You probably didn’t get into auto repairs because you love navigating insurance claims. However, they are a part of the process for any shop trying to get reimbursed for their ADAS calibrations.
With disputes becoming more common than ever, it’s important to know how to justify the work you’re doing. Here’s how you can do that—and get reimbursed in the process.
3 Cornerstones for Justifying Your Work to Customers & Insurance Providers
1. Document Everything
At some point, documentation may seem like overkill. However, having a clear record of the work you performed, why it was needed, and how you performed it helps the insurance provider understand why you need to be reimbursed and reduces the likelihood that they will push back.
Keep track of the following:
- Photos of the vehicle when it arrives in your shop
- Videos from your pre-calibration assessment or inspection
- Work orders from your diagnostic team
- And more
It’s impossible to overcommunicate with insurance companies about the work you’re doing on their customers’ vehicles, especially if you’re in the early stages of your relationship with them.
2. Provide Education
Although more vehicles use sophisticated ADAS technology to keep drivers safe, insurance companies may not always be as familiar with their inner workings. That’s why it’s important to include explanations and education for why the repairs you’re making are necessary.
Give details on how each of the ADAS components you’re repairing works, plus how repairing them now can prevent further accidents later on. This helps the insurance company see that they won’t be as liable later on if there’s an equipment failure relating to ADAS malfunctions.
Even if the insurance adjuster isn’t actively pushing back, transparency and education go hand in hand. Educate them on the process of your pre-calibration assessments with plenty of videos and photos showing them how it works—this will help the company better understand both your current and future repair jobs.
3. Build a Long-Term Relationship
Chances are, you’ll have to interact with adjusters from the same insurance companies multiple times during your career. Network with these and other representatives whenever you have the opportunity—that way, you can build trust with them and establish a solid working relationship that will make the reimbursement process easier.
Just like other professional relationships, building rapport may take some time. However, once you have that trust, the reimbursement process will become that much easier.
Tips for Justification
1. Use OEM Resources
OEM literature like position statements, job aids, and other service information goes a long way in justification. By showing insurance companies the official stances and instructions from the vehicle’s manufacturer, you add credibility to your requests for reimbursement.
2. Record Pre-Calibration Assessments
As part of your documentation efforts, record a pre-calibration assessment that tracks all of the diagnostic trouble codes (DTC) that are coming up. In addition, provide details about the vehicle and written reasons for the calibration.
Most of all, don’t skip any steps. Even if you think you’ve included more information than is necessary, this gives the adjuster a clearer understanding of why the repairs warrant reimbursement.
3. Keep a “Paper” Trail
Transparency is the name of the game when you’re trying to get reimbursement from insurance providers. Track records of all the calibration procedures you perform and their results, and store them in a database where you can easily access them later as needed.
4. Engage Proactively
Don’t wait for the insurance adjuster to reach out to you after just emailing your contact a request for reimbursement. Reaching out to them early and taking the first steps to engage with them makes it easier to get approvals faster and minimizes the amount of disputes you’ll receive.
Why You Need to Justify Your Calibrations
Insurance disputes are becoming more and more common for financial and policy-related reasons. However, taking the steps to justify your calibrations makes it easier to avoid them. Some other reasons to have a plan for justifying calibrations include:
- More accurate reimbursement
- Faster reimbursement
- Happier customers
- Better relationships with insurance providers
- More growth for your business
Learn Everything You Need to Know About Justification
Want to learn more about navigating insurance payments for your repair business? Sign up to watch our free webinar on demand today! Still have questions? Connect with ADAS Depot’s remote experts—we’re here to help you.
