Becoming an insurance-certified body shop can be a challenging process. While the specific requirements vary depending on the insurance company and the region, there are several essential steps that businesses must typically take to achieve this certification. Firstly, it is crucial to ensure that the body shop meets the necessary standards set by the insurance company, which may include specific training, equipment, and facility requirements. This often involves investing in advanced technology, hiring skilled technicians, and undergoing regular audits or inspections to maintain the certification. Additionally, building relationships with insurance agents, dealerships, and local businesses can be beneficial. By networking and partnering with these entities, body shops can increase their chances of obtaining insurance contracts and referrals. It is also important to note that different vehicle manufacturers have their own set of special certifications, and obtaining these can enhance a shop's reputation and expertise.
Characteristics of Insurance Certified Body Shops
Characteristics | Values |
---|---|
Technicians | Must earn specific certifications through professional training and meeting requirements |
Certifications | I-CAR Gold Class, Assured Performance, OEM/Manufacturer, Better Business Bureau |
Equipment | Depends on the certification, but shops must have the proper equipment to handle all types of collision repairs |
Resources | Technicians, certifications, equipment |
Contracts/Partnerships | Difficult to obtain; insurance companies are not transparent about requirements |
What You'll Learn
I-CAR Gold Class certification
The I-CAR Gold Class Certification is a highly regarded accreditation in the auto body repair industry. It is a symbol of a body shop's commitment to providing the highest quality repairs and service to its customers. This certification is not mandatory but is highly beneficial for body shops seeking to establish themselves as trusted and reputable businesses.
Benefits of I-CAR Gold Class Certification
The certification provides a competitive advantage by demonstrating to customers and insurance companies that the body shop adheres to the latest industry standards and repair techniques. It also ensures that the shop's technicians are highly skilled and knowledgeable, having undergone extensive training in various aspects of auto body repair.
Requirements for I-CAR Gold Class Certification
To achieve the I-CAR Gold Class Certification, body shops must meet stringent requirements. These include having a certain percentage of their technicians I-CAR trained and certified. The shop must also demonstrate a commitment to continuous improvement and staying up-to-date with the latest industry advancements.
Process of Obtaining I-CAR Gold Class Certification
Body shops interested in obtaining the I-CAR Gold Class Certification can enrol their technicians in I-CAR training programs. These programs offer a comprehensive curriculum covering various topics, including collision repair, refinishing, damage estimation, and more. After completing the required training and meeting the necessary standards, the shop can apply for the I-CAR Gold Class Certification.
Maintaining I-CAR Gold Class Certification
Once a body shop achieves the I-CAR Gold Class Certification, it must continue to meet specific requirements to maintain its status. This includes ensuring that technicians stay current with new technologies and repair methods through ongoing training and education. By maintaining their certification, shops reinforce their commitment to excellence and stay at the forefront of the auto body repair industry.
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Assured Performance certification
The Assured Performance certification is a major credential for auto body shops. It is a third-party certification provided by a non-profit consumer advocacy organisation. Less than 10% of auto body shops meet the requirements to be Assured Performance certified.
To achieve this certification, body shops must pass all the requirements established by specific auto manufacturers. They must also pass an annual on-site inspection and audit. During the audit, the shops must demonstrate that they have the proper training, equipment, tools, and facilities to handle all types of collision repairs. This includes having highly skilled experts in four key collision roles: damage estimator, steel structural technician, non-structural technician, and refinish technician.
The Assured Performance certification provides body shops with the official credentials to elevate and increase the value of their business. It allows them to become officially recognised by several auto manufacturers and appear on numerous intelligent shop locators. The certification also comes with a consumer and insurance referral program, which includes multiple listings on consumer and insurer-facing shop locators and smart apps.
The Assured Performance Network is made up of three entities: a management company, a non-profit consumer advocacy organisation, and a legal cooperative. Their strategic partners include several of the world's largest automakers, such as Nissan, FCA, Kia, Hyundai, and others, representing nearly 2/3 of all vehicles on the road today.
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OEM/Manufacturer certification
OEM certification is issued to auto body shops by auto manufacturers after the shop has undergone a certain authentication process. This process differs depending on the manufacturer issuing the certification. Generally, it certifies that the body shop has undergone training to understand the specific complexities of the manufacturer's vehicles and that only OEM parts are used in the repair of those vehicles.
Most certification programs have a representative from the manufacturer train the shop's technicians on the make's specific series and models. In addition, manufacturers may also require that the shop meet certain additional service, safety, equipment, and/or education standards. For example, certain metals may require completely separate equipment, tools, and space to work on.
