealers wishing to integrate with nonBMW stores compared with those joining BMW stores.” Peterson doesn’t own a BMW store, but rather a Mercedes-Benz franchise; therefore, he had no opportunity to salvage his Mini business. His lawsuit states that “Peterson Motorcars is left with a dealership that is not financially viable and an unusable single purpose facility in which he has invested millions of dollars.” He’s seeking monetary and punitive damage, along with costs and attorney fees. We thank CarBuzz for reprint permission.
www.autobodynews.com
UPDATED DAILY
AUGUST 2019 AUTOBODY NEWS / autobodynews.com
gram at Tucson’s Pima Community College to teach truck drivers how to train, operate and monitor autonomous truck systems closer to home. Instead of aiming for an AV moonshot—an autonomous truck that makes all the driving decisions without any human intervention— Starsky says it’s taking a more practical approach that combines highway automation with teleoperation, allowing remote drivers to navigate trucks between distribution centers and the highway. Details: With no one inside, the Starsky truck navigated a rest area near Orlando, merged onto the highway from the left, kept a speed of 55 mph, changed lanes, and exited the highway on the right through a toll booth. The remote driver—sitting behind three computer screens in an office two hours away in Jacksonville—used a steering wheel, buttons and foot pedals to maneuver on and off the highway. After he set the speed to 55 mph, the automation took over, with the driver intervening only to order the lane change.
In all, the human driver operated the truck for just 0.2 miles, or 2% of its journey, says co-founder Stefan Seltz-Axmacher. “It got pretty boring,” he said. Yes, but: Teleoperation relies on ordinary cellular networks that occasionally lead to communication glitches that could potentially delay remote decision-making. For now, Starsky Robotics trucks are accompanied by chase vehicles in case something goes wrong and a human driver needs to jump into the cab to steer a stopped truck off the highway. The bottom line: Automated trucking is getting closer, but the instincts and knowledge of human drivers are still needed, even if the humans themselves aren’t in the vehicle. For more news like this, signup for Axios’ Autonomous Vehicles Newsletter by Muller. We thank Axios News for reprint permission.
www.autobodynews.com Finish it like a Masterpiece
The Right PARTS A PERFECT Fit.
USE GENUINE MERCEDES-BENZ PARTS. Order Genuine Mazda Parts from these Parts Specialists in your area
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autobodynews.com / AUGUST 2019 AUTOBODY NEWS
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$5 Million in Digital Gift Card Incentives Accelerates Response to Takata Airbag Recall Bitmo, a mobile gifting and payment platform that is transforming the $160 billion gift card industry, has partnered with peer-to-peer safety platform Carma Project to deliver an innovative incentive-based program designed exclusively for accelerating consumer response to automotive recalls. Launched in December in collaboration with Toyota Motor North America, Carma Project aims at addressing the Takata airbag recall. Labeled “the largest and most complex safety recall in U.S. history” by the National Highway Traffic Safety Administration (NHTSA), the recall continues to impact vehicles built by 19 different automakers, with a projected 70 million airbags expected to be recalled by the end of 2019. Carma and Bitmo have taken a unique approach to building awareness by allowing consumers to earn rewards as Carma “Ambassadors.” Those participants are incentivized for sharing information related to the recall with their friends and family via their social networks. Participants can earn financial rewards by signing up for Carma
Project and sharing Takata airbag recall information with their friends and family. A simple license plate photo or typing a VIN into a recall lookup tool on Carma Project’s website allows involved Toyota, Lexus, and Scion owners to immediately take action and book an appointment for a free Takata airbag fix. Referring individuals can also earn financial rewards for every eligible Toyota, Lexus or Scion that is fixed. Individuals who lookup any vehicle can receive $5 in Bitmo rewards and referring Ambassadors can earn a $55 reward once a recalled airbag has been replaced. To redeem their digital gift cards, participants simply download the Bitmo mobile app, which allows them to save, store and swap gift cards from a list of over 130 retailers including AMC Theatres, Nordstrom, REI, GameStop and Domino’s. Users can even pay using the Bitmo app on their mobile phone. “Word of mouth is incredibly powerful, especially in our increasingly connected digital lives,” said Carma Project Co-founder and CEO Fabio Gratton. “Our goal is to iden-
