aasp-mn news october 2015

www.grecopublishing.com

PLUS:Write it Right: Estimating Best Practices

Seminar Registration

October 2015

Who’s LookingOut for You?

A member’s experience with a business fire claim

AASP1015-92215bu.qxp_AASP News 9/30/15 2:11 PM

AASP-MN News2 October 2015

AASP-MN News October 2015 3

CONTENTSVol. 23 No. 10

AASP of Minnesota is an association ofindependently-owned automo-tive service businesses and industry suppliers dedicated toimproving the state’s automo-tive service industry and thesuccess of its members.

AASP-MN News is the official publication of the Alliance of Automotive Service Providers, Minnesota, Inc. 1970 Oakcrest Ave., Suite 102 • Roseville, MN 55113 Phone:612-623-1110 • Fax: 612-623-1122 email: [email protected] • website: aaspmn.org. All rights reserved. To keep its readers better informed, AASP-MN News allowsits columnists to fully express their opinions. All views expressed are not necessarily those of the publication. AASP-MN News is published by Thomas Greco Publishing,Inc. Cover image © www.istockphoto.com.

AASP-MN BOARD MEMBERS 2015 - 2016

PRESIDENTTom Gleason

IMMEDIATE PAST PRESIDENTJerald Stiele

SECRETARY-TREASURER Greg Kasel, AAM

COLLISION DIVISION DIRECTORJim Siegfried, AAM

MECHANICAL DIVISION DIRECTORWayne Watson

ASSOCIATE DIVISION DIRECTORKevin Martin

COLLISION SEATSJoyce WeinhandlWill Latuff

MECHANICAL SEATMars Overlee

STAFFEXECUTIVE DIRECTORJudell Anderson, CAE, AAM

OFFICE ADMINISTRATORJodi Pillsbury

MEMBERSHIP COORDINATORTom Kluver

PUBLISHED BY: Thomas Greco Publishing, Inc.

244 Chestnut St., Suite 202 Nutley, NJ 07110PHONE: 973-667-6922 • FAX: 973-235-1963

PUBLISHER: Thomas Greco ([email protected])DIRECTOR OF SALES: Alicia Figurelli ([email protected])MANAGING EDITOR: Jacquelyn Bauman ([email protected])EDITOR: Joel Gausten ([email protected])ART DIRECTOR: Lea Velocci ([email protected])OFFICE MANAGER: Donna Greco ([email protected])

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MECHANICAL DIVISION DIRECTOR’S MESSAGE........................................6Insane!by Wayne Watson, AASP-MN Mechanical Division Director

LEGISLATIVE UPDATE ......................................................................7Fast Pace Forecasted for 2016 Legislative Sessionby Kevin Walli, AASP-MN Lobbyist

LOCAL NEWS ................................................................................8

NATIONAL NEWS ............................................................................11

INSURANCE I.Q. GUEST EDITORIAL ......................................................12Who’s Looking Out for YOU? A Member’s Experience with a Business Fire Claimby Bob Pearson, Pearson Auto Body

D.E.G. ESTIMATING TIPS ..................................................................19

“WRITE IT RIGHT: ESTIMATING BEST PRACTICES” SEMINAR REGISTRATION ....21

PARTNERS IN PREVENTION................................................................23Painter Trainingby The Minnesota Pollution Control Agency

CASH IN ON YOUR MEMBERSHIP!........................................................26Business Forms, Calendars and More


November 10, 2015Write-it-Right: Estimating Best

PracticesRadisson Minneapolis/St. Paul

Roseville, MN

January 12&13, 2016AASP-MN Race for Automotive

EducationProKart IndoorsBurnsville, MN

April 14, 2016AASP-MN 2016 Leadership

ConferenceRamada Plaza

Minneapolis, MN

ADVERTISERS’ INDEX

AmeriPride........................................................11Assessment Associates Internatonal ................18Axalta Coating Systems ....................................OBCBlue Net Inc. ....................................................7Buerkle Hyundai................................................18Choice Auto Rentals..........................................3Dentsmart ........................................................6Inver Grove Honda / Inver Grove Toyota..................20Jack McClard....................................................22Keystone ..........................................................25Lowell’s PCE ....................................................20Maplewood Toyota ............................................22Mercedes Benz of Maplewood ..........................23

Mills Parts Center ............................................16Morrie’s ............................................................9Motorwerks BMW ............................................IBCMotorwerks Mini ..............................................IBCMPA......................................................................................14-15Rosedale Chevrolet ..........................................3Roseville Chrysler ............................................16Steck Manufacturing ........................................20Straight & Square ............................................16Thexton Manufacturing ....................................25Toyota Group ....................................................4West Bend Insurance ........................................IFC

UPCOMING EVENTS

For more information, contact the AASP-MN office at 612-623-1110or visit the Association’s website, www.aaspmn.org.

I recently had the opportunity to go for a ride in a 2015 TeslaAWD Model S. The first item the owner pointed out to me wasthe button on the display screen: Sport or Insane. Only Teslacould come up with this jargon. Well, guess what? We were soonto find ourselves in “Insane” mode and insane it was! As welaunched away from the stoplight, the car went 0-60 mph in 3.2seconds. It reminded me of Power Tower at Valley Fair. My stom-ach was in the back seat with butter-flies in it. The adrenaline rush wasinsane, just like the button stated. Thereally weird thing was the noise; therewasn’t any—no motor, no transmis-sion, no differentials and, in fact, noteven any fluids except washer solvent.Weird, huh? He also showed me a new featurethat was downloaded the night prior –autopilot. Yes, autopilot. Autopilot act-ivation automatically follows the road,steering around curves and varying its speed to match the flow oftraffic. It automatically changes lanes by tapping the turn signal,has traffic-aware cruise control, forward collision warning andcamera-enabled automatic high/low beam headlights. Soon it willhave autopilot parking. This helps you find a parking spot and au-tomatically parks in it. In the city, it will notify you when it findsa parallel parking spot, then, controlling the steering, accelerationand deceleration, backs smoothly into the parking spot.

