new jersey automotive june 2015

June 2015$595

THE OFFICIAL PUBLICATION OF THE ALLIANCE OF AUTOMOTIVE SERVICE PROVIDERS/NEW JERSEY (www.AASPNJ.org)AND THE AUTOMOTIVE RECYCLERS ASSOCIATION OF NEW JERSEY (www.ARANJ.org)

www.grecopublishing.com

TM

Molding theIndustrys Future

at SkillsUSA

FAIR, REASONABLE& PROFITABLE:

Exploring the Variable Rate System

NJA0615.qxp_NEW JERSEY AUTOMOTIVE 6/1/15 6:06 PM Page 1

2 | New Jersey Automotive | June 2015


New Jersey Automotive | June 2015 | 5



P.O. Box 734 Neptune, NJ 07753

EXECUTIVE DI REC TORCharles Bryant732-922-8909 / [email protected]

2013 - 2015 OFFICERSPRESIDENTJeff McDowell, Leslies Auto Body732-738-1948 / [email protected]

COLLISION CHAIRMANDave Laganella, Peters Body and Fender201-337-1200 / [email protected]

MECHANICAL CHAIRMANKeith Krehel, Krehel Automotive Repair, Inc.973-546-2828 / [email protected]

TREASURERTom Elder, Compact Kars, Inc.609-259-6373 / [email protected]

SECRETARYThomas Greco, Thomas Greco Publishing, Inc. 973-667-6922 / [email protected]

BOARDJerry McNee, Ultimate Collision Repair, Inc. 732-494-1900 / [email protected]

Sam Mikhail, Prestige Auto Body908-789-2020 / [email protected]

Ted Rainer, Ocean Bay Auto Body732-899-7900 / [email protected]

Anthony Sauta, East Coast Auto Body732-869-9999 / [email protected]

Randy Scoras, Holmdel Auto Body732-946-8388 / [email protected]

Anthony Trama, Bloomfield Auto Body973-748-2608 / [email protected]

BOARD ALLIEDJoe Amato, The Amato Agency732-530-6740 / [email protected]

Mike Kaufmann, Advantage Dealer Services973-332-7014 / [email protected]

PAST PRESIDENT ATTENDINGTom Elder, Compact Kars609-259-6373 / [email protected]

PUBLISHERThomas Greco ([email protected])DIRECTOR OF SALESAlicia Figurelli ([email protected])EDITORJoel Gausten ([email protected])MANAGING EDITORJacquelyn Bauman ([email protected])ART DIRECTORLea Velocci ([email protected])OFFICE MANAGERDonna Greco ([email protected])CONTRIBUTING EDITORSCharles Bryant Tom Greco Jeff McDowellMitch Portnoi Dave Laganella Ron Ananian

Published by: Thomas Greco Publishing, Inc.244 Chestnut Street, Suite 202, Nutley, NJ07110Corporate: (973) 667-6922 / FAX: (973) 235-1963

www.grecopublishing.com

VOLUME 45, NUMBER 6 | June 2015

8 OUT OF BODY (AND MECHANICAL) EXPERIENCES10 PRESIDENTS MESSAGE

14 EXECUTIVE DIRECTORS MESSAGE58 NJA ADVERTISERS INDEX

NEW JERSEY AUTOMOTIVE is published monthly and is sent to AASP/NJ and ARANJ members free of charge. Subscriptions are $24 per year. NEW JERSEYAUTOMOTIVE is published by Thomas Greco Publishing Inc., 244 Chestnut St., Nutley, NJ 07110. The editorial contents of NEW JERSEY AUTOMOTIVEare copyright 2015 by Thomas Greco Publishing Inc. and may not be reproduced in any manner, either in whole or in part, without written permission from the publisher and/or editor. Articles in this publication do not necessarily reflect the opinions of Thomas Greco Publishing Inc. Cover and Images courtesy of www.istockphoto.com.

The Alliance of Automotive Service Providers/New Jersey

Joe Amato, Sr.Ron AnanianJim Bowers

Charles BryantDon ChardGuy CitroEd Day

Dave Demarest

Tom ElderBob Everett

Thomas GrecoRich Johnson Wes KearneyNick KostakisJim KowalakJoe Lubrano

Michael LovulloSam MikhailRon MucklowGeorge PetraskRuss Robson

Jerry RussomanoGeorge Threlfall

Cynthia TursiLee VetlandPaul VigilantRich WeberBrian VesleyGlenn VillacariStan Wilson

HALL OF FAME

CONTENTS

COVER STORY

25

VENDOR SPOTLIGHT20 Introducing FASTLIGN: A New Era of Customer Service

LEGAL PERSPECTIVE by Mitch Portnoi32 Insurance Law: A General Outline

FEATURES38 Molding the Industrys Future at SkillsUSA Coverage and Photos by Jacquelyn Bauman

42 The Real Deal on Auto Education: A Conversation with I-CAR CEO John Van Alstyne - Part 1 by Joel Gausten

48 Fair, Reasonable & Profitable: Exploring the Variable Rate System by Joel Gausten

55 AUTOMOTIVE RECYCLERS ASSOCIATION OF NEW JERSEY Wharton Insurance Briefs

11th Annual Lou Scoras Memorial Golf Outing HighlightsPhotos by Jacquelyn Bauman and Frank Ingram11th Annual Lou Scoras Memorial Golf Outing HighlightsPhotos by Jacquelyn Bauman and Frank Ingram



OUT OF BODY (AND MECHANICAL) EXPERIENCES

As Im sitting down to write this, I happen to have TheLate Show with David Letterman on in the background. ItsLettermans last week and he is having just about everymajor celebrity of the last few decades walk out and saygoodbye. Right now, Tom Hanks is doing a pretty funny bitabout drones. In the last few weeks, I have seen Letterman every-where. Magazines, newspapers, online...all celebratingDaves more than 30 years on the air. All of them praisingand paying tribute really reminds me of something: Howmuch I miss Johnny Carson. I NEVER liked David Letterman. As a late night TV aficionado, I resented him from the start for replacing oneof my favorites, Tom Snyder. In all fairness, Letterman didgive Snyder his own show a few years later, but that wasntenough for me. The first impression is always important,

and I never got over my initial dislike. However, I have to say that once Letterman doesleave, late night TV will have made the final transition to thenew breed of hosts, the ones I refer to as the ME hosts.Jimmy Fallon, Jimmy Kimmel, Conan OBrien, all of theirshows are basically one-hour advertisements for theiregos. None of them can interview a lick, and 75 percent ofthe show is made up of skits and parodies that they cantwait to see online the next morning. It didnt used to be that way. Carson was always abouthis guests and how he played off them. The humor was inthe conversation, not the scripts written by a bunch of writers in an office somewhere. To his credit, Letterman tried to carry that spirit on. Butas he got older, he became crankier and more and morepolitical. Carson always did political humor, but he aimed

by THOMAS GRECO,PUBLISHER

Goodnight, Dave



at both parties. Letterman, unfortu-nately like the rest of the country,seemed to take a side, and that getsstale quickly. There are only so manySarah Palin jokes to go around. There are two things that Letter-man was outstanding at. The first isthat he always had a lot of great bandsyou never got to see anywhere else onTV. The second was his monologuethe first day back after 9/11. Love himor hate him, you had to be moved byhis emotional, inspiring and patrioticspeech about that horrific event. Forthat alone, he should be lauded. But hes still no Carson. This month, my daughter is graduating college and my son isgraduating high school. Im going toneed a month to contemplate that before I can write about it. See younext month

NJA

Busy Middlesex Countybody shop looking for experienced estimator withgood customer skills. Must be self-motivated with accountability to join ourteam of professionals anduphold our commitment to customers and growth. Excellent opportunity for an Experienced AutoBody Estimator/Appraiserin a fast-paced environment and well-established business.

