'The problem lies with the amount of admin' - panel beaters say insurance red tape slowing car repairs


Some panel beaters are saying insurance companies are taking too long to complete claims - and it is hitting them in the pocket.

The insurance industry is defending its processes, however, saying it is necessary to asses all claims.
Source: 1 NEWS

More than 300,000 cars are sent for repairs in New Zealand each year and Neil Pritchard of the Collision Repair Association says bureaucracy is slowing things down.

"The problem lies with the amount of admin we have to do now - absolutely - if we didn't have to do that then we would have more effort - more resource into repairing cars," Mr Pritchard said.

On average, it takes about six days to carry out a repair, but two of those days are due to paperwork.

The insurer first needs to open a claim, then assess the vehicle and then to authorise the panel beater to quote for repairs.

After the quote has been accepted, only then can repairs get underway on the vehicle.

However, Tim Grafton of the Insurance Council says paperwork is necessary to assess all claims and if anything the system has become more streamlined.

"What is changing is that insurers are trying to speed the process up ... they are establishing exclusive repair facilities with modern machinery and processes," he said.

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