Auto Repair Insurance – Direct Repair Programs
Under auto repair insurance known as the direct repair program, an insurance company and a collision repair shop sign a contract to repair a policyholder’s car in the event of an accident. The direct repair program offered through auto repair insurance is widely used by auto insurance companies in the United States, because it is cost-effective. When you look for auto repair insurance reviews, you will find that the concept of direct repair was first used in the late 1970’s, and popularized in the 1980’s. Federal law requires that insurance companies deal with any competent collision repair shop.
While top car insurance companies that issue auto repair insurance want to save money whenever there is a claim, collision repair facilities will demand the amount of money they consider is commensurate with their labor rate and motor vehicle parts. That inevitably creates disagreements and acrimony between the two parties. Both insurance companies and repair shops want to maximize their profit, and often they think that the practice of the other undermines another’s financial viability.
When a claim is processed quickly through auto repair insurance, the level of customer satisfaction is typically higher. In business, that is critical because you not only retain existing customers, but you will establish a good reputation for the company that will attract more customers. Insurance companies that offer auto repair insurance are usually worried about fraud in auto repair shops. This is why they carefully monitor the workmanship of repair shops, lest they abuse the trust in that partnership. However, collision shops also worry that the cost of concession might be too high. Good workmanship is good for both the insurance companies and collision shops. Customer satisfaction in the form of auto repair insurance reviews is an effective form of advertising. Read more about the different types of car insurance.
After reviewing car insurance rates and going over auto repair insurance reviews, you can start by reviewing quotes. By filling in a simple quote form, you can get free, no-obligation quotes.