SKILLS/REQUIREMENTS:Three to five years experience estimating

Knowledge of CCC1 & Mitchell

Submit to criminal background check

Must be able to build team relationships with insurance representatives & technicians

Must have experience working with DRPs

Must be self-motivated, self-confident, detail-oriented and display excellent communication skills

Benefits available after 90 days

Apply via rsum at [email protected]


All it takes is a look through thepages of this months New Jersey Automotive to see the incredibly strongnetwork of support that exists in ourlocal industry. I am writing this

message on the heels of AASP/NJs re-cent Lou Scoras Memorial Golf Outing,where dozens of shops and numerousvendors and industry professionalsbraved the chilly weather to gather,

enjoy each others company and honorone of our own. From the participationof all our players to the incredibly gen-erous support of our event and prizesponsors, I would like to personallythank everyone who came out to makethis years Golf Outing a fantasticevent. Your involvement made it funand enjoyable; best of all, it helpedrecognize a future industry memberwho will be gifted a special scholar-ship in Lous name (funded in part byproceeds from this event). Speaking of the next generation ofcollision repairers, AASP/NJ was oneof many industry-leading entities whowere supporters of the 2015 NJ Skills-USA State Championships. We areproud to be one of many sponsors ofthis great event, which helps furtherthe repairers of tomorrow and ulti-mately helps ensure a stable, qualifiedworkforce to continue to flow into our industry. Turn to page 25 and page 38 andjoin me in acknowledging the manygreat businesses whose support helpsfuel events like SkillsUSA, our Golf Outing and so many others. In an industry where there are so many ele-ments working against us every day,these companies are wholeheartedlyshowing that they are on our side theside of furthering the automotive repairindustry now and into the future. Whenconsidering your next purchase ofproducts or services, turn to them first,because they have proven time andtime again that their commitment tothis workforce is just as strong as ours.Again, on behalf of AASP/NJ, thanksvery much to those who support our efforts year-round. It is greatly appreciated.


PRESIDENTS MESSAGE

SUPPORT THOSE WHO SUPPORT YOUby JEFF MCDOWELL

NJA


To those who sometimes say,Things will never change, I say thinkagain! When people do bad thingsand repeatedly get away with it, people tend to think that change willnever come. In our industry, insur-ance companies bad behavior is atypical example of this. When I saybad behavior, I am referring to certaininsurers that constantly refuse to paya fair and reasonable amount to eitherrepair a damaged vehicle or recoverthe value of the vehicle if it is dam-aged beyond repair. I have overseena Hot Line for AASP/NJ members formany years, and the calls that we gettoday are quite often the same or almost identical to many of the callsfrom years ago (which resulted in theHot Line being created in the firstplace.) For this reason, its no wonderwhy many people are of the opinionthat things will never change. By running the Hot Line for manyyears, I get to see trends that occur inthe industry, and Im able to docu-ment both the good and bad thingsthat happen. So many of the badthings that plague our industry havebeen dealt with, and solutions havebeen discovered as the result of doc-umentation. Even with finding solu-tions to many problems as they arise,it seems that the problems in recentyears are coming faster than the solu-tions. Much of this can be attributedto the change in the technology beingintroduced in modern vehicles. Obvi-ously, the ultra-modern technologyhas resulted in new equipment and

training investments. Things that colli-sion shops could get away with in thepast are just that a thing of the past. Based on a first-hand look at theindustry from running the Hot Lineand hearing the cries of the membersof the industry for years, I can tell youthat we are really close to what I havereferred to in the past as an explo-sion that is about to happen. I havewritten articles comparing the con-flicts between the insurance industryand the automotive repair industry toan unstoppable object approachingan unmovable object. When an un-stoppable object comes in contactwith an unmovable object, somethingenormous has to happen. In my opin-ion, that best describes exactly wherethe collision industry is at today. Thequestion is, what is going to happenwhen the unstoppable object comesin direct contact with the unmovableobject? We are about to find out! Because the insurance industryhas artificially suppressed the LaborRates for so long, it will take doublingor tripling to get them to where theyneed to be in order to fairly compen-sate the collision industry to repair thecomplicated vehicles on the roadstoday. When we start saying we needdouble or triple the current rates,everyone seems that think the colli-sion industry is just being greedy. In reality, because of insurer interfer-ence, that is just what it will take toget them up to where they need tobe. Because of the changes in thetechnology being introduced,

requiring the major investment intraining and equipment (combinedwith the fact that certain shortcutscan no longer be taken), insurershave to be willing to compensate thecollision shops accordingly, but theydont. The combination of thesethings is what I feel equates to the example of the unstoppable objectabout to collide with the unmovableobject. This train has been coming downthe track for a long time, and somepeople may say that certain peoplelike me have been crying wolf for along time and that nothing will everhappen. They think that once again,things will just get worked out. In thepast, things have always beenworked out. For years, insurance ap-praisers have allowed for hours thatdont exist in order to compensate forthe low Labor Rates. Insurers have in-structed their appraisers to throw acouple extra hours on a job when acollision shop is complaining aboutthings like low Labor Rates or unfaircompensation for things like the paintand materials required when repairingdamaged vehicles. When shops complain to State agencies like theNJ Department of Banking and Insurance, the response is that theyare not in violation of the regulationsas long as the insurer is willing to negotiate. Well, we are at the pointthat things can no longer be workedout because the differences are justtoo far apart. Because things can nolonger be worked out and no StateAgency is willing to step up and forceinsurers to address the issue, shopshave had no choice but to turn to thecourts for resolution. No matter where you look today,you can find articles about anotherlawsuit that has been filed to addressthe exact issues referenced in thismessage. The difference now is that


Relief is Reallyon the Way!