When I started in the auto industry, carburation and elec-tronic ignition had a stronghold and I was taking point kits off theshelf like candy and installing them. Not long into my career, fuelinjection entered the market. I still remember the sign at one ofour competitors’ drive entrances: “We do not work on fuel-in-jected vehicles.” My point here is that technology is changing fast, so you

need to embrace the change or you willnot exist in the future. If you wouldhave told me back when I started mycareer that we would be working oncars that have autopilot and are able toupdate themselves over the Internetwherever 3G is available, I would havetold you that you were insane. Technol-ogy is fast and the ball is rolling fasterand faster. It makes me wonder whatthe next 20 years will bring. With all that, I would like to chal-

lenge you to continue training in all aspects of your business.There are so many types of technical things that can make yourlife easier. Take advantage of the training AASP-MN provides foryou. As a Board member, I can tell you a lot of thought and re-search goes into the types of training provided by the association. A wise man once told me, “Change brings opportunity.”Bring it on!

6 October 2015

MECHANICAL DIVISION DIRECTOR’S MESSAGE

AASP-MN News

by Wayne WatsonAASP-MN Mechanical Division Director

Insane!

Fast Pace Forecasted for 2016 Legislative Session

LEGISLATIVE UPDATE

by Kevin Walli,AASP-MN Lobbyist

At the close of the 2015 Session, leg-islative leaders selected March 8, 2016 asthe date for the start of the next Session.The Legislature typically convenes in Jan-uary. While the late start will give every-one a bit more time to get ready for theSession, once it begins, things are going tomove very quickly. There will be just 10 weeks for billsto be heard in House and Senate Commit-tees, passed by each body, referred toConference Committee to resolve differ-ences and voted on once again for finalenactment. The first stop in any Legislative

Session is in the Policy Committees of theHouse and Senate. It is possible that leg-islative leaders will establish a First Com-mittee Deadline just two weeks into theLegislative Session. This means that someCommittees may have as few as four hear-ings before they shut down for the year. The Minnesota Constitution estab-lishes the date by which the Legislaturemust complete its business. Article 4, Sec-tion 12 of the Constitution provides that“The Legislature shall not meet in RegularSession…after the first Monday followingthe third Saturday in May of any year.” In2016, that means everything is shut down

by May 23. This tight calendar simply means thatwe must make good use of the time fromOctober to February to convince legisla-tors that our priority concerns should beheard among the early few bills that areconsidered in next year’s Committeeprocess. AASP-MN has a good track recordfor lining up issues early. The upcoming2016 Session will really put us to the testgiven how narrow the window is withinwhich we must work.

October 2015 7AASP-MN News

AASP-MN IS FIRST PLATINUM SPONSOR OF INDUSTRY WORKFORCE INITIATIVE

At a time when companiesthroughout the industry are strug-gling to find the level of highly-qualified employees they neednow and into the future, AASP-MN has stepped up to the platewith $50,000 to actually do some-thing about it. The funds will sup-port a campaign designed to feedthe pipeline of future employeesby changing the narrative aboutautomotive service careers, in-

forming potential students and employees about the number ofrewarding opportunities that exist within the automotive industry– AND helping students who have the skills and profile for suc-cess explore career decisions in the trade. This is an effort of a newly-formed group, Minnesota Ca-reers in Automotive Repair and Service – aka MNCARS – ofwhich AASP-MN is a member. MNCARS is made up of a cross-section of industry representatives, including independent repairshops, new car dealers, multiple shop operators (MSOs), suppli-ers, insurers, technical college administrators and other industryorganizations. The goal of MNCARS is to ensure a future work-force for Minnesota’s automotive service industry by raisingawareness and recruiting young people into post-secondary auto-motive education programs (collision and mechanical) and indus-try careers. MNCARS has partnered with Risdall, a leading marketingand communications agency, to develop and oversee the two-yearcampaign. Important elements of the initiative will include: • Connecting with potential students, their parents and high school influencers, including counselors, to provide a better picture of the pathways to success and opportunity available in the automotive industry • Developing an online site to serve as a centerpiece in edu- cating our target audiences and the broader community on the opportunities available within the automotive industry. This hub, and accompanying printed materials, will share the exciting careers, success stories and advantages that a two-year automotive program offers in getting started in the workforce • Hosting live events at schools and community locations to engage students in both fun and informative activities to allow them to begin to think of automotive repair as more than a hobby • Creating an “influencer kit” to provide professionals that work with students a simple-to-use toolkit that presents positive information on the industry and career options • Media stories and outreach to address misperceptions and inform individuals throughout Minnesota of opportunities within the automotive service industry The AASP-MN Board of Directors identified the availabilityof a future workforce as a key priority for the association duringits strategic planning session in early 2014. Since that time,AASP-MN has dedicated time, money and resources to supportvarious projects and outreach efforts to high school automotiveinstructors and counselors, as well as scholarships for post-sec-ondary automotive students. “It’s time our industry was inten-tional about its collective brand as employers,” says Judell

Anderson, AASP-MN Executive Director. “It will take a collabo-rative and unified effort to cut through all the ‘noise’ to overcomethe misperceptions about working in the automotive service in-dustry and attract the kind of high-level employees we need. TheMNCARS initiative is designed to accomplish just that.” Sponsorship opportunities are available for those within theindustry to support these important efforts. Sponsorship canrange from one time or annual pledges, to corporate sponsorshipswhich will include prominent placement and recognition on theMNCARS campaign website. For more information, [email protected] or visit the AASP-MN website,www.aaspmn.org.

AASP-MN TO HOST “WRITE IT RIGHT: ESTIMATINGBEST PRACTICES” SEMINAR

AASP-MN is pleased to announce that it will partner withAxalta Coating Systems to co-host “Write it Right: EstimatingBest Practices,” Tuesday, November 10, 2015, from 10am – 4pm,at the Radisson Minneapolis/St. Paul North in Roseville. The seminar, presented by industry expert Mike Anderson(Collision Advice), will provide estimators with resources to un-derstand, support and justify their position on what it takes to re-store a vehicle back to pre-accident condition such as websites,tools, forms and other technology applications that will allow theestimator to be more efficient and accurate in writing a thoroughdamage analysis. For more information or to register, see page 21 or visit theassociation’s website, www.aaspmn.org.

