Revealed: panel beaters unhappy with insurance companies

Body points to "obvious flaw" in insurers' vehicle claims process

Revealed: panel beaters unhappy with insurance companies

Insurance News

By Krizzel Canlas

There is an increasing level of dissatisfaction among members of the Collision Repair Association (CRA) when dealing with insurance companies, it has been revealed.

A report by New Zealand Autocar shed light on a CRA survey which highlighted that panel beaters are specifically frustrated with the way insurers process consumer vehicle claims.

CRA general manager Neil Pritchard told the publication that insurers are using a 15-year-old pricing model, which he described as an “obvious flaw.” The practice does not, he suggests, take into account the significant advancements in vehicle technology that have taken place during that time.

“Increases in administration demands, health & safety requirements, compliance costs as well as the outdated pricing model used by the insurance industry are all adding to the overheads of panel beaters and resulting in delays of up to eight weeks or more for repairs,” he said.

“These capacity constraints are not sustainable in the long-term and we are concerned that it is consumers who will bear the brunt of the delays.”

The study also shows that Farmers Mutual Group (FMG), Medical Assurance and AA Insurance emerged as panel beaters’ top three recommended insurers.

 

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