The number of body shops with OEM certification has increased dramatically in the past decade. This is largely due to the increased complexity of car technology, which requires more specific training to repair. For example, a simple fender bender could now require the repair of a bumper in addition to bumper sensors or a camera connected to a computer system.
Despite the growing popularity and necessity of OEM certification, many auto body shops don't pursue it due to the high upfront and maintenance costs. Certifications often need to be renewed annually to ensure shops are up to date with new models and features from manufacturers, which can incur additional costs in terms of special equipment and further certifications.
However, OEM certification is valuable for body shops as it adds value to their customers' repairs, helps attract and retain qualified technicians, and ensures customers that their vehicles are in the best possible hands.
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Better Business Bureau certification
To become a Better Business Bureau (BBB) certified body shop, there are a number of steps and requirements to meet. The BBB uses a code of ethics, consumer reviews, business responses, and other programs to rate businesses in the community. The public can access this information for most businesses. An excellent BBB rating means that the shop has met stringent standards.
BBB considers a range of factors when making a rating. This includes the number of customer complaints, how the business responds to these complaints, response time and quality, and other factors. A business that is deemed trustworthy is allowed to display a BBB rating badge alongside its logo. This badge is a signal to customers that the business is reputable and provides high-quality services.
To achieve an A+ rating, the highest rating possible, a business must score 97 or higher out of 100 possible rating points across all factors.
BBB also provides resources and programs to empower and protect consumers. For example, consumers can use the BBB Scam Tracker to find and report scams.
To get BBB accredited, businesses can add their listing to the BBB directory and explore the value of becoming accredited.
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Dealership partnerships
Building Relationships
Forming partnerships with dealerships can be a powerful strategy for growth. Dealerships often have their own service departments but may outsource body repair work due to time and cost constraints. By partnering with dealerships, you can become their trusted source for body repairs, gaining access to a steady stream of customers. Dealerships are selective about who they refer their customers to, as they risk damaging their reputation if the body shop doesn't perform well. Therefore, it's essential to establish a relationship based on trust and deliver on your promises.
Utilize Past Connections
When approaching dealerships for potential partnerships, it's helpful to leverage past connections and industry experience. Twila Harris, managing partner of Auto Art Body Shop, successfully utilized her previous dealership experience to identify partnership opportunities. She understood the dealerships' needs and had the necessary connections to set up the relationships. If you have employees with dealership backgrounds, tap into their knowledge and networks to explore potential partnerships.
Offer Exclusive Parts Purchasing
One effective strategy to attract dealerships is to offer to buy parts exclusively from them. This benefits the dealership by eliminating competition from other dealerships and increasing their parts revenue. It also simplifies their communication process, as they only need one point of contact for parts and repairs. This type of arrangement can be a significant selling point when negotiating partnerships.
Ensure Certifications and Equipment
Dealerships often have specific equipment or certification requirements for repairs. Ensure that your body shop meets these qualifications to make your business more attractive to dealerships. Having the necessary certifications demonstrates your commitment to quality and can give you a competitive edge. Additionally, consider having a dedicated facility for dealership work, making it easier to manage and coordinate repairs.
Elect a Point of Contact
Designate a dealer coordinator within your body shop to serve as the main point of contact for the dealerships. This individual should be well-versed in the partnership details and be able to coordinate estimates, vehicle pick-up, and other related tasks. Regular communication is essential to maintaining a healthy relationship. Consider assigning a marketing coordinator to visit the dealerships periodically, show appreciation, and address any issues they may have.
Benefits of Dealership Partnerships
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Frequently asked questions
Becoming certified can bring in more customers and assure them that their vehicles are in safe and capable hands. Certifications also let consumers know that your shop can fix their specific vehicle.
One of the top auto body shop designations is the Assured Performance certification. Less than 10% of auto body shops meet the requirements to be Assured Performance certified. The I-CAR Gold Class designation is another highly sought-after certification, with only 20% of auto body shops achieving this recognition.
The I-CAR Gold Class designation is the highest training achievement in the collision repair industry. With this certification, the collision repair shop must train its technicians on a yearly basis. The shop also has highly skilled experts in four key collision roles: damage estimator, steel structural technician, non-structural technician, and refinish technician.
Educate your customers on the importance of your certifications. Make sure your customer-facing staff know your certifications and can explain to customers why they matter. You can also try to align with local dealerships, as they will understand the importance of your certification and may send work your way.
Some people advise against becoming an insurance-certified body shop, also known as a DRP (Direct Repair Program). They argue that insurance companies will try to control how you run your business and tell you how to fix cars, even though they lack the knowledge to do so.