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Vehicle repairers begin campaign to end attitude of 'contempt' among insurers

Vehicle repairers are calling for the industry to unite to tackle alleged anti-competitive behaviour by some insurance companies which, they claim, is destroying their businesses.

The Body Repair Industry Campaign has been established by the Retail Motor Industry Federation (RMI) to carry out an analysis of the relationship between the UK insurance industry and vehicle repair process.

Bob Hood, RMI bodyshop services division director, said: "The repair industry needs a project like the BRIC backed by an organisation as powerful as the RMI. For too long some insurance companies have been treating vehicle repairers with little more than contempt."

The RMI wants a number of serious issues addressed:

  • Specification of non-OEM (original equipment manufacturer) or second-hand parts
  • Allegations of insurance company collusion
  • Cross-subsidy of insurance products
  • Insurer actions against customers(denying right to choose repair centre)
  • MPs to initiate an investigation into possible anti-competitive practices under the Competition Act 1998
  • An obligation on motor insurers operating their own bodyshops to be VAT registered
  • An investigation into the pricing structure and comparison of motor insurance cover within the EU
  • A system that regulates insurer/repairer activity in the UK body repair industry, as an extension of the current MoT test system

    For more information about the BRIC contact the RMI's bodyshop services division on 01788 538305.

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