UNITED FIRE GROUP DECLARES DIVIDEND The AASP-MN property and liability insurance programwritten through United Fire Group recently declared a dividend.Over $68,500 was dispersed to participating members (an aver-age of $570 each!). The 2015dividend is equal to five per-cent of members’ earned pre-mium for participating duringthe 2013/14 plan year. Nearly120 members qualified forthe dividend and many morewill qualify for a dividendnext year, provided thegroup’s loss experience is good and a dividend is declared. AASP-MN would like to thank members that are participat-ing and doing their part to keep the program vital. If you’d like tolearn more about this valuable member benefit program, contactDennis Spindler at 763-549-2238 or [email protected].

AUTOSHOP SOLUTIONS AND AASP-MN PARTNERSHIPBRINGS NEW BENEFITS FOR MEMBERS

AASP-MN is proud to team up with Autoshop Solutions, aleading website design and Internet marketing agency for the au-tomotive aftermarket industry, to provide a new AASP-MNmember benefit. AASP-MN members can now get a $500 setup discountwhen signing up for Autoshop Solutions exclusive MarketingSuccess Package. With Autoshop Solutions’ Exclusive MarketingSuccess Package, AASP-MN members receive a new customwebsite, Google Adwords management, social media marketingand search engine optimization (SEO) management. It is a great


LOCAL NEWS

PLATINUM


way to boost sales with proven Internet market-ing strategies – and AASP-MN members nowget $500 OFF the setup cost. Autoshop Solutions has a long-standingpartnership with AASP National, and has builtboth the AASP National website, as well as theAASP-MN website. “The Internet can be very powerful in driv-ing new business to your shop if utilized cor-rectly,” states Autoshop Solutions’ CMO,Margaret Klemmer. “We are proud to partnerwith AASP-MN to help member shops take fulladvantage of their website and Internet market-ing efforts and boost their sales!” AASP-MN members interested in taking ad-vantage of this exclusive opportunity and dis-count can visit www.autoshopsolutions.com/aaspmn for more information and to signup.

PILLSBURY CELEBRATES 25 YEARSWITH AASP-MN

Jodi Pillsbury recentlycelebrated 25 years as officemanager of AASP-MN. “It’sbeen great witnessing the as-sociation grow and evolveover the years. I have had theopportunity to be part of anorganization that can, and

does, truly make a difference and I take greatpride in that,” Pillsbury said. “I’m looking for-ward to another 25!”

ABRA AUTO BODY ACQUIRESLEHMAN’S GARAGES

ABRA Auto Body & Glass announced theacquisition of all six Lehman’s Garage locationswithin the Twin Cities area of Minnesota. Thedetails of the transaction were not disclosed. “Today’s acquisition is particularly specialfor us as Lehman’s has been serving the commu-nity for almost a century. The history, the reputa-tion, and the dedication of the company toproviding exceptional customer service andquality repairs is undeniable and we are eager tocarry that tradition of excellence forward,” saidDuane Rouse, president and CEO of ABRA. “We’ve been approached by many compa-nies over the years,” said Karen Cossette, formerCEO of Lehman’s Garage. “We chose ABRA be-cause their work ethics closely resemble oursand we share like-minded values of integrity,employee talent and a commitment to customers.We’re proud to have them continue the legacywe’ve built over the years.” With this latest acquisition, ABRA now op-erates 40 repair centers in Minnesota.

THANK YOU TO OUR 2015 SPONSORS In 2015, AASP-MN received spon-sorship support from its Associate mem-bers and other industry vendors to helpsupport the association’s educational pro-gramming and other activities. Sponsor-ships help AASP-MN deliver the qualityprograms members expect and keep regis-tration fees affordable. Please keep the fol-lowing companies in mind the next timeyou need products/services:

“WHO PAYS FOR WHAT”: COLLISION ADVICE

SURVEY RESULTS ARE INJust under 61 percent of shops surveyed

said they are paid “always” or “most of the time”for removing coatings from pinchwelds prior to

mounting the vehicle on a frame machine when it is required for the repair. But industry trainer and consultant Mike Anderson said that percentage, from thelatest “Who Pays for What?” survey results available now, isn’t high enough. “In my opinion, that 61 percent should be 100 percent,” said Anderson, presidentof Collision Advice and creator of the survey. Anderson noted that some automakers do not approve mounting or anchoring inthe pinchweld area at all, and said shops should always follow manufacturers’ recom-mendations. But when mounting using the pinchwelds, he said, removal of the coatingsis a must. “I have not found any vehicle manufacturer or any frame equipment company thatsays it’s okay to secure a fixture clamp to pinchwelds without first removing all under-coating and seam sealer,” he said. “If this isn’t done, it increases the likelihood that thevehicle can slip when you are pulling it, causing further damage or adversely impactingthe accuracy of the measurements. So those coatings need to be removed in order toperform a proper and safe repair.” The pinchweld information is just one of hundreds of findings revealed in the secondquarterly “Who Pays For What?” survey report (available at www.collisionadvice.com/survey). This latest survey examines how often shops are charging – and being paid –for 20 different “not-included” repair procedures related to structural/frame and me-chanical operations. (The first survey focused on refinish-related “not-included” opera-tions.) Nearly 700 shops responded to the national survey. The survey also found that State Farm and USAA appear to understand the needfor removing coatings from pinchwelds better than other insurers; more than 80 percentof their DRP shops report being paid “always” or “most of the time” to perform the pro-cedure, compared to less than 55 percent of Progressive and Geico DRP shops. “I would encourage anyone who is not being paid for this to research it through theOEMs, I-CAR or any frame equipment company to ask if it is okay to mount a fixtureclamp over a pinchweld covered with undercoating or seam sealer,” Anderson said.“They will find that the answer is a clear, ‘No.’ Shops need to understand that theirtechnicians must be doing this.” Anderson said the quarterly surveys help raise awareness of not-included items andoperations that shops may be doing but not itemizing on estimates. “The surveys will help shops understand what these operations are, and whetherother shops seek and receive compensation for them – or if they truly are ‘the onlyone,’” Anderson said. The 51-page report of the second survey findings on frame and mechanical opera-tions is now available at www.collisionadvice.com/survey. Also available is a 62-pagereport on the first survey results released earlier this year for refinish-related not-in-cluded procedures. Shops can also visit that website to signup to take the next quarterly survey, whichopens in October. Collision Advice (www.CollisionAdvice.com) is an independent training and consulting firm featuring some of the most re-spected and experienced experts in the colli-sion repair industry. Mike Anderson and histeam offer real-world, cutting edge trainingand guidance both in the classroom and one-on-one in the shop.


