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  • Autobody News previously reportedon the controversial use of digital im-ages in appraisals in Connecticut(ABAC Legal Counselor Objects toUse of Camera Phone Photos for Es-timates in June 2014 issue.)

    The concerns have also caughtthe attention of Massachusetts Com-monwealths Auto Damage AppraiserLicensing Board (ADALB) whichmade an advisory ruling on May 20thstating that using quality video ordigital images to prepare an appraisalsatisfies its regulations.

    The Massachusetts ADALB ap-proved Advisory Ruling 2014-01 bymajority vote at a board meeting. Itseeks to clarify the use video or digi-tal imaging technology to settleclaims.

    The adopted ruling states: TheAuto Damage Appraiser Licensing

    Board has passed a motion agreeingthat an appraisal conducted by a li-censed appraiser via review of qual-ity video or digital images withdocumentation meets the require-ments of 212 CMR 2.04(1)(d) Theappraiser shall personally inspect thedamaged motor vehicle and shall relyprimarily on that personal inspectionin making that appraisal....

    This Advisory Ruling shall beeffective upon posting on the AutoDamage Appraiser Licensing Board-public website. Failure to comply withthis ruling could result in fines andpenalties as provided for by law.

    The practice comes about wheninsurance companies allow their cus-tomers to file claims via a smartphone application. In March, for ex-

    by John Yoswick

    PartsTrader proposed state limits onuse of non-OEM parts, and challeng-ing the automakers patent designs oncrash parts were all being discussedwhen non-OEM parts manufacturersand distributors met recently inAustin, Texas.

    The Automotive Body Parts Asso-ciation (ABPA) allowed only mem-bers in the room during discussion atits convention of the associationspending lawsuit challenging the valid-ity of six of Fords design patents oncollision repair parts. But proposed

    federal legislation that would reducehow long automakers can use design

    patents to preventother companiesfrom producing re-placement crashparts was amongthe topics dis-cussed at the eventby Louisiana taxlawyer Cassie

    Felder, who is running for Congress.Felder, a Republican who be-

    lieves in tax reform and repealingthe Affordable Care Act, told atten-

    Ronald Galati Sr. is one of 41 peoplein Philadelphia indicted by a grandjury in an elaborate insurance fraudscheme that used deer carcasses tostage auto accidents, according to re-ports at Philly.com.

    Galati is accused of running the$5 million scam out of his auto bodyshop in Philadelphia where he storeddeer carcasses, blood, and fur in theback of his shop to use as props tostage the accidents. Galati was in thebusiness, according to a grand jury, offictitious deer accidents.

    Galati, 63, was one of 41 peoplecharged in the fraud after a 16-monthinvestigation by a Philadelphia grand

    jury. Also charged were his wife,Vicki, 59, and their son Ron Jr., 37,who since 2000 has been the legalowner of his fathers American Colli-sion & Auto Center at 1930 S. 20th St.

    According to District AttorneySeth Williams, Galati encouragedcustomers to file insurance claimssaying they struck a deer instead of acar so insurance companies wouldconsider them no fault accidentsand pay the claims without raising thecustomers premiums.

    Galati favored creating single-ve-hicle accidents because insurancecompanies would consider them no-

    Philadelphia Shop Accused of Staging Car Accidentsas Fictitious Deer Crashes, Vandalizing Own Repairs

    Aftermarket Parts Sellers Hear from CongressionalCandidate With Ties To The Industry

    See Photos in Appraisals, Page 14

    See Staged Deer Crashes, Page 9

    Massachusetts ADALB Issues Positive AdvisoryRuling on Use of Digital Images in Appraisals

    See Aftermarket Parts Sellers, Page 12

    Cassie Felder

    By Rhode Island standards, this yearsentry in the automobile insurers ver-sus repair shops category is a mini-malist one. Nonetheless, a series ofbills in ongoing tug-of-war betweenthe auto body and insurance industriesin Rhode Island are ongoing and wereheard by the Rhode Island SenateCommittee on Judiciary June 5.

    The bills are co-sponsored byNorth Providence Sen. Dominick Rug-gerio, majority leader from District 4.Corresponding bills from North Provi-dence Rep. Arthur Corvese have alsobeen referred to committee in theHouse.

    The following are some of thebills up for consideration: S2833 prohibits insurance compa-nies from mandating use of used or re-manufactured airbags or suspensionparts. It would prohibit insurancecompanies from requiring the use ofused or remanufactured airbags and/orsuspension parts when vehicle repairs

    are made by an auto body shop. S2834 establishes a two-tiered li-censing system for body shops. It cre-ates two distinct license classificationsand labor rate surveys for auto bodyrepair shop facilities, basically mean-ing different pay for different shops. S2835 extends regulations on after-market auto body replacement parts toany automobile replacement part. Itamends the definition of the term af-termarket part to refer to all motorvehicle replacement parts. Another would eliminate theprocess that allows filings by casualtyinsurers seeking rate increases or de-creases of not more than 5 percent tobecome effective when filed, essen-tially taking away the ability of insur-ers to increase rates without a hearing,according to Jina Petrarca-Karam-petsos, spokeswoman for the AutoBody Association of Rhode Island(ABARI) and daughter of Providence

