One of the panel discussions at Canadian Collision Industry Forum focused on ways to simplify direct repair programs. Do you think that DRP relationships could be simplified? What is the best way to go about this?

Most of the discussion at the C.C.I.F. meeting pertained to what may be considered competitive issues. For example the mark-up on LKQ or the OEM list pricing, etc. What if the discussions began at the estimating system of choice level (Mitchell/Audatex), and build the profiles from there. Each Insurance Provider could negotiate the individual regions as far as rates go but the profiles and line items would be in place. It would then be a matter of estimators 'pointing & clicking' on the necessary repairs within a uniform structure. The guide manuals for each Insurer would list what is allowed and the only truly judgement area would be repairs to individual panels. The estimators then would not have to retain so much information for each Insurer and risk mixing them up. From there common protocol would develop as to the dispatching of assignments to final invoice.

One suggestion would be that insurers should look at all the claims handling processes and model themselves after the one or two companies that have designed a seamless process. Or sit down collectively and design a system that works for the majority of companies. A lot of work but more streamlined processes will result in big savings for insurers.

The estimate and all of the processing related to the estimate is costly and inefficient for collision repairers and insurers. That is the reality, we cannot change that today, however we can help "the eyes" that see that reality develop approaches to address the inadequacies and discover alternatives. We do not work together enough, there should be no lone rangers here, both collision repairers and insurers want long-term customer retention and yet we inconvenience our customers with inefficiencies that are by design not default.