LOCAL NEWS

Gold SponsorsAutoshop Solutions

Auto Value Parts Stores & APHAxalta Coating Systems

PPG Automotive Finishes

Silver Sponsorsaaa Auto Parts

CBIZ AIAInver Grove FordLKQ/Keystone

Lowell’s Performance CoatingsMeadowbrook InsuranceMidwest Parts Advantage

Mitchell InternationalO’Reilly Auto PartsPAM’s Auto, Inc.

Suburban ChevroletUnited Fire Group

Program Sponsors3M

AASP NationalCARQUESTCBIZ AIA

CBIZ PayrollDent Impressions

IDENTIFIXRobert Bosch, LLC

Hospitality SponsorsAmeriPride Services

BASF Automotive RefinishCCC Information Services

Choice Auto RentalDentsmart PDR

Enterprise Rent-a-CarNet Driven

Norton AbrasivesPro Paint Metro

Sherwin-Williams

See Mike right here in Minnesota on November 10!

Details on Page 21.

DEG INQUIRY LEADS TO CCCADDING RAW BUMPER PREP FOR

NUMEROUS MAZDAS Any repairers priming raw factoryMazda bumper covers will soon have aneasier time saying so in CCC-generatedestimates, according to the Database En-hancement Gateway (DEG). CCC will add a “Prep UnprimedBumper” operation for 15 Mazda “chap-ters,” typically a reference to a certain de-sign generation of a particular model.Users should see the option appear byOct. 1, according to the DEG. The addition began with a DEG in-quiry about a single model year, the 2006Mazda 3. A shop wrote to the DEG that Farm-ers wouldn’t pay for a Mazda 3 bumper tobe primed “only because (CCC) did nothave this listed as an option.” “Nobody likes to do a manual line,”DEG Administrator Art Harris said, “be-cause it causes red flags.” With the help of I-CAR’s Repairabil-ity Technical Support, DEG obtainedproof from the automaker that 2006Mazda 3s only had unprimed bumper cov-ers, according to Harris. After getting that documentation,

CCC researched the issue and took it evenfurther with the expansion to other modelyears. Automakers often will changewhether a vehicle’s bumper covers – orperhaps even just one of the front and rearpair – are shipped raw or primed, accord-ing to Harris, who said he’d like to see allthe estimating service informationproviders monitor and update the covers’raw/primed status “frequently, everyyear.” “It really varies by OE,” Harris said.He urged any repairer or insurer con-fronted with an unprimed bumper but nooperation line item in a particular data-base to contact the DEG. General Motors, Hyundai, Lexus,Mitsubishi, Saturn, Subaru, Toyota andVolvo all are known to make vehicleswith unprimed bumper covers, accordingto CCC. If CCC doesn’t yet have informationabout a particular model year’s bumpercovers or a part is aftermarket, a shop willstill have to manually enter the data anduse the CCC Guide to Estimating to ob-tain the labor time.

NICB RELEASES LIST OF 10 MOST STOLEN VEHICLES IN 2014

The National Insurance Crime Bureau(NICB) released its annual Hot Wheels re-port, which identifies the 10 most stolen ve-hicles in the United States. The reportexamines vehicle theft data submitted bylaw enforcement to the National Crime In-formation Center (NCIC) and determinesthe vehicle make, model and model yearmost reported stolen in 2014. For 2014, the most stolen vehicles inthe nation were (total thefts in parentheses): 1. Honda Accord (51,290) 2. Honda Civic (43,936) 3. Ford Pickup (Full Size) (28,680) 4. Chevrolet Pickup (Full Size) (23,196) 5. Toyota Camry (14,605) 6. Dodge Pickup (Full Size) (11,075) 7. Dodge Caravan (10,483) 8. Nissan Altima (9,109) 9. Acura Integra (6,902) 10. Nissan Maxima (6,586) The following are the top 10 2014model year vehicles stolen during calendaryear 2014 (total thefts in parentheses): 1. Ford Pickup (Full Size) (964) 2. Toyota Camry (869) 3. Ford Fusion (819) 4. Chevrolet Impala (746) 5. Nissan Altima (687) 6. Dodge Charger (680) 7. Taotao Industry Co. Scooter/Moped (592) 8. Toyota Corolla (578) 9. Chevrolet Cruze (566) 10. Ford Focus (505) According to the NICB, althoughvehicle theft has been on a long down-ward trajectory, it is still a severe eco-nomic hardship for many to lose theirvehicle to theft—especially if a vehicleis uninsured. Courtesy of Repairer Driven News

MOTORCRAFT REBATES AVAILABLE FOR INDEPENDENT

REPAIR AND BODY SHOPS This rebate program is exclusivelyfor independent repair facilities, bodyshops and fleets with in-house repair.Rebate savings are available for pur-chase from September 1-December 31,2015. For a list of eligible products andrebate amounts, visit http://ford.partsrebates.com.


