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Insurance rejecting rates for Tesla approved body shop

trm2

Active Member
Apr 3, 2016
1,050
1,640
CLE
While that is true in CA, it may not be true in the OP's state of residence.
OP absolutely has the right to have things fixed wherever he wants. That shop has the right to charge whatever it wants. The insurance company has the right to pay reasonable rates. If the shop is charging unreasonable rates, someone needs to make up the difference, and it likely won’t be the insurance company.
 

novox77

1.21 Gigawatts
Nov 25, 2017
1,637
3,543
NH, MA
A tip for future insurance shoppers:

Instead of starting out by picking a company by premium, go visit or call the Tesla-approved body shop you're most likely to go to in an event of an accident. Ask them which insurance companies in their experience are the easiest to work with. Might as well get the list of hardest to work with as well. Then with that list of best companies, get quotes and pick the best.

You'll never deal with this kind of sh*t again.
 

Evergreen

Member
Oct 9, 2018
23
6
Seattle
I’m in WA, which allows owners to choose any shop they want...mileage may vary I suppose.

Did some research and found a Tesla approved body shop that’s in network for my insurer. Plan is to see what the response from my insurance is on Monday, and if that doesn’t get resolved, get an estimate at the “in network” shop.

Thanks for all the feedback
 
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vickh

Active Member
Dec 16, 2018
3,097
480
az
A tip for future insurance shoppers:

Instead of starting out by picking a company by premium, go visit or call the Tesla-approved body shop you're most likely to go to in an event of an accident. Ask them which insurance companies in their experience are the easiest to work with. Might as well get the list of hardest to work with as well. Then with that list of best companies, get quotes and pick the best.

You'll never deal with this kind of sh*t again.


start with the end in mind. This is why i have USAA (premiums and CS are competitive )
 

vickh

Active Member
Dec 16, 2018
3,097
480
az
OP absolutely has the right to have things fixed wherever he wants. That shop has the right to charge whatever it wants. The insurance company has the right to pay reasonable rates. If the shop is charging unreasonable rates, someone needs to make up the difference, and it likely won’t be the insurance company.

not if OP's not at fault. His agreement about in-network rates etc is with his own ins. company.
 

trm2

Active Member
Apr 3, 2016
1,050
1,640
CLE
not if OP's not at fault. His agreement about in-network rates etc is with his own ins. company.
No, that is in every case. (I am referring to the United States, it has been a couple of decades since I studied other markets.) You can always choose where to have it fixed. An insurance company cannot force you to go to any shop. They cannot even make you get your car fixed at all except in limited situations, e.g. you are at fault AND have a lienholder.

Insurance doesn’t have an “agreement about in-network rates.” An insurance company has a network of body shops that they find easier to work with and have good relationships with. There are two benefits to using one of the “network shops” of an insurance company. It can be easier to work with them and the insurance company will warranty the repairs. If you use another shop, it is the shop that may or may not offer a warranty.

I use a shop that isn’t in my own company’s network. When people I know ask, I tell them 1) you can go to any shop you want. 2) (insert body shop name here) is where I go because they do great work. Yes, even though I’m not in claims, I still make sure I get the “going to any shop you want” in there.

As @SageBrush states, an insurance company will only pay reasonable rates.
 
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MikeInFL

Member
May 10, 2014
459
233
Florida
Can confirm. Insurance will only pay reasonable market rates to the shop of choice.

I’ve seen many people have to come out of pocket because their shop of choice charges above market rates.

The worst charge *by far* that I hate to see is when a body shop marks up a tow bill by 25-30%

So a $500 bill is now $650 and guess who ends up paying the markup... The owner of the vehicle even if not at fault. (obviously it may vary, but in the vast majority of cases the shop will try to squeeze every dollar out for literally doing nothing if the vehicle is totaled)
 
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SageBrush

REJECT Fascism
May 7, 2015
12,252
15,180
New Mexico
OP absolutely has the right to have things fixed wherever he wants. That shop has the right to charge whatever it wants. The insurance company has the right to pay reasonable rates. If the shop is charging unreasonable rates, someone needs to make up the difference, and it likely won’t be the insurance company.[/QUOTE]
Pithy !
And spot on.

