22.02.2007

How Safe Is Your Work?

Normally profitable bodyshops could be put out of business if they rely too heavily on insurance work, trade sources have claimed. Disturbing anecdotal evidence emanating from trade contacts, in the Republic and beyond indicate that insurance companies are quite prepared to flex their not insignificant muscles, and move work from one repairer to another.

With only a handful of insurances providers in the market and a host of approved bodyshops vying for work, there is no doubting, where the balance of power lies. Bodyshops that over rely on work from insurance companies run the risk of becoming a “captive repairer”, where the insurance company can dictate rates and general terms and conditions. The trend in the UK and mainland Europe, has been for insurance companies to move work from one repairer to another for no apparent reason – apart from the fact that they have the ability to do so.

Bodyshops can best protect their business, by managing a balanced portfolio of work made up of insurance work, regular trade repairs and consumer repairs.

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