Category Archives: Repair Shops

Are Direct Repair Shops Killing The Collision Repair Industry?

Direct Repair ShopOnce again, the old battle of good vs. evil rears its ugly head, but this time it’s in the collision repair industry. When you get into a car accident, and you need to repair your vehicle, who do you go to? Do you use your own “guy,” or do you go to one of the shops suggested by your insurance company, which is called a direct repair shop.

The reason this is such a hot topic is because the insurance companies have basically taken the freedom of choice away from the vehicle owner. If you use one of the direct repair shops recommended by the insurance company you will get perks that you will not receive from a non-contracted repair provider.

One major bonus is that the parts and repair you receive will have a warranty. It never hurts to get a warranty, in particular when dealing with a high dollar item such as car repairs.

And another perk, if you can call it one, is if enough people complain about one of the direct repair shops, the will receive bad marks and ultimately be cut from the program. This is a huge loss for the repair shop, because let’s face it, no shop wants to lose millions of dollars worth of business.

But here’s my question to you, and it’s a big one, so pay attention.

Why do you even care if a company gets removed as a DRP (direct repair program)?

Granted, this will only end up helping the people in your shoes that come after you. By getting a subpar repair shop removed, you save future accident victims that belong to the same insurance company as you the agony of dealing with an undeserving company that really doesn’t care about the people they work for.

While this is definitely a nice thing to do for others, this really is not helping you today or even years from now, unless of course you plan on making car accidents and repairs a regular part of your life. If that’s the case, then you are doing yourself a tremendous favor later on down the line.

Truth be told, direct repair programs are not designed with the consumer in mind. Their main function is to save the insurance companies truckloads of money, while they in turn set up a system where the insurance company doesn’t have to pay the insured the what they are truly owed on their claim.

There is a word for this in the English language. It’s called theft. And as usual in this country, a group of major players (the insurance industry) devised a system to legally steal from all of their customers. Because make no mistakes about it, they are stealing from you.

By making it so unbeneficial for you to use a repair shop outside of their network, they are legally forcing you to use companies that work with them to swindle you out of your hard earned cash.

Do you fight the system or conform to it? You be the judge. Anyone have any comments? Feel free to join the discussion.

Who decides what shop repairs my vehicle?

You’ve had an accident and now you need to get your vehicle repaired. What do you do?

Whether you are a claimant or an insured, you need to report the accident to the insurance company.  When you speak to them, they will recommend one of their Direct Repair Shops.

Do you have to use a Direct Repair Shop?

No. In the end, the choice is yours. The insurance company may tell you that the shop of your choice is not on their “approved” list of shops and that they may not be able to efficiently handle your claim due to your selection of a certain shop, but do not be intimidated by this. It is your right to choose whatever shop you want to repair your vehicle.

However, if by chance you pick a bad shop (that is not a DRP), and they mess up your repairs, it is you against the body shop. The insurance company is only liable to pay for the original repair, it will not warranty how those repairs are made, whereas if you had gone to one of the insurance company’s direct repair facilities, then they would have to get involved.

In closing, always remember, you have to go with a shop that you feel comfortable dealing with. It is your vehicle being repaired and you have to be happy with the outcome.

Holding your vehicle hostage!

One situation many insureds find themselves in today is when they’ve taken their vehicle to a repair center that does not get along with the insurance company that is footing the bill for repairs. Many shops feel that they should not be told how to repair a car or how much they can charge for those repairs. The result is that both sides will take a firm line.

When you first choose a repair facility for your vehicle, the shop should tell you if they have problems working with a particular insurance company. However, what happens is, they start repairs and when they run into a problem with either a supplement, or overage on an estimate, they may tell you that the insurance company won’t meet all their demands.

The next call you will get is from your insurance company. The insurance company will tell you that the shop will not work with them and any charges the insurance company does not find valid, you will owe to the shop.


Obviously this is unacceptable, and the next move you may make is to move your car to a shop that the insurance company will work with. You call the shop that has your vehicle and tell them you want to move it. All of a sudden the shop is not as nice to you as when you first brought your vehicle to them. Now the shop wants to charge you tear down, storage and admin fees, and parts restocking fees. This could be hundreds to thousands of dollars over the original estimate.

Why should you be caught in the middle of a dispute between the insurance company and the body shop?

At the risk of being accused of taking one side or the other, please understand that each situation is different and there can be multiple factors involved. Some insurance companies do try to take advantage of the body shop, but I have seen body shops overinflate the value of repairs.

It has been my experience that shops overcharge to remove your vehicle to make up for the loss of income and hassle. They more than likely knew before they started repairs, that they could not work with the insurance company. They feel that they are punishing the insurance company by charging all the fees but it always comes back to the customer.

What happens all the time is the shop blames the insurance company, the insurance company blames the shop when both of them should have been able to sit down and repair the car per the manufacturer requirements without under or over inflating the estimate.

How do you prevent this scenario from happening?

If you do not use a Direct Repair Shop on the insurance company’s program, always talk to the shop manager of the shop you may want to use. Tell them which insurance company will be paying for the repairs and ask them if they work well with the insurance company or do they normally have issues with collecting full payment for repairs or argue about the repair process. Conversely, speak with your claims adjuster to verify that they have a good working relationship with the prospective shop. If either entity tells you they do not have a good track record, move your vehicle to another shop. Don’t wait until there are problems.

In closing, it is highly recommended to always do your homework when choosing a repair facility for your vehicle as well as on the insurance company itself. Do not be afraid to ask questions about a shop’s reputation with a particular insurance company. It is your right to get your vehicle repaired correctly, and to your satisfaction.

Auto Body FAQ’s

Getting unbiased opinions on how to get your vehicle repaired after an insurance claim is often hard work. Between the insurance company pulling you one way and the body shop telling you to go another way, you often feel like you are playing tug of war.

AutoBodyFAQ.com hopes to dispel some of the uncertainties and give you some real world scenarios on dealing with the stressful experience of getting your vehicle repaired to pre-accident condition. Hopefully we can answer any questions you might have that we haven’t already covered in our extensive FAQ.