    Rhode Island Bills Under Consideration AffectAirbags, Two-tiered Body Shops, Aftermarket Parts

    See RI Body Shop Bills, Page 18Presorted StandardUS Postage

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    VOL. 4 ISSUE 4JULY 2014

  • 2 JULY 2014 AUTOBODY NEWS | www.autobodynews.com

  • Acura of Westchester . . . . . . . . . . 36Amato Agency. . . . . . . . . . . . . . . . 32Audi Wholesale Parts Dealers. . . . 49Automotive ID . . . . . . . . . . . . . . . . 16Axalta Coating Systems . . . . . . . . . 5B & R Associates. . . . . . . . . . . . . . 35Baystate Chrysler-Jeep-Dodge-Ram . . . . . . . . . . . . . . . . . . . . . . 21

    BMW Wholesale Parts Dealers . . . 47Central Avenue Chrysler-Jeep-Dodge-Ram. . . . . . . . . . . . . . . . . 8

    Certified Automotive PartsAssociation (CAPA) . . . . . . . . . . 15

    Chief Automotive. . . . . . . . . . . 24, 25Classifieds . . . . . . . . . . . . . . . . . . . 54Clay Auto Group . . . . . . . . . . . . . . 11Colours, Inc . . . . . . . . . . . . . . . . . . 30Ditschman/Flemington Auto Group. 55Empire Auto Parts . . . . . . . . . . . . . 24Fairfield Chrysler-Jeep-Dodge-Ram . . . . . . . . . . . . . . . . . . . . . . 12

    Fitzgeralds Lakeforest Hyundai-Subaru. . . . . . . . . . . . . . . . . . . . 39

    Ford Wholesale Parts Dealers. . . . 51Fred Beans Parts. . . . . . . . . . . . . . 56Future Cure . . . . . . . . . . . . . . . . . . 38Glanzmann Subaru . . . . . . . . . . . . 43GM Wholesale Parts Dealers . . . . 48Hackettstown Honda. . . . . . . . . . . 14Herkules Equipment Corporation . . 9Honda-Acura Wholesale PartsDealers . . . . . . . . . . . . . . . . . 28-29

    Hyundai Wholesale Parts Dealers. 45Jaguar Wholesale Parts Dealers. . 53

    Kia Motors Wholesale PartsDealers . . . . . . . . . . . . . . . . . . . 37

    Koeppel VW-Mazda. . . . . . . . . . . . 31Lexus Wholesale Parts Dealers. . . 53Malco. . . . . . . . . . . . . . . . . . . . . . . 13Martech Services Company . . . . . 22Maxon Hyundai . . . . . . . . . . . . . . . 20Maxon Mazda . . . . . . . . . . . . . . . . 34Mazda Wholesale Parts Dealers . . 44MINI Wholesale Parts Dealers. . . . 46Minute Man Wheel Lifts. . . . . . . . . 18MOPAR Wholesale Parts Dealers . 33NACE/CARS Expo & Conference . 27Nissan/Infiniti Wholesale PartsDealers . . . . . . . . . . . . . . . . . . . 50

    PDR Nation . . . . . . . . . . . . . . . . . . . 6Porsche Wholesale Parts Dealers . 51Providence Lacquer & SupplyCentre . . . . . . . . . . . . . . . . . . . . 10

    Rare Parts, Inc. . . . . . . . . . . . . . . . . 4Safety Regulation Strategies. . . . . 13SATA Spray Equipment . . . . . . . . 17Security Dodge-Chrysler-Jeep-Ram . . . . . . . . . . . . . . . . . . . . . . . 7

    Subaru Wholesale Parts Dealers . 41Sussman Auto Group . . . . . . . . . . 42Thompson Organization . . . . . . . . 23Toyota Wholesale Parts Dealers . . 52Valspar Automotive . . . . . . . . . . . . . 2Volkswagen Wholesale PartsDealers . . . . . . . . . . . . . . . . . . . 49

    Volvo Wholesale Parts Dealers . . . 40Wagner Auto Group . . . . . . . . . . . 19Yonkers Kia . . . . . . . . . . . . . . . . . . 26

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    Contents

    Publisher & Editor: Jeremy HayhurstGeneral Manager: Barbara DaviesOnline Editor: Alicia BasteriContributing Writers: Tom Franklin, David Brown,John Yoswick, Janet Chaney, Toby Chess,Ed Attanasio, Chasidy SiskAdvertising Sales: Joe Momber, Sean Hartman,Bill Doyle, David Petro (800) 699-8251Sales Assistant: Louise TedescoArt Director: Rodolfo Garcia

    Serving New York, New Jersey, Pennsylvania, Delaware,Maryland, Connecticut, Rhode Island, Massachusettsand adjacent metro areas, Autobody News is a monthlypublication for the autobody industry. Permission toreproduce in any form the material published in AutobodyNews must be obtained in writing from the publisher.2014 Adamantine Media LLC.

    Autobody NewsP.O. Box 1516, Carlsbad, CA 92018(800) 699-8251 (760) 603-3229 Faxwww.autobodynews.comEmail: news@auto