EXECUTIVE DIRECTORS MESSAGE

by CHARLES BRYANT


the lawsuits that are being filed aremajor ones that are going to make adifference. They are lawsuits that aregetting major attention by news organizations like the recent AndersonCooper 360 episode that aired inFebruary of this year. After that show

hit, other news stations across thecountry aired similar stories. Over theyears, insurers have been able toavoid the attention that a lawsuitbrings by twisting the facts and mak-ing it look like it is just the result of oneor two shops trying to get more money

than they deserve. This time, it is notjust a shop here or there; its shopsfrom all over the country that havebeen driven into a corner and felt thatthey had no other choice. It was eitherturn to the courts or shut down theirbusiness. Although it has been a long timein the making, the time has finallycome for the shops involved in someof the suits to get discovery and depose those involved. Although Icannot go into detail on exactly whathas come out of the discovery anddepositions, I can tell everyone in theindustry that help is on the way. Themembers of the industry who have decided to stand up and fight throughthe court system should be supportedand honored, because it is extremelystressful to go through this process.However, they are definitely going tomake a difference like nothing has inthe past. In short, relief is finally on theway, and we will be watching and reporting the progress as things continue. Stay tuned.

EXECUTIVE DIRECTORS MESSAGE


NJA

and

Micro-Mix Paintand

Materials Calculatorin Bergen, Passaic, Essex andHudson Counties in New Jersey.

CALLOffice: (973) 696-3176or Cell: (201) 452-0987

Mike LovulloDistributor for



Imagine a tool that can verify a cars wheel alignment or recognize a low tire, which has an effect on a vehicles tracking as the customer drives into your service lane. Moments after the customer gets out of the car, your service writer has an illustrated report showing the rolling angle of each wheel and canexplain to the customer why it may be a good idea to put the car on the rack for inspection, performalignment adjustments or simply inflate the tires to the proper pressure. Even if the customer declinesthe offer, that report can be saved and mentioned in the next service reminder. The tool that gives you this poten-tial profit center is called FASTLIGN.Although it serves a similar purpose aswidely used wheel alignment checkingtools (point of sale), its function andutility are completely different. Noequipment is attached to the vehicle. Instead, it uses a set of lasers and photosensors to detect the orientation of eachtire as the car is driven past the sensors.After scanning the VIN barcode, thecomputer retrieves prior customerrecords or alignment specifications fromits database, compares the specs to theactual readings and generates a customreport that can be stored, displayedand/or printed. The device is completelyself-contained and requires no technicalexpertise to use. Once the car is drivenpast the sensors, the only interactionwith the FASTLIGN tool is through theWiFi barcode scanner entry point. The technology was developed byBanaLogic Corporation, a Canadian-based company with offices in North Carolina and California and with a customer base of more than 2,000 service and repair facilities. According to Jeffrey Choy, automo-tive product specialist with Express Lane (a US distributor of the FASTLIGN product), roughly 50percent of all vehicles arriving in a dealership service bay have some kind of problem that affectswheel alignment or tracking. Were evaluating cars in ways they have never been checked before, he says. David Zane Sr., service director at Holman Toyota in Mount Laurel, began investigatingFASTLIGN when it became obvious that his previous equipment (used in his facility for two and ahalf years) simply wasnt cutting it anymore. I watched what my lot attendant staff went through on a daily basis, he recalls. I watched how much work it really was, and I realized that we probably werent getting our potential out of the machine. As a dealer that serves an average of 130 vehicles a day, Holman Toyota is always on thelookout for equipment that can handle their high demands while reducing time and physical exertion among staff. Zane introduced the FASTLIGN to his facility in late April and immediatelyexperienced vast improvements in his operation. There was no question that FASTLIGNs non-intrusive, three-second scan was the directionwe needed to go, he says. We do as many as 100 vehicle write-ups before lunch. Statistically, weare proportionately evaluating the same amount of vehicles using FASTLIGN as the head-hangingapparatus, only now we are not holding up customers vehicles in the service lane; the flow, pro-cessing time and image of the vehicle on the report is like night and day. Lines are not formingoutside our lane as they would with the manual wheel clamps. By getting the tracking report in the customers hands before they reach the counter, we have a greater rate of success getting thecustomer to agree to additional services. Its easier to sell when they are looking at their reportthan trying to sell the job over the phone or after they have left the service counter. In addition to an amazing ROI, FASTLIGN has had a tremendous impact on employeemorale. Theyre elated, Zane says. We have the check-in process almost down to 20 seconds; itsthat fast. People can use this machine with about 10 minutes of instruction. It doesnt take physicalstrength like other machines that are out there. This allows you to hire from a wider employeepool. My lot attendants are enjoying using the machine; theyre having fun with it. Our previousmachine was a burden to them. Thats the difference.

VENDOR SPOTLIGHT

FASTLIGN offers a fast and cost-effectivealternative to clamp-on wheel alignmentevaluation techniques. Never miss an opportunity.

:

FASTLIGN offers vehicle image andvehicle data at your fingertips before thecustomer exits the vehicle.

Detailed report in as little as 15 seconds

Jeffrey Choy (right) with David Zane ofHolman Toyota, Mt. Laurel, NJ

Introducing

A New Era ofCustomer Service



Not surprisingly, Choy is pleased to have provided a tool of such tremendous value. Theres nothing like being in the business ofhelping other people become successful, he says.Dave is a perfect example, and hes not the onlyone. Many service managers are consideringtread-checking devices as their point of sale appara-tus,he continues. Sure, anything in the servicelane will help sell, but the ratio for those who re-quire tire replacement is far from those who need aminor adjustment to their steering and suspension,toe and go! The initial investment for tread check-ers may be less, but the net profit [ROI] will likelybe much less. Besides, how long is the process forinstalling a set of tires as opposed to a quick twist-ing of the tie rods? FASTLIGN will always be thebest bang for the buck. With so many positive attributes working in itsfavor, FASTLIGN is sure to introduce a new era ofcustomer service and retention. As Choy says, Everyone wins. The customerwins because he or she knows about the true condi-tion of the vehicle, and the service writers win be-cause their tickets get higher. Of course, dealerprincipals are happy because this could add tens ofthousands of dollars in net profit per month. For more information on FASTLIGN, contactJeffrey Choy at (571) 216-6100.

NJA

VENDOR SPOTLIGHT

Reports showing FASTLIGN statistics, including pass/fail rate, reports generated,specific models and other analyses, are available by email or directly off the serverin real time.


New Jersey Automotive | June 2015 | 23New Jersey Automotive | June 2015 | 23



May 18, 2015, Colonia Country ClubPhotos by Jacquelyn Bauman and Frank Ingram

11th Annual Lou ScorasMemorial Golf Outing


AASP/NJ 11TH ANNUALLOU SCORAS MEMORIAL

GOLF OUTING

Platinum Sponsors: The Amato Agency,All American Auto Salvage and HertzRent-A-Car, Enterprise Rent-A-Car

Gold Sponsor: Thomas Greco Publishing /New Jersey Automotive

Silver Sponsor: Auto Body Distributing Co.

