The Future of the UK Car Body Repair Market, 2019-2024 – Quality Repair Capacity Critical for Motor Insurers as Repair Costs Rise by a Third – ResearchAndMarkets.com

Business Wire

DUBLIN--(BUSINESS WIRE)-- The "The Future of the UK Car Body Repair Market 2019-2024" report has been added to ResearchAndMarkets.com's offering.

The Future of the UK Car Body Repair Market 2019-2024, fully updates the in-depth coverage of the structure, volume and dynamics of the car body repair market in the UK. It analyses demand - and supply-side data from 2007 to date and forecasts future trends to 2023.

This brand new edition runs to 180 pages with 89 tables and charts, and includes:

Market value and volume trends
Numbers of independent and franchised bodyshop outlets, trends in bodyshop numbers
Analysis of 10.1 million estimates for cars ultimately repaired to investigate repairs by vehicle make
A market forecast to 2023 taking account of industry trends over the last decade and the macroeconomic conditions following the 2008/2009 recession

This report will be essential reading for vehicle manufacturers, insurers, investors, advisers, operators, suppliers and others who need to understand the risks and opportunities facing each of the key protagonists in a punishingly competitive market.

Time saving: All the information you need in one place
Crucial data: Input for your business planning
Strategic: Market forecasts running forward to 2023
Reliable: Based on primary research
Detailed: 180 pages and 89 data tables and colour charts
Great value: No comparable report is available at a comparable price

Summary

Research warns that a continued decline in repair capacity will lead to increased repair costs over the next five years.

The number of UK accident repair centres (car bodyshops) has fallen by 20% over the last decade from 3,950 in 2008 to 3,162 in 2018, and the author predicts a further decline over the next five years.

A shortage in repair capacity, combined with a 33.5% overall increase for insurance-related repair costs over the past five years, presents a significant risk for motor insurers profits in the years ahead.

With the number of bodyshops continuing to decline, it appears imperative that insurance companies and claims solutions providers adopt a strategy to truly work with their supply chain to secure repair capacity over the forthcoming years. It's inevitable that repair costs will continue to rise but we believe that insurers need to act responsibly and focus their attention more on securing quality repair capacity for the safe repair of a vehicle and to provide the customer service aspects of a motor claim.

Given the above-inflation increase that has taken effect over the past five years, it is believed that 14% is a conservative uplift that may well be exceeded. However, such above-inflationary repair cost pressures cannot continue at current rates, despite parts pricing and paint price increases, as accident-damaged cars may become subject to becoming economic write-offs if the repair cost becomes too great.

The cost of parts alone on insurance-related repairs has risen by 40% in the past five-year period, which presents a concern for motor insurers. New technologies in vehicle design, including Advanced Driver-Assistance Systems (ADAS), have had a bearing on driving up repair costs. A vehicle's integral adaptive features, such as automated lighting, adaptive cruise control, lane departure warning systems, automatic lane centering, and so on, require technical repairs to be completed by highly competent staff and to be calibrated following an accident. This also presents bodyshops with a challenge due to a skills shortage, which only adds pressure onto labour costs.

This is why it's critical for insurers to work with their body repair partners as it's in everybody's interest for bodyshops to attract and retain high calibre staff, ensuring that an insurer's customer gets a safe repair.

Topics Covered

Section 1 - Preface

Section 2 - Executive Summary

Section 3 - Report Sponsors and Partners

Section 4 - Market Background and Developments

Section 5 - Market Size and Trends

Section 6 - Bodyshop Market Survey

Section 7 - Repairs By Vehicle Make

Section 8 - Vehicle Systems and New Technologies

Section 9 - UK Motor Insurance Trends

Section 10 - Strategic Outlook and Future Industry Trends

Companies Mentioned

3M
Admiral
Ageas
Audi
Audatex UK/Solera
Aviva
Axa
Axalta
BASF
Citroen
Covea
Cromax
DS
Dacia
Daewoo/Chevrolet
Daihatsu
Direct Line Group
Enterprise Rent a Car
Esure
Fiat
Ford
Glasurit
Hastings
Honda
Hyundai
Landrover
Lexus
Markerstudy
Max Mayer
Mazda
Mercedes-Benz
Mini
Mitsubishi
Morelli Group
Nexa
NFU
Nissan
PPG
Porsche
R-M
Renault
Rover
RSA
Saab
Seat
Toyota
Vauxhall
Volkswagen
Volvo
Zurich
and more...

For more information about this report visit https://www.researchandmarkets.com/research/3wgwxs/the_future_of_the?w=4

View source version on businesswire.com: https://www.businesswire.com/news/home/20190212005568/en/

ResearchAndMarkets.com

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Related Topics: Cars, Automotive Repair