Several months ago, State Farm stopped considering a vehicle repair procedure on its estimates. To find out more about the repair method and potential claim implications, Claims spoke with State Farm's George Avery, who serves as the company's estimatics consultant for property/casualty claims.
What is full rear-body sectioning?
Sectioning techniques established by the Inter-Industry Conference on Auto Collision Repair (I-CAR) provide the opportunity for repair facilities to perform a full rear-body section replacement. My understanding is this procedure involves sectioning the vehicle in the pillar and floor areas.
Why would an insurer or consumer opt for this type of repair?
Repairers tell us that replacing damaged parts with undamaged recycled part assemblies may be a more effective repair than assembling the individual components. In the case of a full rear-body section, State Farm will pay for this repair if the vehicle owner and the repair facility performing the repair both approve it.
State Farm has asked its repair partners to discontinue this type of repair recommendation on future estimates? Why?
Repair facilities determine the specific repair process on individual repair jobs. The full rear-body sectioning repair method remains valid on many vehicles. We recognize that this technique has become more complex. Therefore, it is more efficient for State Farm staff to no longer consider full rear-body sectioning on our estimates.
If claim personnel encounter repairers bidding for full rear-body sectioning, we will inform the repairer and vehicle owner of our position and explain our willingness to pay for traditional individual component replacement methods. However, if a repair facility elects to perform a full rear-body sectioning and the customer agrees and authorizes repair, we will make payment accordingly.
Could this move end up costing State Farm more money on claim repairs?
We have not studied potential costs, as use of this repair technique is relatively small. It will be more efficient for us to no longer consider this technique in our estimates.
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