Collision repairers who attended State Farm training sessions in New Jersey said the seminars added value to what they do and they appreciated the insurer’s effort.
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State Farm hosted three training sessions in August in three New Jersey cities for its Select Service shops. About 140 repairers attended the sessions, which were designed to benefit shops, the insurer, customers and three equipment suppliers who participated.
“The training is a building block to help shops and to support their growth,” says Vince Castaldo, estimatics team manager for State Farm. “We want the shops to be competitive in costs and remain competitive against their local competitors. We want them to stay in business and prosper.”
Four attendees contacted by ABRN said they work with multiple insurer direct repair programs, but none of them have conducted a similar program. They gave State Farm high marks for going to the trouble to conduct the programs.
“State Farm does more than other insurers to try to help shops through training and business issues,” says Gene Regan, general manager of Causeway Collision Center in Manahawkin, N.J. About 70 percent of Causeway’s business is from insurer-referred DRPs, he said.
He said State Farm’s Hi-Tech Tool Box Web site and business-to-business Web site, which are available to all repairers, offer “leading edge information” from auto manufacturers and from paint and tool manufacturers. Causeway hosts I-CAR training that is organized and promoted by State Farm, and repairers can buy I-CAR training tickets at a discount through State Farm.
“Each quarter they come up with new videos on their Web site on advanced repair techniques, new tools, new car reviews and safety discussions, which are useful tools,” Regan says.
“State Farm is headed in the right direction with its DRP program,” says Gary Gardella, co-owner of County Line Auto Body in Howell, N.J. “It is almost like a partnership with shops. It comes from the top down,” he says, crediting Castaldo for the relationship. About 80 percent of County Line’s business is from DRPs.
“This was a good investment of my time and I would do it again,” says Edgar Chaves, co-owner of Britland Auto Body Inc. in Green Brook, N.J. About 80 percent of the company’s business comes from DRPs.
“State Farm is building bridges with repairers,” says Mark Cipparone, owner and president of Rocco’s Collision, which has three locations — one in Sewell, N.J., and two in Philadelphia. “They are committed to mentoring the shops they have chosen to deal with.”
The decision to participate in the seminar was easy for Cipparone, who is in the process of opening a fourth shop. Chief Automotive Technologies, Car-O-Liner and ALLDATA offered information and demonstrations of their products at the three seminars.
“The vendor presentations were valuable to me because I need new equipment for my fourth shop,” he says. “I didn’t have to go too far to learn a lot about their machines and equipment.”
In fact, Cipparone and Gardella said they were both so impressed with the ALLDATA Collision program, that they bought it following the presentation.
“They put a demo on for us and it was awesome,” Gardella says. “We got a discount on it because it was part of the program.”
Cooperation beats confrontation
All four repairers scoffed at the notion that insurers should build walls between themselves and repair shops, and only interact to write estimates and checks.
“I’ve been in the collision repair business since 1971 and State Farm is the only insurance company that comes to the table in this manner,” says Regan. “I would not remotely construe this as interference in our business. It is archaic thinking to have a line of demarcation drawn between insurers and repairers.”
Only State Farm DRP shops in New Jersey were invited to attend the seminars. Attendance was voluntary, although State Farm sent a letter to all its New Jersey DRP shops “strongly encouraging” them to attend.
“Smaller shops have that attitude and complain about insurer interference,” Gardella says. “But they are not participating in DRPs and don’t want to be in them. They are not players. You have to be a player and run with the program. The volume you get will make you successful.”
Gardella said that not all DRPs act the same. “Most DRPs are not user friendly because they dictate, dictate, dictate,” he says. “State Farm is on the customer’s side. They want cars fixed right without any hassles, problems or complaints.”
Large repair shops with multiple locations would find it difficult to survive without DRPs, according to Cipparone, who said his company’s shops participate in about 10 DRPs.
“I love all my DRPs,” he says. “I’m thankful to have each and every one of them. They have a commitment to recommend their clients to their shops, including mine. State Farm should be involved if they feel all of their shops don’t have what they need to do the job. Plenty of shops need the education.”