Bronze Sponsors: Cosmos Ocean CountyAuto Wreckers and TNT Auto Parts

AASP/NJ Thanks This Years Sponsors:

Refreshment Carts: Cosmos Ocean County Auto Wreckers

Hole in One Sponsor: Maxon Hyundai-Mazda

Hole Sponsors: Parkway Auto Body, East Coast Auto Body, Auto Body Distributing Co., Meadowbrook Insurance Services, NJGCA,Mike Kaufmann, Bradley Car Care, Dover Dodge-Chrysler-Jeep, Continental Auto Parts, Lakewood Toyota, All American Auto Salvage, Mountain View Auto Body, First Class Auto Glass, L&M Auto Center, Hertz Rent-A-Car, Flemington Car & Truck, Axalta Coating Systems, FMS Managers, USI North America Paint Booths, Albert Kemperle,Walters Auto Body, Thomas Greco Publishing/New Jersey Automotive, Lees Auto Body, Meadowlands ExpositionCenter, Maxon Hyundai-Mazda, Central Paint/Central Motor Parts, Holmes & McDowell, Storm Logix Web Design, Anthonys Auto Body, Mitch Portnoi (Post, Polak, Goodsell, MacNeill & Strauchler, P.A.), Fred Beans Subaru.

Prize Sponsors: NUCAR, Cosmos Ocean County Auto Wreckers, Fred Beans, Hertz Rent-A-Car, Enterprise Rent-A-Car, The AmatoAgency, Maxon Hyundai-Mazda, Axalta Coating Systems, Meadowbrook Insurance Services, Auto Body DistributingCo., Freehold Nissan, Utica National Insurance Company, PaintEx.

Special thanks to Hertz for running check-in for this years guests and providing them withgift bags, Cosmos and NUCAR for their incredibly generous donations of flat-screen TVs as prizes, Joe Amato and Randy Scoras for their efforts during this years dinner and LeeVetland and the Colonia Country Club for their management of the best Golf Outing yet!

AASP/NJ acknowledges and appreciates ALL of our extremely generous sponsors and supporters, and encourages the industry to remember these names when purchasing products and services.



CONGRATULATIONS TOTHIS YEARS WINNERS!First Place: Dave Brennan, Ken Pagel, Brian Horton, Mark Ierubino

Second Place: Frank Dominici, Robin Cuneo, AJ Bassani, RichMarkovich

Third Place: Joe Amato Sr., John Griffin, Pat DeCeasare, John Agamie

Longest Drive: Male: Dave Brennan; Female: Robin Cuneo

Closest to the Pin: Frank Dominici


Audi dealers strive to make you an Audi Parts Professionals are Your Subject Matter Experts on Collision Parts, Replacement Components and Mechanical Items.

Many Audi dealers offer technical service support hotline access that can reduce your repair times and help you meet an on-time promised delivery.

Flemington Audi213 Route 202/31Flemington, NJ 08822Toll Free: 800.216.5124Fax: 908.782.9397email: [email protected]

Classic Audi655 North Macquesten Pky.Mount Vernon, NY 10552914.663.2870Fax: 914.663.2878email: [email protected]

DCH Millburn Audi2211 Millburn AveMaplewood, NJ 07040Toll Free: 800.553.9250Direct: 973.762.0262Fax: 973.821.2040www.millburnaudi.com

Audi Turnersville3400 Route 42Turnersville , NJ 08012856.649.7560Fax: 856.649.7565www.turnersvilleautomall.com

Paul Miller Audi179 Route 46 EastParsippany, NJ 07054Toll Free: 800.35.MILLERParts Direct: 973.575.7793Fax: 973.575.5911www.paulmiller.com

Schneider + Nelson Audi270 Highway 36West Long Branch, NJ 07764732.389.1743Fax: 732.935.7585email: [email protected]

Palisades Audi127 Route 59Nyack, NY 10960Toll Free: 888-349-6075Parts Line: 845-353-4870Parts Fax: [email protected]

Town Motors Audi400 South Dean StreetEnglewood, NJ 07631201.227.6506/6536Fax: 201.541.0314www.townmotors.com

Helping you do business is our business. Order Audi Genuine Parts from these select dealers.



an Audi Genuine Parts fan R

r

Installing Genuine Audi Collision parts contributes towards improved cycle time that makes both your customer and their insurance company happier.

Regardless of the age of your customers Audi, Audi dealers have access to over 200,000 part numbers. No other supplier comes close.

Bell Audi782 Route 1, Edison, NJ 08817732.396.9360Fax: 732.396.9090www.bellaudi.com

Jack Daniels Audi of Upper Saddle River243 Route 17Upper Saddle River, NJ 07458Phone: 201.252.1500Fax: 201.254.1552email: [email protected]

Audi Meadowlands4700 Westside Ave.North Bergen, NJ 07047Toll Free: 888.416.2834Fax: 201.223.7842www.audimeadowlands.com

Cherry Hill Audi2261 Marlton Pike WestCherry Hill, NJ 08002Wholesale: 856.665.5660Fax: 856.665.4645email: [email protected]

Audi Bridgewater701 Route 202-206 NBridgewater, NJ 08807Toll Free: 888-685-5712Parts Direct: 908-800-9000Fax: 908-595-0237email: [email protected]

Audi Manhattan800 11th AvenueNew York, NY 10019212.515.8200Wholesale Direct: 212.515.8275www.audimanhattan.com

Audi Brooklyn211 63rd StreetBrooklyn, NY 11220Phone: 718-492-6400Fax: [email protected]

Jack Daniels Audi1601 Mc Bride AvenueFairlawn, NJ 07410201-398-1209Fax: 201-475-8666www.jackdanielsmotors.com




We have all received insurance policies in the mail (someare now even being sent online) and either filed themin the circular file or (hopefully) filed them away forfuture reference. When it comes time to reference those insurancecontracts, it is invariably because a loss or claim has occurred andwe want to know what is covered, what the deductibles are andwho is responsible for this loss. It is at this time that we need tolook closely at the contract/policy and interpret the language con-tained therein. There are some very general and basic rules forinterpreting this language, and it is the purpose of this article to setforth the basic rules for understanding and construing insurancecontracts. Firstly, the rules that are applicable for ordinary contractshave been held applicable to insurance contracts as well. Thecourts will not remake contracts for the parties; they can only en-force contracts that the parties themselves have made. The aim ofjudicial construction of insurance contracts is to determine andthen effectuate the intent of the parties. Contract language is to begiven its ordinary meaning, unless some special meaning is clearlyshown. In seeking the intention of the parties, the instrument as awhole is considered; whenever possible, effect is given to all of itsparts and a construction that gives a reasonable meaning to all its

provisions is preferred to one which leaves it or some of its partsuseless or inexplicable. There have been some rules that are considered applicable tothe general construction of insurance contracts, which have beenmodified over the years to reflect the overriding public policy ofprotecting the individual policyholder. This is due to the fact thatthe general policyholder is considered unschooled in the intrica-cies of insurance. The courts have recognized that complex insur-ance contracts are actually contracts of adhesion that are preparedby the insurance company and not subject to negotiation as to theterms and provisions; they are particularly unintelligible to thegeneral consumer were he or she to even attempt to read and un-derstand the terms therein. The courts have stressed that the aver-age purchaser of insurance is entitled to the protections necessaryto fulfill his or her reasonable expectations, and that the languagecontained in these contracts is to be plain, clear and prominent tothe layperson. An outgrowth of the above-stated principle is the judiciallydeveloped rule that insurance contracts are contracts of adhesionand are to be strictly construed against the insurer. That is, if theterms used in an insurance policy are imperfect or ambiguous (ca-pable of being understood in two different ways), it is the fault of

LEGAL PERSPECTIVE by Mitchell Portnoi, Esq.