In the spirit of excessive verbiage ...
It won't be the shop, either.
Who is left ?
 

vickh

Active Member
Dec 16, 2018
3,097
480
az
I used to only go to closest OEM dealers to make it easy and they're usually in-network with all carriers. But after one here put the wrong size bumper on my Highlander and then said I hit it again, I am going to shop around in the future. I wish Tesla did timely bodywork to truly make OP whole


OT In some AZ shops routinely advertise we'll waive your copay for at fault.. I know that's illegal in other states. I wonder how they do that with in-network or ucr rates?
 
Last edited:

vickh

Active Member
Dec 16, 2018
3,097
480
az
Can confirm. Insurance will only pay reasonable market rates to the shop of choice.

I’ve seen many people have to come out of pocket because their shop of choice charges above market rates.

The worst charge *by far* that I hate to see is when a body shop marks up a tow bill by 25-30%

So a $500 bill is now $650 and guess who ends up paying the markup... The owner of the vehicle even if not at fault. (obviously it may vary, but in the vast majority of cases the shop will try to squeeze every dollar out for literally doing nothing if the vehicle is totaled)

Yes, they tend to take advantage of the emergency, like ambulances.
 

SageBrush

REJECT Fascism
May 7, 2015
12,252
15,180
New Mexico
The worst charge *by far* that I hate to see is when a body shop marks up a tow bill by 25-30%
Nasty.

Can a customer avoid this by making sure the body shop is not in the towing loop ? I'm wondering whether paying for the towing out of pocket and then being reimbursed by the insurance company, or requiring the towing company to seek reimbursement directly from the insurance company would prevent this sort of bill padding.
 

1windy

Member
Jul 27, 2014
371
136
suffolk
Years ago in NYC a tow truck driver would get a percentage of the repair cost. Thats why they would drive like nuts to get to a crash site. They would fight one another to get the hook up.
 

Evergreen

Member
Oct 9, 2018
23
6
Seattle
Just to clarify, first shop I got an estimate was Tesla approved body shop (not in network) (which the appraiser rejected the rates quoted)

If the appraiser doesn’t budge on Monday, plan is to visit a insurance carrier “in network” Tesla approved body shop to get an estimate.
 

1windy

Member
Jul 27, 2014
371
136
suffolk
At this point any time you would saved using your company is lost. Have the shop send the estimate to the at fault company. Nothing to lose.
 

MikeInFL

Member
May 10, 2014
459
233
Florida
Nasty.

Can a customer avoid this by making sure the body shop is not in the towing loop ? I'm wondering whether paying for the towing out of pocket and then being reimbursed by the insurance company, or requiring the towing company to seek reimbursement directly from the insurance company would prevent this sort of bill padding.

Always pay the tow driver directly if possible.

This shop (and many for that matter) use a 3rd party tow provider and try to mark up tow bills. It’s sick especially since the customer is getting bent over in the process and the shop KNOWS it.

When the Insurance company offers a settlement excessive fees are deducted from the settlement offer from these shops with excessive fees ultimately pissing off the customer who was 0% percent at fault.
 

Gasaraki

Active Member
Oct 21, 2019
1,539
1,014
Syracuse, NY
Other party is at fault. Their insurance is different from mine. The person from my insurance company who reviewed the estimate was technically the “appraiser” who said that the “body” labor rate for removing/installing a part is ~50 vs the auto body shops flat rate of ~120

LOL, $50/h labor rate? In what pocket universe in the US is this?
 

Uncle Paul

Well-Known Member
Nov 1, 2013
6,254
6,775
Canyon Lake,CA
If your insurance company is not giving you the service you need, then switch over your claim directly to the at fault insurer.

What is the use of having an insurance company that will not pay the cost of fixing your car.

Of course your adjuster will want to get it done as cheaply as possible, but you have your rights as per your policy as well.
 

SageBrush

REJECT Fascism
May 7, 2015
12,252
15,180
New Mexico
What is the use of having an insurance company that will not pay the cost of fixing your car.
Of course your adjuster will want to get it done as cheaply as possible, but you have your rights as per your policy as well.

I don't think that this case of OP going through his own insurance company applies to your comments. His insurance company will not pay for repairs, and they do not have any vested interest in the repair cost.
 

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