Use Your Clout, You Lout: Labor Rates Gilbert AZ

If you're in a trade market that has a high utilization of used parts, you'll have a difficult time negotiating for OEM. The best thing you can do here is educate the consumer and be sure you understand the policies of your customers' insurance carrier.

T's Lad Inc
(480) 558-0472
1026 E Stanford Ave
Gilbert, AZ
Pmri
(480) 497-1700
745 N Gilbert Rd Ste 124
Gilbert, AZ
Azcomp Technologies Inc
(480) 730-3055
425 W Guadalupe Rd Ste 103
Gilbert, AZ
Mad Consulting
(480) 699-0212
1561 E San Tan St
Chandler, AZ
Robert Hart Consulting
(480) 892-4621
1640 S Stapley Dr Ste 243
Mesa, AZ
Kcd Medical Consultants
(480) 792-1108
1014 E Stottler Ct
Gilbert, AZ
M H Bennett Estimating
(480) 892-9322
602 E Pinto Ct
Gilbert, AZ
Thompson Industries Llc
(480) 507-0684
2020 W Guadalupe Rd Ste 5
Gilbert, AZ
Red Sea Consulting
(480) 782-1652
650 N Nantucket St
Chandler, AZ
Altima Business Solutions, LLC
602-773-1488
1820 East Ray Road
Chandler, AZ
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Use Your Clout, You Lout: Labor Rates

"When will dealership body shops - with their captive clientele - wise up and stop making concessions to insurance companies? e.g.: Charge the same labor rate as in their mechanical shop. Their mechanical shops don't work with junkyard or jip parts. Why agree to do anything different in the body shop?" asks P. Michael Riffert, president, Engle's Frame and Body Service, Ephrate, Pa.

By David M. Rowe
4/1/2002

Though there's no clear-cut answer to this question, I can tell you that dealership body shops don't have nearly the clout that this reader thinks we do, and I can share some insight that's helped to make my dealer body shop successful.

Insurance Climate - The first thing that comes into play here is the typical insurance climate in your geographical area. If you're in a trade market that has a high utilization of used parts, you'll have a difficult time negotiating for OEM. The best thing you can do here is educate the consumer and be sure you understand the policies of your customers' insurance carrier. Some carriers do take their insured's desires into account. Insurers, like us shop owners, are doing all they can to retain a solid customer base. Equally important is to know your state insurance department regulations regarding the use of LKQ or aftermarket parts.

The only advantage that we, as dealer body shops, have is in regard to our mechanical labor rate. Insurance companies in my market pay the posted labor rate for our mechanical department. However,...

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