Use Your Clout, You Lout: Labor Rates Palmer AK
603 9248660
Peterborough, AK
314-5762866
St. Louis, AK
907-223-8403
Anchorage, AK
425-296 6138
Bellevue, AK
(907) 258-0010
Anchorage, AK
205.802.7753
Homewood, AK
303-894-8246
Denver, AK
609-267-0990
Westampton,, AK
(907) 276-1454
Anchorage, AK
(907) 279-3992
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. 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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