Ford Stresses Importance of Glass Repairs by Tara Taffera, glassBYTEs.com
In the recent issue of Ford’s On Target newsletter, aimed at Ford and Lincoln wholesalers and the collision repair industry, the automaker details the importance of “proper fixed glass repairs.” Ford Motor Company’s Senior Damageability Engineer Gerry Bonanni was interviewed regarding the proper repair procedure for vehicle fixed glass, and the important role it plays. Bonanni went so far as to say that skipping of a step or not following procedures exactly could result in “catastrophic results.” “The fixed glass of the vehicle plays an important role in the overall strength of the roof and in ensuring a robust repair,” said Bonanni. “Especially the windshield, which provides strength and stability to the vehicle’s structure and affects how it performs in a collision event. Preserving that strength and stability is paramount, as is the proper preparation of the substrate to which the fixed glass adheres. If the fixed glass, such as the windshield, is not seated properly, and the substrate is not prepared correctly, the glass could pop right out 64
during a subsequent collision event, seriously jeopardizing the overall structural integrity and safety of the vehicle.” The article details specific installation instructions for everything from trimming the urethane, use of primer and more. If the vehicle is equipped with a camera, carry out IPMA camera alignment, referring to Section 419-07: Lane Keeping System, Description and Operation, the article states. “Today’s vehicles are specifically designed and constructed to work together in a complex sequence to provide proper functionality and safety in the event of a collision,” said Bonanni. “Ford’s OEM repair procedures—as found in the workshop manual—are the only way to ensure the vehicle’s proper functionality and safety are maintained, providing peace of mind for repairers and customers alike. Unauthorized changes to any one component, skipping a step, or not adhering to the carefully and fully laid out Ford OEM repair procedures can cause catastrophic results.” We thank glassBYTEs.com for reprint permission.
AUGUST 2019 AUTOBODY NEWS / autobodynews.com
tify solutions to help people, help people. The power of word-of-mouth advocacy combined with a digital incentive program can motivate people to take action.” “We’ve had great success helping our retail partners incentivize customers to spend more with them using Bitmo. It felt only natural to use the same concept to help this crucial initiative,” said Michael Smallwood, CEO and founder of Bitmo. “Our digital gifting platform makes gifting more convenient, flexible and secure than ever before, making it quick and easy to reward participants in the incredibly important Carma Project efforts. No more waiting for a physical gift card to be delivered in the mail. After downloading the Bitmo app, eligible participants will have their gift appear straight away. It’s this instant reward and ease of use that we hope encourages many more people to participate in raising awareness about the recall.” The program has already delivered over $230,000 worth of incentives. Obtained via PRWeb.
Mitsubishi to Relocate US Headquarters
Tennessee Gov. Bill Lee, Department of Economic and Community Development Commissioner Bob Rolfe and Mitsubishi Motors North America officials announced on June 25, 3019, that the automaker will relocate its headquarters to Franklin, TN, from Cypress, CA. Mitsubishi Motors’ move represents an investment in the county of $18.25 million and brings approximately 200 jobs to Williamson County. Since 1988, Mitsubishi Motors North America has been rooted in California. The relocation to Franklin will begin in August and be completed by the end of 2019. All departments will be relocating, including sales, marketing, IT and more. Since 2013, headquarters jobs have grown by 37 percent in Tennessee, the fastest rate of growth among states in the Southeast. For more information on Mitsubishi vehicles, please contact the Mitsubishi Motors News Bureau at (888) 560-6672 or visit: media .mitsubishicars.com. Obtained via globenewswire.com.
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