How The Race To Zero Is Killing The Independent Collision Shops

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How The Race To Zero Is Killing The Independent Collision Shops

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Featuring Kevin Brown, host of Repair Shop Reckoning, and Jason Tracey — this one is a full-blown reality check for shop owners who are sick of getting squeezed from every direction.

Kevin doesn’t sugarcoat it: the collision world is sliding into a Race to Zero where shops keep dropping prices to “win” work… and end up financing repairs out of their own pocket. Meanwhile, insurers keep tightening the screws, MSOs keep setting the “standard,” and the customer gets caught in the middle with cheap parts, fear-based steering, and word-track manipulation.

This episode is not for the “pros” who already have their numbers dialed in. It’s for the owners who feel like they’re drowning, constantly negotiating backward, and wondering why they’re working harder than ever but not getting ahead.

What we get into:

The Race to Zero and how it quietly bankrupts good shops
Why MSOs (885 shops strong) shift pricing power away from independents
The truth about DRPs, steering, and “out of network” fear tactics
State Farm logic gymnastics: premiums up, labor rates down… same excuse
One-party checks and why they wreck repair outcomes (and your time)
Why free estimates are a trap and how admin/estimate fees protect your shop
Storage fees done right (and why documentation is everything)
The “cheat code” that changes adjuster behavior: reply-all transparency
Why Kevin records calls, tracks everything by VIN/claim number, and covers his ass like a pro
The real lesson: insurance companies don’t own your business — unless you let them

Kevin also drops hard-earned shop-floor tactics: charging appropriately for time, marking up sublet work correctly, refusing to renegotiate supplements after the work is done, and setting boundaries that force respect.

The Takeaway

If you don’t know your costs, you’ll keep saying yes to bad work, bad parts, bad margins, and bad months.

If you do know your numbers you can push back, stay profitable, and stop letting insurers dictate how you run your shop. Buckle up. This one’s for the owners ready to stop bending over and start building a business that actually lasts.

Become a supporter of this podcast: https://www.spreaker.com/podcast/repair-shop-reckoning--6688688/support.

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