A recent study by the Nebraska Auto Body Association (NABA) showed that the average repair bill for a collision-damaged vehicle was $2,593 during the first quarter of 2012. Insurers used policyholders' reserves to pay for 72% of repairs performed by Nebraska collision shops, while 24% of payments were paid directly by customers.
NABA’s survey also revealed the importance of quality parts. OEM parts accounted for 51% of parts used to repair collision-damaged vehicles. Certified aftermarket parts accounted for 32%, while recycled parts were used 14% of the time. Use of non-certified aftermarket parts and OEM seconds was negligible.
“Survey respondents clearly preferred OEM and certified aftermarket parts,” said NABA Director Norbert Zaenglein. “Quality of parts continues to be a top consideration in the repair of collision-damaged vehicles.”
When asked about sales during the first quarter of 2012 compared to the first quarter of 2011, 50% of shops reported no change, 8% of shops reported an increase and 42% of shops reported a decrease in sales.
Another surprise was the number of shops that did not have any DRP affiliations. Approximately 58% of survey respondents did not have any DRPs, 8% participated in one DRP and another 8%belonged to two DRPs. Finally, 17% of respondents belonged to two DRPs and 8% said they were on at least six DRPs.
The average number of years in business was 24, and 76% of shops said they were family-owned.