Insurance Law: A General Outline



the insurance company and the construction of the contract will bestrongly against them. In other words, ambiguity requires resolu-tion in favor of the insureds. Generally speaking, a genuine ambi-guity is said to arise where the phrasing of the policy is soconfusing that the average policyholder cannot make out theboundaries of coverage. Additionally, where insurance policy lan-guage is subject to two possible interpretations, courts will invari-ably accept the interpretation under which coverage is found andwill reject the interpretation that leaves the injured person withoutprotection. These rules of construction apply generally to the uninformedaverage private person and may be more strictly construed for thesupposed more sophisticated business consumer. However, therules that relate to ambiguous contracts still apply against thewriter (in this case, the insurance company) and lend a favorableinterpretation to the business consumer. What does all this mean to the supposedly sophisticated busi-ness owner? Take some time to review your policies of insurancewith your broker/agent and know what risks you are protectedagainst and (perhaps more importantly) know the risks for whichyou are NOT protected. Get an insurance agent that you trust andwho is familiar with your business and the losses/claims that takeplace within that business. Speak to a lawyer whenever your insurance company denies a claim for which you thought therewas coverage. Please call me at (973) 228-9900 with any questionsrelated to this article.

NJA


FEATURE Coverage and photos by Jacquelyn Bauman

On May 2, New Jersey collision repair students went head-to-head, putting theirskills to the test in the annual NJ SkillsUSA competition held this year at the SomersetCounty Vocational and Technical High School in Bridgewater. Twelve students in totalparticipated in different automotive repair tasks including welding, bumper repair, adhe-sives and estimating. Local industry leaders judged individual tasks, giving each studenta particular score based on their final result, technique, time management and finishedproduct, among other things. Students competed for prizes donated by Karyn Breidt andAuto Body Distributing, Anthony Trama and Bloomfield Auto Body, Charity Ritter andBridgewater Collision, Tom Smetanka and Central Paint, Wayne Wagner and WaltersAuto Body and Jerry McNee and Ultimate Collision Repair. Prizes ranged from a fulltool set and bench to a welding helmet and supplies such as gloves and jumpsuit. The winners were: First place Nicolas Bianco (Hunterdon Co-Central), Second place Giannie Cintron (Somerset County Vocational and Technical HighSchool), Third place Matt Nelson (Morris County School of Technology). Bianco will now have the opportunity to compete at the SkillsUSA National competition in Louisville, KY from June 22-26. Program Director Peter Fryzel of I-CAR would like to thank this years judges Steve Baur, Charity Ritter, Howard Freedman, Todd Witten, Chuy Barrera, EdwardWinkins and Edgar Chaves, Jr. as well as all of the sponsors for their continued supportof this event. In addition those who donated prizes, this years sponsors were AASP/NJ,A&J Body Fender, Albert Kemperle, The Chrysler Corporation, Dayton Toyota Center,DCH Collision Center, I-CAR, Flemington Chrysler, Jackson Auto Body, Main AutoBody, Reliable Auto Collision Inc., Spies Hecker, 3M and Urethane Supply Co.

Molding theINDUSTRYSFUTURE at

NJA




At the most recent CIC, you notedthat I-CARs research revealed that66 percent of todays industry doesnot engage in regular training. Whathas I-CARs research identified assome of the major root causes ofsuch a distressing number?

We kind of backed into that 66 per-cent number; the 66 percent numbercomes from an assessment of the percentof the industry thats number one en-gaged with I-CAR training. At the end of2014, we had 6,049 shops that were eitherGold Class or on the Road to Gold. GoldClass is our consumer-facing recognitionfor a shop thats achieved the minimal lev-els of training that the industry essentiallyspecified through our Professional Devel-opment Program. Road to Gold is like ouron-ramp to Gold Class. These are shopsthat have declared that they want toachieve Gold Class, so they are activelyworking towards that. We track them andwe call them Road to Golders. The expec-tation is that Road to Golders becomeGold Class shops in about a year. We have3,200 Gold Class shops and 2,800 Road toGold shops. And those numbers are up;last year, we had an increase of almostfour percent on Gold Class, and Road toGolders were up 25 percent. So we have a

lot of people who are getting engaged inI-CAR. If you do the math on that 6,000 andyou look at our industry of maybe 35,000shops, thats 17 percent of the industrythats seriously engaged with I-CAR. I-CARs not the only training organizationthats out there. Certain OEMs have train-ing. BMW has good training, Toyota hasgood training and Audi has some training.Folks are able to get some training in otherways. We also have our program we callthe Training Alliance; people can getcredit in the I-CAR world for training theytake elsewhere. Some of those OEMs arepart of that, but [so are] people like 3Mthat offer training on, say, adhesive bond-ing, or maybe Chief on how to use theirframe equipment. That counts towards theI-CAR world. If we look at the structure of the in-dustry, what drives training? Well, first,theres an inspiration to train for shops, butthen theres also the requirement to train.In the I-CAR world, there are some insur-ers and some OEMs that require I-CARtraining. Thats a good thing as far as Imconcerned, because that helps motivatepeople to get training, but there are alsosome shops that are inspired to train be-cause they know its the right thing to do,and that it helps them perform complete

The 2015 aluminum-intensive Ford F-150 has hit theroads. Are you prepared to handle one if it comesinto your shop? Start with I-CARs 2015 Ford F-150Structural Repair Training, a live classroom courseworth six credit hours that highlights the uniqueprocess associated with aluminum repair of the FordF-150.

On Thursday, July 9, Somerset County VocationalHigh School in Bridgewater will host a 3pm install-ment of this course. To register, visit i-car.com or call(800) 422-7872. For questions, contact Peter Fryzel [email protected].

