AASPI President-Elect Mike Mattson stated that the February 11, 2015 CNN story on the use of used, aftermarket and re-manufactured parts and the steering of customers to insurance preferred shops, “was very true and ethical reporting but noted it’s not just State Farm or Progressive but 99% of the insurance industry pushes these practces.” Mattson, who has owned a body shop for 36 years, noted that he has “seen the insurance industry take more and more control over my business and the industry.”
Mattson stated, “It’s our choice to accept or not accept the lower standards and repair practices Insurance companies require of us, but we have failed to educate our customers that they have a choice. The customer pays the premiums and has a choice to renew with their insurance coverage and no insurance carrier wants to lose a customer, just look how much they spend in advertising to acquire that customer.”
AASPI believes that the consolidators seem to have jumped on the bandwagon of lowering the standards as well in order to compete with shops that continue to accept poor repair methods and practices. These shops are cheating the customer and themselves as well.
Mattson stated, “I keep hearing how the big players will put me out of business. I do not believe that to be true. I have always survived and profited on good ethical business practices. Today is a good time to be in the collision repair business if you are prepared and being prepared means education in every aspect of every detail to complete a safe and profitable repair.”