Here we go again

Jan. 1, 2020
If a change to a refinish labor time on a repaired panel is going to be made, what magnitude of a change is appropriate?

The more things change, the more they stay the same. French writer and philosopher Voltaire wrote that back in the 18th century, but it sure seems to apply to our industry today. I thought about it as I heard that insurance companies are once again pushing shops to accept reductions of paint times.

A Collision Industry Conference (CIC) committee in which I participated addressed this back in 2006, but it seems to once again be becoming more of an issue. So let’s, once again, go over what that committee’s research found. (You can download the presentation at http://www.abrn/CICpresentation).

First, all of the big three estimating system providers acknowledged that a user can adjust any paint time, up or down. Second, all three also said their blend formulas were NOT intended for use on repaired panels, only for undamaged panels.

“Audatex blend refinish is to be considered for use on adjacent undamaged panels for color match purposes,” that company told our committee in writing, just as Mitchell International and CCC Information Services did.

So the next logical question is: If a change to a refinish labor time on a repaired panel is going to be made (and I’m not saying it ever should be), what magnitude of a change is appropriate? I think we all agree that the thing we’re decreasing is the application of the basecoat and sealer. Motor Information Services, which provides the estimating database used by CCC, told our committee that 19 percent of its basecoat paint time is for basecoat application; another 7 percent of the time is for application of primer/sealer. The rest of the time is for sanding, pre-washing and other preparation of the panel.

So if anyone is even considering reducing a paint time (and I’m not saying you ever should), the only thing that ever should be decreased would be only the basecoat and sealer time. So let’s take a hypothetical refinish labor time of 2.4 units. Twenty-six percent of that time (19 percent for basecoat application and 7 percent for primer/sealer) would be .6 units.

If you are going to decrease anything (and I don’t think you should), the most you should decrease that time would be 50 percent of the .6 units (so .3 units) – not 50 percent of the entire 2.4 units of labor. And that’s only if you’re applying basecoat and sealer to 50 percent of the panel; if you are applying it to 80 percent, you should only consider reducing the time by no more than 20 percent of the .6 units. By the way, back in 2006, we told the information providers that an asterisk alone isn’t enough on an estimate when a paint time has been changed. If a shop receives that estimate and doesn’t have that particular estimating system, they can’t know what the original full paint time was. We felt that information should be included on the estimate so the shop knows the magnitude of the change that’s been made. All three estimating system providers acknowledged that request ­– yet seven years later none of them have made that change.

There are some other tools you can use to help you address the issue of paint time reductions. First, there are several versions out there of a basecoat reduction calculator (email me for one).

Second, you can make or buy a blend ruler. I first saw one of these 10 years ago in Marshall Auto Body in Waukesha, Wis. It’s a ruler you hold up to a damaged panel that indicates you need x number of inches for feather edge, x number for primer, etc. In short, as documents from the paint manufacturers support, it takes 18 to 24 inches to blend a light or dark metallic. The blend ruler provides a good visual explanation of this.

As I said, you can easily make your own blend ruler, or 3M offers one (part #538904) that is even magnetic. Go to www.abrn.com/3Mblendruler for more information.

One final thing you should know: One industry publication did a survey back in 2006 and found that nearly two-thirds of shops said they were at least “sometimes” successful in requesting full refinish time when such a time has been changed. But you won’t get it if you don’t ask. The more things change, the more they stay the same.

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