NATIONAL NEWS

12 October 2015

INSURANCE I.Q. GUEST EDITORIAL

At 12:58am on March 29, 2015, a significant fire at my oldbody shop location in Shakopee did $1.6 million of damage. Theproperty was converted to an investment rental property after Imoved my business to another building in Shakopee. Two of mymajor tenants were immediately displaced because of the signifi-cant damage. No lights, no heat, no water, no roof and no security– not to mention the most pungent smell imaginable. I’m writing this to share my experience and help reveal someof the elements of this type of claim, as some of you may be atenant in someone else’s building or you might have a tenant inyour own building. A fire claim will test each policy in differentways. On residential rental properties, the owner’s policy is de-fined as the landlord policy, and the tenant has a renter’s policy.A commercial policy is the name of coverage in the non-residen-tial setting. The tenant will also have a commercial policy thatcovers his property, and he or she should have loss of income in-cluded as separate coverage. If these coverages are done prop-erly, they dovetail beautifully if there is a claim – I’ve had one ofeach in the last five years. One was an electrical fire at a resi-dence, and the commercial policy came into play at the old Pear-son Auto Body location, which was an accidental fire. So starting from the beginning, the agent of record sells thepolicy to me. If I have a claim, I can’t look to him to be my advo-cate because the insurers have requested that the agent step asideand let the claims department settle the claim. In Minnesota, theagent is the legal representative of the insurance company, notthe customer/insured. So you have one guy who sells it and an-other who tells you how it’s going to work. (It didn’t used to actout this way, but it has increasingly become the norm.) The insurer then hired an outside adjusting company to bethe middleman and discuss what is going to be insured, what isnot going to be insured and what depreciations are going to belevied. He’s their choice, not mine, and I have the natural as-sumption that he has a bias favoring the insurer, not me. He saysotherwise, but I proved this differently. The old building wasn’t enabled with a sprinkler system andhad only a well as a water supply. To get permission to rebuild,the fire marshal says sprinklers and a new, adequate water supplyare required. Some years back, Minnesota required that a “Law& Ordinance” endorsement be included on all commercial andresidential policies in Minnesota. This is a good thing. This en-

dorsement provides coverage for the cost of anything requiredtoday (like handicap ramps, handrails in restrooms, fire suppres-sion systems or roof loads) that wasn’t required at the time oforiginal construction. This can be a defined dollar amount or – inmy case – it was the dollars between the damage estimate andpolicy limits. This is where the adjuster reveals his bias. He told me thatthe insurance policy that I have covers only items damaged in thefire and said the company would never pay $175,000 for thewater supply and sprinkler system. Wrong! I thought long andhard about this and came to the conclusion that they couldn’t es-cape this responsibility because the water supply was certainly

Who’s Looking O by Bob Pearson, Pearson Auto Body

October 2015 13

damaged in the fire. Turns out, the insurance company didn’t hes-itate to cover this, so now it’s been proven to me that this guy isnot my advocate, either. Now this is the same person who determined that there was$300,000 worth of depreciation on the following items: HVAC,plumbing, electrical, sheetrock, painting, concrete, doors, glass,tile, siding, masonry, hardware, framing and metal. Now I’mthinking that a check is going to be sent to me that is $300,000less than the estimate based on what this guy says? The guy hadno idea how new anything was because you could hardly tellwhat it was, let alone how old it was! I had spent $50,000 a cou-ple of years ago on upgrades, and he didn’t ask me about ANY

upgrades over the years. When I questioned this, they asked mefor permits and invoices that go back to when Truman was Presi-dent to prove my building updates and improvements. (By theway, with a replacement cost policy, the depreciation only appliesif the structure is not rebuilt. When the building is repaired or re-placed, the depreciation is recoverable after the work is com-pleted and inspected.) So where is my advocate? You’ve got this squadron of “ex-perts” all around you and you’re really short on tools. Enter thepublic adjuster – the so-called “advocate for the insured.” Theycome out of the woodwork after a fire, seeking opportunities tocontract with insureds that are dealing with a fire loss. If neces-

sary, they can be hired at any point during the claimprocess and strike a deal with you to share the proceedsthat they can mine out of the damages that are not onthe original estimate, kind of like a supplement. Public adjusters are really smart people. They areniche experts that can square off with the professionalson the other side on your behalf should you feel thatyou’re not being treated fairly. I still remain in touchwith a public adjuster who has been hovering aroundduring my claim process. He has helped me understandthings that I had no idea about. For example, loss of income coverage. This is sepa-rate coverage that, as a landlord, will represent about 12months of lost rent. From a tenant’s position, loss of in-come is based on lost sales because of the fire disrup-tion. This may take different flavors depending onwhich company is on the policy. One of my tenants isreceiving coverage based on the average of three years’sales. Ask your sales agent about it. My main reason for sharing this article with you isto alert you to think about finding an advocate of yourown. In my experience, everyone involved is lookingout after their own interests. Make sure you have some-body looking after yours!

Out For YOU?

14 October 2015 AASP-MN News


AASP-MN Annual Meeting &Leadership Conference

Thursday, April 14, 2016Ramada Plaza

1330 Industrial Blvd.Minneapolis, MN

WelcomeNew Members:

SEPTEMBER 2015

Heartland Service & TireShakopee

Pete’s Tower MobilSuperior, WI

Rush City Tire & AutoRush City

Shakopee Tire & AutoShakopee

West Bloomington Tire & AutoBloomington

IT’S NOT TOO LATE TOORDER YOUR 2016

CALENDARS!

For more information,contact the AASP-MNOffice at 612-623-1110

or visitwww.aaspmn.org.

SAVE THE DATE!


Covering Vehicle For Weld Damage – Covering the interior and adjacent panels to prevent weld spark damage during welding is a not-included operation in CCC. This is explained in DEG inquiry number 7851: “According to the MOTOR Guide To Estimating, ‘Items that are not listed under the INCLUDED/DOES NOT INCLUDE heading for any given procedure have not been considered in the estimated work time development for that procedure, unless specified by a footnote.’ Therefore, the additional work to cover and protect items is not included and should be an on-the-spot evaluation.”