THE REAL DEAL ON AUTO EDUCATION: A Conversation with I-CAR CEO John Van Alstyne Part 1

FEATURE by Joel Gausten

StayingAhead withTRAINING

If you think this industry isdoing a good job of pursuingadequate training, think again. At the April Collision Industry Conference (CIC) inAtlanta, I-CAR President andCEO John Van Alstyne offereda stunning revelation: Despitethe best efforts of industry advocates, only 34 percent oftodays industry engages inany form of industry training.With I-CAR currently celebrat-ing the 25th anniversary ofGold Class and more than 35years in the industry, New Jersey Automotive reachedout to Van Alstyne for alengthy two-part chat on whysuch a low number exists and why the need for educa-tion in this industry is moredesperate than ever.



and safe repairs and also impacts theirbusiness performance. But if we look atthe population of OEMs and insurers thathave training requirements, that popula-tion of shops probably numbers in therange of about 12,000 total, which is a lit-tle bit bigger than the population we have.We have a total of about 9,000 shops thathave done some training with us in 2014,and we would estimate that about 12,000shops fall into the repairer network pro-grams that have some sort of a training re-quirement attached to them it may not beGold Class, but some level of training re-quired. Our assertion is that if weve only got9,000 shops engaged with I-CAR, andweve only got 6,000 that are Gold Classor on the Road to Gold and were awarethat theres programs out there through in-surers or OEMs or [elsewhere] that affectabout 12,000 shops, then whats the bal-ance of the industry doing? What are theother 23,000 shops doing? Theyre notdoing anything with I-CAR; we are theprincipal provider of training to our indus-try. Theyre probably not training withBMW or Audi or Toyota, because theydbe in those repair networks, so where arethey getting training? My slide at CIC said 66 percent arelikely not training. Im not sure I can vali-date that on all 23,000 shops, but we knowtheyre not with us and were pretty suretheyre not with Toyota and BMW, etc. Sowhy arent those 23,000 shops trainingtoday? Well, Id say there are probably acouple of reasons. Number one, Im notsure that this industry necessarily has a

deep culture affinity towards learning andeducation and taking training. Its not beena requirement across the industry to do so,and theres an expense associated with it.You have to pay money to go to a trainingclass, and youve got to pay for your employee to go, so theres an economiccost to training as well. So there are probably a number of reasons that mightcontribute to that.

What are the primary reasons why a shop should invest the time andresources to become Gold Class?

Number one, if a shops not training,how does that shop deal with the vehiclesthat are coming into the shop and thatwill be coming into the shop? The numberone component is the fact that every yearin the United States, somewhere between75 and 100 new vehicles are launched thathave some sort of change going on to thatvehicle which is of significance to the collision repair industry. It could be a newvehicle debuting, or it could be a signifi-cant re-design of a vehicle or have to dowith significant re-engineering of stuffthats going on underneath the body pan-els...How do you keep abreast of the bestpractices on how to repair those vehicles ifyoure not training? These vehicles arechanging, and in some case quite signifi-cantly. The number one issue that the indus-try has is the plethora of new vehiclescoming into the shops every year. Issuenumber two that the industry has is thecomplexity of vehicle technology thats

being introduced to the marketplace. Amajor driver of that is the CAFE legisla-tion that was put into place a few yearsback. There are interim requirements forfleets in North America to achieve a cer-tain MPG requirement. By 2016, vehiclesneed to be at a significantly higher CAFEperformance than where they needed to bein prior years. But thats just an interim re-quirement; in 2025, vehicles need to be at54.5 miles per gallon. If you look at wherethe automotive industry has been over thelast five years or so, it has been improvingfuel economy at an average rate of about.8 miles per gallon. To get to the 2016 re-quirements and this was starting in 2014 the rate of the change of improvementhas to go from .8 to 1.2; thats a 50-per-cent increase in average fuel economy per-formance across the OEM fleets. To get to54.5 in 2015, that rate of change had tochange effectively in 2014 to a rate of 1.6miles per gallon or double the rate of im-provement over the prior five years. Sohow are the automotive companies gettingthere? Theyre getting there through acombination of various different tactics;some of those are powertrains, more effi-cient engines, more efficient transmis-sions, turbochargers, maybe applyingdiesels into their fleets. Theyre looking atplug-in electric hybrids and hybridizingconventional powertrains, stop/start technologies...The powertrains a big pieceof it, but mass reduction, rolling resist-ance, aerodynamics are also big pieces ofit...Were seeing shifts in materials; theuse of high-strength steels is becomingmore commonplace today. Although

As CEO and president of I-CAR, John Van Alstyne is leading I-CAR into the future as the automotive collision repair industrys standard for technical-focused education, knowledge and solutions that directly contribute to complete, safe and quality repairs for the ultimate benefit ofthe consumer. Prior to I-CAR, Van Alstyne spent 20 years in the OEM andvehicle technology sector of the automotive industry. Most recently, hewas with Fisher Coachworks, a Detroit-based electric vehicle start-up.Earlier, he was with Ricardo, a top global powertrain and vehicle engineering consulting firm, and Freudenberg-NOK, a global Tier 1 OEM parts manufacturer.

continued on page 51



In an industry often hindered by the demands of insurers,there has never been a greater need to break away from thelearned helplessness that plagues so many repairers and explorenew ways of developing what should be the Labor Rate for colli-sion repairs. For a growing number of shops across America, thisnew path is being developed by the Variable Rate System fromNational AutoBody Research (NABR). Created by Richard and Sam Valenzuela, the Variable RateSystem is a collection of online tools that help auto body shopscharge the right Labor Rates for their shop based on market,training, certifications and equipment, and helps them raise theirrates to a profitable and sustainable level. It is a subscription-based product that seeks to solve two problems the single ratesystem, and stagnant and depressed Labor Rates simply by tak-ing advantage of accepted industry operating procedures andlaws that already exist: Prevailing Competitive Pricing (PCP),Most Favored Nation (MFN) and ShortPay Negotiation and Liti-gation. According to company literature, Auto body shops canstart using it today without fear of losing their DRPs. No argu-ment with your DRPs is involved because even as market condi-tions change, the continued proper use of the Variable RateSystem will ultimately raise the recognized PCP rates which allinsurance providers pay. When we began, there was a clear and desperate need forLabor Rates to go up, explains Richard. While people in the in-dustry did not necessarily have the research to support that belief,they were feeling it in their bank accounts, their inability to giveemployees raises and their inability to buy necessary equipmentto handle the new technology, metals and designs of modern ve-hicles. The Variable Rate System (VRS), comprised of five (andtwo upcoming) online tools, includes online access to severalbusiness tools designed to improve your understanding of com-petitive prices in your market, locate shops like yours in yourarea, provide efficient quotes and calculate the right Labor Ratefor your individual shop in order to hit your profit goals. Sub-scribing shops get 24/7 anytime access to these VRS tools:

SURVEY THE MARKET The most advanced Labor Rate search tool available. With just

a few clicks, this function within the VRS quickly provides youwith Prevailing Market Rate Ranges (PMRRs) of competitiveLabor Rates in your area (not just one rate for all shops), basedon several factors such as a shops location, training, certifica-tions and investment in equipment and technology.

Documents PCP rate range to support claiming and collectingfair and reasonable rates from insurance providers

SHOP LOCATOR Based on the search criteria you select such as location,

training, certifications, equipment the Shop Locator shows alist of the company names, addresses and phone numbers of allshops that have entered their Labor Rates in the VRS. This givesVRS subscribers competitive intelligence not available to othersin the marketplace.

