Inside the Collision Industry

There is a difference between auto body repair and auto collision repair. The former refers to the more cosmetic oriented nature of minor repairs. Auto Collision repairs are somewhat more sophisticated as often times they involve the straightening and/or alignment of the structural sections of the vehicle i.e. the frame, cross-members and pillars.

The Auto Collision Industry in Canada is currently $3.2 Billion. Currently, there exists an imbalance between the number of Suppliers (approx. 7500 Repair Facilities, averaging annual sales slightly over $400,000) relative to the number of Buyers i.e. Insurance Companies whereby the top 20 underwrite over 90% of the Private Passenger vehicle insurance premiums.

The highly fragmented nature of the Canadian Auto Collision Industry, with most auto collision repair shops operating in a traditional "Mom and Pop" environment causes friction. This situation becomes compounded when car insurance companies, armed with sophisticated Information Systems and Actuarial data negotiate with these shops. The facility's negotiating posture is limited when you consider that the majority of auto collision repair shops across Canada do not even use an automated auto collision estimating system!

Recently, in the face of rising auto insurance premiums and negative media exposure, there has been an increasing proportion of consumers who forgo putting in a claim for an insured loss against their auto collision insurnace and electing to pay out of pocket.

Some multi store branded chains of auto collision centers have emerged in the fragmented marketplace, however, the largest chain only maintains a 5% market share. As a result, a consumer is often left "rolling the dice" when selecting a collision repair facility, and the outcome of the work is highly variable. Even if you go to one of the few branded chains, there may not be consistency from one location to the next, in terms of work quality, warranty, etc..

We work on the assumption of "Verified Trust". Your best friend, distant relative, former ex-spouse has a collision repair facility so you KNOW you can trust them.

How can you be so sure?

The pages in the collision section of this website can assist you in your estimation of a collision repair shops ability to service your needs correctly.

There are a number of business directories containing business relating to auto collision from all across Canada. You can get contact information, get directions and read reviews to help you with your decision. Additionally, you can post reviews of your own to help other visitors to this website.