Some replacement parts come from the manufacturer without seam sealer applied to the edges.An example would be a Toyota hood or tailgate. These parts need to have seam sealer applied during the repair. Audatex and Mitchell include the labor to install the seam sealer with the replacement time of the part. CCC does not include the labor for seam sealer in the replacement time and requires an on-the-spot evaluation. This can be found in the P-Pages and also the following DEG inquiries:

CCC 6781 – Estimated Release Date: Closed Proposed Resolution: MOTOR stated: 1. According to the MOTOR Guide To Estimating, “Door-Door Sheet R&R, Hinged Type,” Special Notation: a. DOOR-DOOR SHELL R&R, SLIDING TYPE SPECIAL NOTATION: “Some replacement components may or may not be supplied with duplicated OEM caulk/seam sealer. This is not included in R&R time and requires an on-the-spot evaluation. Disconnect at hinges unless otherwise noted in text.” 2. Please note, no material costs of any kind are factored into any labor or paint estimated work times. MOTOR only provides the parts, part prices, images and estimated work times (labor and paint times). Please note the application of some materials may be included, but the cost of purchasing material is not. The cost of materials is the responsibility of the shop/repairer, which cannot be determined by MOTOR and should be considered at the time the estimate is written.

Mitchell 2119 – THE LABOR TIME TO APPLY THE SEAM-SEALER TO THE HOOD HAS BEEN FACTORED INTO THE HOOD R&R LABOR TIME.

Audatex 4729 – The Audatex database includes labor for the seam sealing of tailgates (when required) as stated in the Database Reference Manual. No changes warranted at this time.

Take note that materials are not included with any labor times in any of the systems!

Weld Damage – Weld damage is a not-included operation in all three estimating systems.

Audatex – On page 56 of the Database Reference Manual it states the following under Labor Exclusions: “Replace labor does not include additional labor to repair the replaced panel and or adjacent panels which may become distorted, burned or damaged by welding, drilling, grinding and straightening.”

CCC – Page G39 of the Guide to Estimating shows: “SPECIAL NOTATION: Suggested refinish operation times do not include additional time for repair of damage to adjacent panels resulting from normal cutting, welding and grinding procedures. The amount of damage can vary considerably depending upon process and technique used by the servicing technician and, therefore, is impractical to anticipate in this publication. MOTOR recommends these factors be considered before finalizing any repair cost estimate. Typical areas to be considered are illustrated below.”

Mitchell – The Mitchell guide shows the following on page P16 under Not-Included Operations: “Feather, Prime & Block paint damage to adjacent panel and/or panels joined by welding due to burn damage (see Feather, Prime & Block definition under Refinish General Information)” Refinish Edge and Refinish Inside are two different operations with CCC ONE. In DEG inquiry 8374 CCC states: “depending on the refinish damage and/or refinish requirements, one or both may be selected.” They go on to define the two as follows. Visualize a driver side front door: 1. The exterior surface paint time is for the door skin. This is the surface that faces outside of the car when the door is closed. 2. The “inside” is the inside of the door shell; this is the surface area that faces the driver and interior of vehicle when the door is closed. 3. The “edge” is the area between the exterior and interior surface. This would be the crimped area as well as the portion of the door which the user describes as the “jamb” area. This is the area that faces the lock pillar.

View these and other estimate tips at www.degweb.org/estimate-tips.

ESTIMATING TIPS

It’s time to renew training for most painters. Refresher training for painters is required by the 6H NE-SHAP every five years. The 6H NESHAP is the federal air qual-ity rule that regulates all auto body shops in the country. Mostshops certified that they were following the requirements of the6H NESHAP in late 2010 or early 2011. It may be hard to be-lieve, but that was five years ago. Painters who received 6H training less than five years agodon’t have to renew their training now. However, it may be easierto keep everyone on the same schedule and train all painters now. Painters must receive a combination of hands-on and class-room training. Although work experience could be substituted forthe hands-on part of the initial training five years ago, this cannotbe done for the refresher training. The goal of the 6H NESHAP is to reduce the amount of airpollution that is released into the air. For that reason, refreshertraining must cover how to improve transfer efficiency, use thebest spray gun and equipment for the situation and keep the boothand filter in good working order. Training must also include anoverview of the 6H NESHAP. Shops can provide refresher training themselves or havepainters take a training course. If your paint or equipment vendoroffered the initial 6H NESHAP training, check to see if they willbe offering refresher training. If not, one option is the Iowa WasteReduction Center. They provide online training at www.sprayitright.com. It costs about $100, takes two hours to complete andcan be done on each painter’s own pace and schedule. Keep records of the dates of initial and refresher training for

each painter. Do not submit records of the re-fresher training, but make sure records arestored where they can be found easily if an in-spector asks for them. Painters, you may wantto keep your own copy of your trainingrecords. Double-check that records for other 6H NESHAP require-ments are in order, too. This includes annual usage for paint strip-pers containing methylene chloride and how much methylenechloride is in them; documentation that spray guns are HVLP orhave HVLP-equivalent transfer efficiency; documentation thatpaint booth filters have 98 percent capture efficiency and the testmethod used to determine the capture efficiency; and records ofany deviations from the 6H NESHAP requirements. Some shops filed a petition for exemption from the 6H NESHAP stating that they don’t spray products containing cad-mium, chromium, lead, manganese, nickel or their compounds oruse methylene chloride. If your shop filed a petition for exemp-tion, you don’t have to update, refresh, or resubmit anything.However, make sure those metals and methylene chloride haven’tcrept back into the shop in the past five years. Pay special atten-tion to the MSDS for new products or check with your supplier. Painting well is a skill and all skills can be improved and up-dated. Well-trained painters use less paint and thinners, whichmeans more paint ends up on the customer’s car – not on mask-ing and filters. It also means less air pollution is leaving yourshop and the air outside is cleaner and healthier for everyone.

PARTNERS IN PREVENTION


by The Minnesota Pollution Control Agency


SHOP HEREFIRST!

