TREATING BODYSHOPS FAIRLY: NAB CALLS FOR HALT TO DATA DUPLICATION

Published 14/04/2014 00:00:00 in Press Releases

As part of its ‘Treating Bodyshops Fairly’ campaign, The National Association of Bodyshops (NAB) is calling on the Competition Markets Authority (CMA) to consider an emerging practice in the body repair industry whereby insurers and claims management companies are requiring data outputs from specified bodyshop management computer programmes that are currently not capable of being linked to each other.

Bodyshops are saying data systems suppliers are competing to get their bodyshop management products specified by insurers and claims management companies in the same way that estimating systems have been mandated in the past. 

This approach is leading to increased cost, data input duplication and major frustration for bodyshops, but refusal to comply can put repairers’ relationships with work providers at risk as increasingly contracts and tenders are stipulating different data systems to benchmark repair networks.

Frank Harvey, Head of NAB comments, “This is just another in a long line of examples where intermediaries in the insurance claims process are creating market dysfunction and added frictional cost by using the power of insurance companies and others work providers to mandate their products and services. It does not add value for consumers, in fact it adds cost!

“We plan to raise this issue with the CMA and, as part of our ‘Treating Bodyshops Fairly’ campaign, invite the various parties to meet with us to discuss integration, rather than duplication of systems, thus eliminating any need for them to be mandated or the need for multiple data keying”.

NAB believes an independent market watchdog is required to ensure legal, ethical and moral behaviour is maintained in the bodyshop and motor insurance claims sectors.  As part of its submissions to the CMA’s ongoing Private Motor Insurance investigations, NAB has proposed the establishment of The Motor Insurance Conduct Adjudicator (MICA) to clamp down on market dysfunction, abuse and unwarranted interference.

 

ENDS

Notes for editors:

Rupal Rawal, Communications Officer
Tel: 020 7307 3412
Mob: 07528 977 157
Press Office direct line: 020 7307 3422
Press Office fax: 020 7307 3406

Web:
www.rmif.co.uk Email: rupal.rawal@rmif.co.uk

The Retail Motor Industry represents the interests of operators in England, Wales, Northern Ireland and the Isle of Man providing sales and services to motorists and businesses. The RMI has a formal association with the independent Scottish Motor Trade Association which represents the retail motor industry in Scotland Trade Association which represents the retail motor industry in Scotland.

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