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Safety component fraud grows; shops fight back on parts mandates; state regulators listen.
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Counterfeits rise; insurers lose NJ hearing; shops organize.
Wednesday, June 24 · #36
~2 min read
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Markets
Mobileye$7.94-4.80%YTD -23.95%
Aptiv$61.42-3.38%YTD -19.28%
Tesla$381.61-5.79%YTD -15.14%
Nvidia$200.04-4.13%YTD +7.26%
LKQ Corp$25.73+1.26%YTD -14.80%
Tech and auto stocks got hit hard across the board today, with Tesla leading the drop, while LKQ quietly bucked the selloff.
Data via Yahoo Finance
🎯 Carrier of the Week
Progressive

Progressive is picking apart your ADAS line items one by one

What they're cutting
  • Cutting pre- and post-scan as 'included in' diagnostic time, not standalone ops
  • Pushing back on calibration sublet invoices, demanding itemized labor breakdowns from vendors
  • Flagging static calibration setup time and R&R of trim/components as not required by OEM
Rebuttal that's flipping it
OEM position statements from Toyota, Honda, and GM explicitly list pre- and post-repair scanning as separate, required procedures with their own time values. I-CAR's position is clear that these are not diagnostic operations and cannot be bundled into repair labor.
▶ Play this weekPull the OEM repair procedure page that mandates calibration after the specific operation you performed, attach it to the supplement with the sublet invoice, and write 'OEM-required procedure per attached documentation' in the estimate notes before y
Good morning, {{firstName}}.

Counterfeit airbags are becoming harder to spot and regulators are sounding the alarm. Meanwhile, shops got a win in New Jersey and Driven Brands is pushing harder on alternative parts.

RECALL

1. Counterfeit Airbags Growing Risk for Collision Shops

California regulators and industry groups are raising the alarm on fake safety components that are increasingly difficult to detect. Counterfeit airbags can fail in a crash, turning a repair into a liability nightmare. Shops need to tighten sourcing protocols and verify parts with suppliers before install.

Mark says: Document OEM part numbers on every airbag work order and photograph serials before install; tighten supplier vetting this week.

Source: BodyShop Business →

INSURANCE

2. AASP/NJ Wins State Hearing on Claims Practices

The Alliance of Automotive Service Providers of New Jersey met with the state's Department of Banking and Insurance to push back on insurer claims practices and direct repair networks. New Jersey regulators listened and acknowledged shop concerns on proper repair standards and safety compliance. This is proof that organized shops can move regulators.

Mark says: If you're in NJ, cite this meeting in supplement denials; regulators now have it on record that improper repairs are a safety and consumer issue.

Source: BodyShop Business →

INDUSTRY

3. Driven Brands Leans Hard on Alternative Parts

Driven Brands CEO Danny Rivera told investors the company is "all about cash" when it comes to its Franchise Brands division and pushing alternative parts use. This signals aggressive cost-cutting pressure from corporate that will trickle down to shop-level estimates. Expect more insurer pushback on OEM parts requests.

Mark says: If you're a Driven Brands shop, document every OEM parts mandate on estimates and get customer sign-off; protect yourself from future cost-cutting directives.

Source: Repairer Driven News →

OEM

4. UVeye Integrates Carfax Recall Data Into Inspection Platform

UVeye's automated drive-through inspection platform now pulls Carfax service history and active recall data. Dealerships can now spot maintenance gaps and recalls before routing cars to collision. This closes the loop on incomplete pre-repair checks and gives dealerships a tool to flag safety work upfront.

Mark says: Dealership partners may now expect collision shops to handle outstanding recalls; add recall lookup to your intake checklist now.

Source: CollisionWeek →

TRAINING

5. SCRS Opens 2026 RDE Registration at SEMA Show

The Society of Collision Repair Specialists is now accepting registrations for Repairer Driven Education sessions at SEMA in November. RDE sessions cover technical training, OEM bulletins, and industry best practices delivered by practitioners. This is the annual mandatory stop for estimators and techs who need to stay current.

Mark says: Block SEMA week on your calendar and register your estimators and lead tech now; seats fill fast and you need this team training.

Source: BodyShop Business →

Counterfeit parts and alternative parts mandates are creating supplement headaches. If insurers are denying your OEM specs, run them through our free Calibration Denial Audit. You get an OEM-cited rebuttal ready to send back in 60 seconds.

Flip a denied claim →
📬 Hit reply. Reply: has any carrier cited an alternative parts clause on a structural or safety component in the last 60 days, what part, what carrier?

📤 Know a shop that should read this?

One forward could save them three hours of denial fights this month.

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Published by Absolute ADAS. Mark Fowler, owner. Mobile ADAS calibration in Western Washington. 50,000+ calibrations on the floor.

👀 Tomorrow: watch for New Jersey regulators' next move on insurer compliance and whether Driven Brands' parts push draws a formal shop coalition response.
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