AASP-MN Associate Member Directory

3M Company – St. Paul, MNaaa Auto Parts – East Bethel, MNaaa Auto Parts – Rosemount, MNAASP-MN BankCard Program – Minnetonka, MNAction Auto Parts of St. Paul, Inc. – St. Paul, MNAkzoNobel Automotive & Aerospace Coatings – Stillwater, MNAmeriPride Services – Minneapolis, MNArcon Solutions, Inc. – Burnsville, MNAssessment Associates International – Minnetonka, MNAudaExplore – LaCrosse, WIAuto Body Specialties, Inc. – Mankato, MNAuto Color & Industrial Supply, Inc. – St. Joseph, MNAuto Nation Parts Department – White Bear Lake, MNAuto Plus Auto Stores – Bloomington, MNAuto Plus Auto Stores – Crystal, MNAuto Plus Auto Stores – Lexington, MNAuto Plus Auto Stores – Hopkins, MNAuto Value Parts Stores – St. Cloud, MNAutodata Labels, Inc. – Deer Park, NYAutomotive Parts Solutions, Inc. – St. Cloud, MNAutomotive Recyclers of MN – Minneapolis, MNAutomotive Seminars, Inc. – Luxemburg, WIAutomotive Training Institute – Linthicum, MDAutoshop Solutions – Apex, NCAxalta Coating Systems – Chisago, MNBASF Corporation – Crystal, MNBlue Net, Inc. – Eagan, MNBlue Rock Refinishing Solutions, LLC – Roseville, MNBlue Tow Service Center – Blaine, MNBoulay Financial Advisors – Minneapolis, MNBrake & Equipment Warehouse – Minneapolis, MNBuerkle Honda – White Bear Lake, MNBuerkle Hyundai – White Bear Lake, MNC.H.E.S.S. – West St. Paul, MNCar-Co Auto Parts, Inc. – Waconia, MNCARQUEST Auto Parts – Lakeville, MNCBIZ AiA – Brooklyn Center, MNCCC Information Services, Inc. – Stone Lake, WIChoice Auto Rental – Bloomington, MNCottens’ NAPA – Anoka, MNDent Impressions – Rogers, MNDentsmart – Isanti, MNDerson/Clean Burn – Watertown, MNDorman Products – Colmar, PADynotec Industries, Inc. – Shakopee, MNEau Claire Auto Parts, Inc. – Eau Claire, WIElite Auto Accessories, LLC – West St. Paul, MNElite Worldwide, Inc. – Rancho Santa Fe, CAEnterprise Rent-A-Car – Eagan, MNFactory Motor Parts – Eagan, MNFederated Insurance – Owatonna, MNFinishmaster – Duluth, MNFinishmaster – St. Cloud, MNFinishmaster – Fridley, MNG & K Services, Inc. – Minneapolis, MNHeartman Agency – Faribault, MNHedahls Parts Plus – Detroit Lakes, MNHedahls Parts Plus – Fergus Falls, MNHertz Corporation – Richfield, MNIDENTIFIX – Roseville, MNInver Grove Ford Lincoln – Inver Grove Heights, MN

Johnson Supply Company – Duluth, MNKent Automotive – Minneapolis, MNKeystone Automotive – Minneapolis, MNKukui Corporation – San Jose, CALKQ - John’s Auto Parts – Blaine, MNLKQ - Minnesota – Albert Lea, MNLKQ - Viking Auto Salvage – Northfield, MNLowell’s Performance Coatings & Equipment – Edina, MNMark’s Towing, Inc. – Eagan, MNMcClard & Associates – Hopkins, MNMeadowbrook Insurance – Overland Park, KSMetro Auto Salvage – Lakeville, MNMidwest Parts Advantage – Eden Prairie, MNMighty Auto Parts – Burnsville, MNMirka Abrasives, Inc. – So. St. Paul, MNMitchell International – Minneapolis, MNMitchell1 – Slidell, LAMorrie’s Automotive Group – Brooklyn Park, MNMotor Parts & Equipment – Winona, MNNAPA Auto Parts – Cambridge, MNNAPA Auto Parts – Forest Lake, MNNAPA Auto Parts – Monticello, MNNAPA Auto Parts – Northfield, MNNAPA Auto Parts – Owatonna, MNNAPA Auto & Truck Parts/Star Group – New Ulm, MNNAPA Distribution Center – Owatonna, MNNAPA Distribution Center – St. Louis Park, MNNational Coatings & Supplies – Little Canada, MNNational Coatings & Supplies – Rochester, MNNet Driven – Duluth, MNNorthland Parts – McGregor, MNNorton Automotive Aftermarket – No. St. Paul, MNO’Reilly Auto Parts – Brooklyn Park, MNP.P.G. Automotive Finishes – Edina, MNP.P.G. Automotive Finishes – Mitchell, SDPAMs Auto, Inc. – St. Cloud, MNParts Department of Faribault – Faribault, MNPro Paint Metro, Inc. – Baldwin, WIPro Paint Metro, Inc. – Roseville, MNProven Force Clutch and U Joint – Maple Grove, MNPump & Meter Service – Hopkins, MNRudy Luther’s Hopkins Honda – Hopkins, MNSATA Spray Equipment – Spring Valley, MNSavage Parts Service – Burnsville, MNScharf Auto Supply – Rochester, MNSchmelz Countryside – Maplewood, MNSharp Auto Parts, Inc. – Stillwater, MNSherwin Williams Automotive Finishes – Bloomington, MNSouthern Minnesota Auto Supply Co. – Rochester, MNSt. Paul/Mpls. Wholesale Parts – Anoka, MNStraight & Square Distributing, LLC – St. Cloud, MNSuburban Chevrolet – Eden Prairie, MNU.S. Auto Force – Appleton, WIU.S. Auto Force – Maple Grove, MNUnited Fire Group – Cedar Rapids, IAValley Imports – Fargo, NDValspar – Minneapolis, MNWakeman Equipment Sales, Inc. – Brown Deer, WIWallace Auto Parts – Columbia Heights, MNWipers & Wipes, Inc. – Hugo, MN

AASP News October 2015 25


CASH IN ON YOUR MEMBERSHIP!

WORKERS’ COMP INSURANCEMeadowbrook Insurance GroupContact: Dennis Spindler763-549-2238 / [email protected] scheduled credit makes Meadowbrook one ofthe most competitive programs around for Worker‘sCompensation insurance. In addition, members areeligible to receive an annual dividend based on thegroup’s loss ratio. For more information, log on towww.wcpolicy.com/aaspmn.

PROPERTY/LIABILITY INSURANCECBIZ AIAContact: Dennis Spindler763-549-2238 / [email protected] AIA will present AASP-MN members with quotesfrom multiple carriers for property/liability insurance andmembers can choose the program that best fits their situa-tion. Ask about our program with United Fire Group!

