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Insurer support collision repair industry during Level 3

06 May 2020

As New Zealand moved to Alert Level 3 last week (28 April) the ability to undertake non-essential repairs were able to get underway.

To ensure these repairs comply with tighter health and safety requirements, a number of additional measures have been put in place by collision repairers to protect both their staff and customers. These include strict sanitizing of cars being repaired and establishing new contract tracing processes.

Insurers are implementing a range of measures to support collision repairers cover the costs these additional steps bring with them. These include:

  • making financial contributions to cover extra sanitisation of vehicles and administrative costs associated with contact tracing.
  • paying collision repairers up front for parts required to repair vehicles as soon as assessments are completed to assist with cash flows
  • making arrangements in some cases to collect the policy excesses direct from their customers to alleviate administration costs associated with repairers normally doing this.

Find out more about what Alert Level 3 means for insurers and the support being offered in our article here. And refer to our COVID-19 response page for frequently asked questions.