Because being involved in an automobile accident means turning in an insurance claim, most people don't really go looking for a body shop, but go to the one advised by their insurance agent.

When you turn in a claim, your insurance representative will suggest a body shop where you can take your car for repairs. However, it could turn out very badly for the client if he takes his vehicle to the body shop his agent has advised.

The auto body shop recommended by an insurance agent is one within the company's "direct repair program." The program consists of a contract between the insurance firm and the body shop. The repair shop agrees to provide auto repairs for the insurance company's claimants. The insurer's part of the agreement is to point their clients toward that auto body shop.

Often the repair shop is required, under the contract, to write all estimates using aftermarket car parts. And the shop may also be required to carry all legal responsibility for car repairs and indemnify the insurance firm from any lawsuit the client may bring.

Aftermarket car parts, otherwise known as replacement crash, salvage, or rebuilt parts, are parts that are made by a company other than the original manufacturer or vendor. Most of the time these parts are made in Taiwan, or at least someplace outside of North America. These kinds of car parts are less expensive than OEM (original equipment manufacturer) parts, but are often of inferior quality.

Bottom line for the insurance company? It saves them money (thus boosting profits)

Bottom line for the repair shop? They're able to stay in business. Since the majority of people looking for body work will follow their insurance company's suggestion, the shops not in the direct repair program are not likely to get a lot of business, and may even be forced to close up shop.

Bottom line for YOU? The result may be an unsafe car! Or at the very least, one prone to fail, causing additional vehicle repairs to become needed.

Never just thoughtlessly accept the (maybe bad) guidance of your insurance agent. If the repair shop your agent suggests is using aftermarket car parts, find another shop. And if your insurance company representative says something to the effect of "We have had difficulty with them", "If you go to our shop we will pay them directly and it will be faster", or "We can't give you a rental if you use them" be aware that these and other similar statements are misleading at best, and at worst, outright falsehoods!

Be Informed!

Be Prepared!

KNOW YOUR RIGHTS !

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