EMPLOYEE BENEFITSCBIZ AIAContact: Dennis Begley763-549-2260 / [email protected] AIA will provide AASP-MN member with quotesfrom multiple carriers for life insurance, health insur-ance, long-term care and disability insurance.

UNIFORM & LINEN SUPPLIESAmeriPride ServicesContact: Jim Dillon651-955-1398 / [email protected] pricing to members on rental of uniforms,entrance mats, shop rags, etc. Purchases are also dis-counted. Members receive annual rebate equal to10% of their business with AmeriPride each year.

CREDIT CARD PROCESSINGAssociation BankCard ServicesContact: Mac Hardin952-933-2026 / [email protected] rates for AASP-MN members. Terminalsand printers sold at cost. Monthly rental of equipmentis also available.

INDUSTRIAL & PAPER PRODUCTSWipers & Wipes, Inc.Contact: Dennis Julson651-486-4866Discounts on industrial supplies and paper products.Free, next-day delivery is available in the metro area.Shipping free to outstate members with $100 pur-chase.

WEBSITE AND INTERNET MARKETING SOLUTIONSAutoshop SolutionsContact: Margaret Klemmer888-991-3449 / [email protected] Solutions offers custom website develop-ment, social media, SEO, PPC marketing and more,exclusively for the automotive industry. AASP-MNmembers receive a $500 discount off setup costs forservices.

Net DrivenContact: Jon Napoli877-860-2005, ext. 400 / [email protected] Driven is a market leader in website and internetmarketing solutions designed exclusively for the auto-motive industry. AASP-MN members who choose NetDriven are eligible for a $500 discount off their 1st yearsetup fees. For more information, contact Jon Napoli.

StormlogixContact: Paul Switzer732-364-1156 / [email protected] extends a discount on its website pack-ages to AASP members. Costs can be spread outover 6 months.

AUTO EMPLOYEE ASSESSMENTAssessment Associates InternationalContact: Ron Page (952) 854-6551 / [email protected] to help facilitate and enhance hiring decisions. AASP-MN members receive 50 percent off retail price and starts as low as $15 per assessment.

TECHNICAL INFORMATION HOTLINEIDENTIFIX800-288-6220Members enjoy discounted prices on the industry’s #1technical information hotline. One free call is extendedto all first-time AASP-MN member callers.

BUSINESS FORMS/CALENDARSAASP-MNContact: Jodi Pillsbury612-623-1110 / [email protected] rate on printed business forms and calendars.

SHOP SERVICESSummit eMarketing SherpasContact: Frank Terlep888-377-2661 / [email protected] members receive a 5% discount on all SummiteMarketing Sherpas’ services, including: websitedesign and development, search engine optimization,email marketing and communication, online reviewand reputation management and social mediamarketing.

INFORMATION PROVIDERSMitchell1Contact: Mitchell1 Representative888-724-6742 x 6986AASP members are eligible for special Mitchell 1 in-formation and management programs at significantdiscounts. For more information, log ontowww.mitchell1.com or contact the Mitchell 1 representa-tive at 888-724-6742, X6986.

Mitchell International Contact: Mitchell International Representative 800-238-9111

AASP members receive a 15% discount on anyMitchell RepairCenter TechAdvisor package. Visithttp://repaircenter.mitchell.com/Catalog/OEMRepair.aspx for more information.

PAYROLL PROCESSINGCBIZ PayrollContact: Carrie Hobrough612-436-4620 / [email protected] receive 20% discount off standard payrollproducts and services (excluding 401k). Memberswho switch prior to June 30 will receive first month ofpayroll processing free.

CHECK GUARANTEE SERVICESCertegy Check ServicesContact: Heather Ellis952-240-5017 / [email protected] rate of .75% to AASP-MN members. Use existing credit card terminal. Fast claim payments.

BUSINESS COACHING180BIZ540-833-2014 / [email protected] offers BUSINESS COACHING to AASP membersat a steep 20% discount! One Eighty Business SolutionsLLC (180BIZ) has been helping shop owners increaseprofits and car count while decreasing stress since 2003.AASP members receive a discount on very affordable one-on-one coaching plans without long-term commitmentsand complicated contracts. 180BIZ offiers a risk-free trialof their services. To learn more, please call or email us, orvisit our website.

REPLACEMENT PARTSDorman ProductsPhone: 800-868-5777, ext. 5329AASP members receive insider information, specialaccess and other perks from Dorman Products, aleading supplier of dealer “exclusive” automotive re-placement parts.

LEGAL CONSULTATIONFryberger, Buchanan, Smith & Frederick800-496-6789Members receive free, over-the-phone legal assess-ment and consultation (some restrictions apply) withan attorney who specializes in the area of law that isthe subject of the call.

AASP-MN MEMBER BENEFIT PROGRAMS

The Alliance of Automotive Service Providers of Minnesota(AASP-MN) has teamed up with Royal Business Forms andCDH Promotions to provide members discounts on calendars andprinted business forms, such as: • Envelopes • Letterhead • Business cards • Repair orders • Monthly maintenance or CSI postcards • Invoices • Statements • Voucher checks • Payroll checks • Valuable core tags • Merchandise labels • Register tickets • And much more! Continuous data processing forms are available in one, two,three or four parts—multiple carbon or carbonless sets.

Order Your 2016 Automotive Calendars Now! Celebrate the year 2016 by getting your message into thehome and offices of your customers and potential customers –daily. Let them know that you intend to shine bright in this newage and will be there to serve their needs. Calendars are used all year. Plus, they are often saved as per-sonal records and looked at year after year. Calendars are usedwhere buying decisions are made: on the job, in the office, on theroad, or at home. Sixty-five percent of all calendar recipientswrite appointments/reminders on their calendar. This daily in-volvement keeps your advertising sign working all day, everyday. Calendar styles and pricing can be found on the Associa-tion’s website, www.aaspmn.org. For additional information or a FREE quote on anything youcurrently have printed, contact the AASP-MN office at 612-623-1110 or 800-852-9071 or email [email protected].

Business Forms, Calendars and More

aasp-mn news october 2015

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