LABOR RATE & PROFIT CALCULATOR Whats the right Labor Rate for your shop to charge in order

to achieve a 15-percent operating profit? If your paint costs goup five percent, what new Labor Rate or paint & materials ratedo you need to maintain your profit levels? The VRS Labor Rate& Profit Calculator helps answer these and several other impor-tant questions, fast. NABR has done all of the math and built aneasy-to-use online tool, so you can focus on running the bestshop possible. No more guessing at Labor Rates, no more working through other confusing and complicated Labor Ratecalculators and no need to pay your accountant to build morespreadsheets. Just plug in the basic financial and operationsnumbers we ask, and let the calculator do the rest. The result:learn the right Labor Rates to charge for your individual shop,based on your own companys cost of doing business and grossprofit and operating profit goals.

COST OF DOING BUSINESS CALCULATORCurrently provided as an offline service by NABR for VRS

subscribers, the Cost of Doing Business Calculator helps shopsbetter understand their cost structure from a monthly, weekly,daily and even hourly view. With the flexibility to use your finan-cial statements from the last three, six, nine or 12 months, this

COVER STORY by Joel Gausten

FAIR, REASONABLE &PROFITABLE:Exploring the Variable Rate System

There isnt a single shop owner reading this publicationwho doesnt want a more realistic Labor Rate.



calculator is used in conjunction with the Labor Rate calcu-lator to help you compute the right Labor Rates for you.

QUOTE TOOLThis easy-to-use online tool gives shop estimators a

lightning-fast way to access pricing packages and providequotes. The ultimate in pricing flexibility, the Quote Tool enables your shop to have up to three tiers of pricing (for example, Hi, Medium, Lo) for multiple account types such asretail, wholesale, commercial, fleet and insurers, as well asspecial pricing packages for specialty or high-end vehicles.

The Quote Tool is used daily to virtually eliminate pricingconfusion when preparing estimates, while increasing effi-ciency and profit per transaction.

PROCEDURES & PRACTICES Have you ever heard youre the only one who charges

for that procedure? The new VRS Procedures & PracticesSurvey will dispel that myth once and for all. Shops acrossthe country have told us of the many procedures or opera-tions they commonly perform without getting paid. Yet othershops charge for that same operation, put it on their esti-mate and get paid by the insurer. Why does one shop getpaid but not the other? There are several reasons, but thebiggest one NABR hears is that shops were not aware thatother shops were charging and collecting for certain proce-dures. Well, now you will be!

Take the VRS Procedures Survey today, and see behind thecurtain about what is really happening with other shops, andwhich insurers pay for what procedures. Your participationin the survey is vital to helping create a level playing field sothat every shop is paid for the work they do.

MARKET METRICS (COMING SOON) How does your shops revenue per bay compare to other

shops in your market? What about total overhead per em-ployee? Or profit per square foot? Coming soon, the VRSMarket Metrics tool will help you answer these key performance questions, enabling you to benchmark yourshop against others in your market and across the country,along several key performance indicators in the areas ofsales performance, cost performance, profit performance,productivity metrics and general business comparisons.

Considering the truly unique nature of the Variable RateSystem, it comes as little surprise that use of the product hasspread throughout the industry. At the end of 2013, the sys-tem had rate information for 300 shops across the country;today, more than 20,000 different rates have been collectedby 1,745 shops in 44 states. Sam credits the Variable RateSystems ongoing success to industry word of mouth plusgrowing news media interest and support. We have many shops that are strong believers in thesystem, and they are telling others about it and spreading the word, he says. When people really see and really understand what the Variable Rate System is, they get really



excited because they see the vision that it is indeed the solutionfor the stagnant Labor Rate problem. Perhaps the greatest element of the Variable Rate System isthat it offers real-time Labor Rate data based on the quality ofshops within a specified market. We believe that you need to separate shops from one an-other only in an effort to reward the shops that are reinvestinginto their businesses by getting their people trained and acquiringmore certifications and quality equipment, notes Richard. Wehave adjusted the search functionality to separate the more highlycertified shops from less-certified shops. Those shops that do thatcan then call for a greater Labor Rate. We want those facilities re-warded for their efforts in trying to be state-of-the-art shops, be-cause we are concerned about the care and the safety of theconsumer. Not all shops are the same, Sam adds. Paying one price toall shops is kind of equivalent to giving one grade to all our stu-dents in a class. Students perform differently, and they deservedifferent grades; shops perform differently and deserve differentprices. Sam believes that the Variable Rate Systems offers value toinsurance carriers as well. Most insurers really dont have a source of market-baseddata to know what the real price is, he observes. This is oneway where they can have a better, more accurate view of whatprices really are in the market. In addition to their subscription-based offerings, NationalAutoBody Research is currently conducting extensive and free national surveys on shops Labor Rates and procedures. Therate surveys ask shops to supply two types of rates: the posteddoor rate and what Richard calls the fair, reasonable and suffi-ciently profitable rate (or FRP). The FRP rates are those that shops say they would chargewithout insurers being involved in their business, offers Sam.The FRP rates are higher, but theyre not extremely high. Youdont see shops saying they would charge $200 an hour if insur-ers were not in their business. The extremes of the FRP rates national, statewide or region-ally dont exceed where the rate would have been if the LaborRates had stayed in line with cost of living and inflation increasesover the last decade or so, Richard adds. In our research, theFRP rates are still falling short of where other industries LaborRates are. Theyre falling short of mechanical Labor Rates andeven the Labor Rates for bicycle repairs. We think that is atremendous injustice. The past few months have seen National AutoBody Researchpartner with shops or industry associations in New Jersey, NorthCarolina, Ohio, Idaho, Texas, Georgia and Florida to bring thesurveys to these states. In most cases, these surveys are namedafter a prominent repairer in that state. For instance, the Ohio sur-vey bears that name of noted industry leader Bob Juniper, whilethe North Carolina survey is named after industry professionaland recently elected SCRS Board member Michael Bradshaw. Allcurrent state surveys also include the name of outspoken industryadvocate and Florida shop owner Ray Gunder. Not surprisingly,Richard is pleased and honored to receive these public endorse-ments from these well-known industry figures.

