RAC WA 'valet system' set for launch

News

The new RAC WA 'valet system' will be up and running by October said RAC executive manager, assessing & investigations, Grant Scott. The new system, called Advantage Service, is based on the AAMI system and will initially operate with one 'Advantage Service Centre' in Balcatta, north of Perth. A further two, one in the south of Perth, the other in the east, will open over the next 18 to 24 months. Scott said the system could eventually grow beyond this if the demand is there.
Advantage Service is based on a one-quote system, the only point of difference to other similar systems is that the assessor will compile a 'scope of work' notice to communicate to repairers the preferred method of repair.
Because AAMI parent company Royal & Sun Alliance acquired a 50 per cent stake in RAC Insurance in early-2000, RAC management were afforded an in-depth look at AAMI's valet concept and Scott said the team has adapted and enhanced it to suit local conditions.
Repairers will be allocated jobs depending on the customer -- repairers surrounding the customer's home address will gain priority allocation. Scott said that better job allocation procedures will result from Advantage Service because individual assessing managers in each centre will concentrate on gauging the capacity and ability of each local repairer and decisions on volume will be based on these criteria.
RAC will not be cutting or expanding its Approved Repairer network under Advantage Service although Scott did state that the insurer aims to grow market share through the use of the assessing centres and its network may need to grow with it.
Customer service is the focus of Advantage Service, said Scott. "It gives ourselves more opportunity for face-to-face interaction with the customer and therefore we are able to provide a consistently high level of customer service," he said. RAC aims to manage the whole repair process through a single point of contact. "All customer issues will be dealt with by us, therefore repairers' customer service overheads will decrease," said Scott, who said RAC is committed to an improved payment cycle time under the new system. "Repairers will be able to send their invoice in with the completed vehicle and we aim to process that invoice within 24 hours and make payment well within seven days," he said.
At present, approximately 70 per cent of RAC jobs are assessed by the company; this figure will jump to 100 per cent once all three Advantage Service Centres are fully operational.
The new system is not without its critics however. MTA-WA said in a statement: "The RAC's valet system will result in further loss of client control for body repairers. In fact the repairer will not have any contact with the vehicle owner at all. The ability to gain extra work on the damaged vehicle or market themselves to the vehicle owner's family or friends for future repairs is eliminated. Any extra work, if it is requested may involve negotiating with RAC over price and method, as with the repairs related to the insured damage."
As a concession to this criticism, RAC is considering allowing repairers to leave business cards in completed vehicles. "We certainly don't wish to repair cars," said Scott. "RAC customers will be informed of the relevant repairer's details when they receive their car back."
MTA-WA is not satisfied with this however. "Retention of client base is a pivotal issue for a body repairer. This is another blow to the industry and just one of many initiatives by the insurers to back repairers into a corner," said the association. "The industry has invested heavily in upgrading its customer service facilities over the last 10 years and this is now discounted by RAC's shift to a valet service. For RAC work -- a shed on a back street will do."