Their motive is the care and safety of the consumer and thewelfare and wellbeing of the collision industry, he says. Theyare the leaders, the people who are cutting the path and are will-ing to fight the battle for fair, reasonable pricing in the collisionindustry. There is a desperate need to raise rates to that level, andtheyre supportive of the Variable Rate System. Our hope is thatother repair professionals will look at these men and say, If thoseguys believe in the system, maybe we need to give it a look. Closer to home, AASP/NJ has been a strong and very vocalsupporter of the Variable Rate System. Earlier this year, the asso-ciation teamed with NABR to sponsor the AASP/NJ VRS RayGunder Real-Time Labor Rate Survey in the state of New Jersey. NABR is thrilled to work with AASP/NJ and CharlieBryant to bring the Variable Rate System to New Jersey, offeredRichard in a prepared statement at the time of the union. [AASP/NJ Executive Director] Charlie [Bryant] has shown himself to bea courageous visionary willing to go to bat for a product he feelswill benefit the industry that hes devoted his life to. Likewise,AASP/NJ has demonstrated the wisdom to put aside old precon-ceived ideas about Labor Rate surveys to support a technologythat could revolutionize Labor Rate pricing for the auto collisionindustry, for the ultimate wellbeing and safety of the consumer. Were very excited about the Variable Rate System becauseit is nothing like the traditional surveys we have seen in the past,added Bryant. The VRS gathers the important information thatseparates one shop from another their level of training, level ofinvestment in equipment, the type of vehicle being worked onand more and then reports back with a range of rates using anapples-to-apples comparison. I would strongly recommend thatcollision shops look further into the Variable Rate System, signup and give it an opportunity to make a difference. In March, the Valenzuelas used the 38th Annual NORTH-EAST Automotive Services Show as an opportunity to showcase the Variable Rate System to the shops that wouldbenefit from it. Their presentation was easily one of highlights of this years installment of AASP/NJs flagship event. Theres a nucleus of shops in the New Jersey market thatare incredibly supportive, Richard says. Weve developed greatfriendships that make it easier to help the shops. The relationshipwith AASP/NJ has been excellent. Of course, a tool as revolutionary as the Variable Rate Sys-tem is only helpful to your business if you take the time to utilizeit. As Richard says, The Variable Rate System is not a magicwand that you wave in the air and then Labor Rates increase.Dont subscribe and then put it on the shelf and think the rates aregoing to increase because you subscribed. You have to use thesystem. Our subscribers who are successful in raising the rates are

the ones who are actively using the system and have integrated itinto their day-to-day business, adds Sam. If you do that, yourrates will go up. We just have too much proof that it works whenyou use the tool. NJA

For more information on the Variable Rate System, visit

nationalautobodyresearch.com.



high-strength steel is still a steel, thereare different attributes to high-strengthsteel that make it unique versustraditional mild steels; there are somenew techniques required to deal withhigh-strength steels. Im not sure the industry really puts enough attention tothat factor. While the industrys all excited about aluminum, theres a lotmore high-strength steel being used and high-strength steel is not the same as steel. Aluminum is coming into the market; we saw that with the F-150 thisyear. But aluminums been around for alittle while; Jaguar/Land Rover uses aluminum, and Audi uses aluminum. Itsnot that its completely new, but all of asudden its on the mainstream, highest-volume vehicle in the United States, sothats a big deal. Carbon fibers outthere, and magnesiums showingup...Youve got all this stuff going on interms of the body and structure of the vehicle, and then you throw in all theelectronics that are coming to the fore-front...Quite frankly, the electrical aspects of the repair are becoming muchmore significant and are very critical toongoing proper performance in the vehicle from a safety perspective. So you combine all the technology changes that are going to happen driven by legislation and consumer demand forelectronics and all the fancy things thatcars do together with the repetitive 75to 100 new vehicles each year, and itsno longer a model change where youhave a new paint on the car and somenew fabric on the seats; youve got a sig-nificant changing of the DNA of the ve-hicle thats happening and will continueto happen over the next decade. So ifyoure not training, how do you keepabreast of all that is going on, and howdo you know that youre able to performcomplete, safe and quality repairs? We need to get real as an industry.We have technology shifting that requires new thinking. At the same time,you can generate a meaningful ROI byadopting a commitment to education andknowledge. Portions of this interview were edited forspace and clarity. Look for part two of our discussion withJohn Van Alstyne in next months New JerseyAutomotive.

NJA

continued from page 43I-CAR FEATURE



ARANJ 2015 OfficersPresident Bob Dirkes / Dirkes Used Auto Parts

(609) 625-1718 / [email protected] Vice President Ian Szoboszlay / Ocean County Auto

(732) 349-0332 / [email protected] Vice President Darryl Carmen / Lentini Auto Salvage

(908) 782-6838 / [email protected] Vice President Joe Goodman / Leesville Auto

(732) 388-0783/ [email protected] Director Brian Snyder / Auto Recyclers of NJ

(609) 714-2339 / [email protected]

ARANJ 2015 Board of Directors

ARANJ The Automotive Recyclers Association of New Jersey

Mike Ronayne Tilghmans Auto Parts

(609) 723-7469 [email protected] Yeager EL & M Auto

(609) 561-2266 [email protected]

Rodney Krawczyk Ace Auto Wreckers

(732) 254-9816 [email protected]

Mike Caputo Lacey Used Auto Parts, Inc.

(609) [email protected]

Bert Witcraft Auto Express

(856) 728-8367Ed Silipena

American II Autos (609) 965-6700

[email protected]

Harry Shover Porchtown Auto (856) 694-1555Norm Vachon

Port Murray Auto (908) 689-3152

[email protected]

WhartonInsurance BriefsAn ARA Member The economy can create many changes in the insuranceindustry, some good and some not so good. When an insurance company has lost premium income, they may lowerpremiums to attract new customers or enter into a field of business that they have not entertained before. The latter hasbecome a concern to me and should be a concern to you. Be very cautious when you are approached by an agentrepresenting an insurance company that you dont recognize or that has not written insurance for your industry in the past. A new company is willing to lower premiums to get a marketshare of the industry business. Although the premium may beless, you need to thoroughly evaluate the coverage, exclusionsand conditions of the policy. When making your decision, lookfor an agent and insurance company that is experienced in your industry. They understand your exposures and canprovide proper coverage to meet your needs. If you have anyquestions or concerns regarding quotes you have received,please feel free to call me to discuss it.

Mario DeFilippis, AAI, Vice President800-221-0003 (1320) 908-513-8588 (cell)

[email protected]


Thank you from AASP/NJ for attendingand exhibiting at NORTHEAST 2015!

Save the Dates for 2016!March 18, 19, 20, 2016




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Amato Agency ............................................17

Audi Group ................................................30-31

Axalta Coating Systems ..............................6

BMW Group ..................................................40-41

Bridgewater Acura ......................................53

Cadillac of Mahwah ....................................18

CCC Comp-Est ..........................................16

Classic Audi................................................10

Continental Auto Parts ................................55

Cycan Industries ........................................33

Empire Auto Parts ......................................51

FASTLIGN ..............................................21

Flemington Audi..........................................5

Flemington Group ......................................IBC

Fred Beans Parts ........................................4

Future Cure ................................................16

Glen Toyota ................................................OBC

Help Wanted ..............................................9

Hyundai Group............................................23

JMK BMW..................................................35

JMK Saab/JMK Fiat ....................................9

Klean Frame ..............................................51

Maxon Mazda ............................................46

Maxon Hyundai ..........................................36

Mazda Group..............................................34

Mercedes-Benz of Freehold ........................57

MINI of Manhattan ......................................8

MINI Group ................................................19

Mitsubishi Group ........................................29

Mopar Group ..............................................24

NORTHEAST 2016 ..................................57

NUCAR.......................................................12-13

Paul Miller Audi ..........................................44

Porsche Group............................................47

PPG ..........................................................3

PPGMS ......................................................32

Prestige Motors ..........................................22

Princeton BMW ..........................................45

Princeton MINI............................................33

Sherwin-Williams........................................37

Subaru Group ............................................56

Town Motors ..............................................15

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VIP Honda ..................................................53

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Wheel Collision Center ................................58

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