Fleet News

Crash damage costs rising

FLEET accident repair bills are rising at almost twice the rate of inflation, according to new research.

Market analyst MFBI found the average cost of repairing an accident- damaged car in 2003 was £1,420, indicating an increase of 56% over the last 10 years, while the retail price index has risen by 29%.

The largest proportion of repair costs, according to The Car Body Repair Market in the UK, are replacement parts which amount to 49%, with labour making up about 39% of the cost.

However, changes to Block Exemption rules could mean a downturn in the cost of repairs as a more competitive parts market might result in a reduction in the cost of manufacturer sourced replacement parts.

MFBI's report also suggested that better use of 'smart' repairs would help off-set overall repair costs for fleet operators.

The research shows that the vehicles with the highest overall repair costs are Subaru, Jaguar, Mitsubishi and Mercedes-Benz, while the least expensive are from Suzuki, Fiat, Ford, Hyundai and MINI.

  • The Car Body Repair Market in the UK report is available from MFBI, priced at £750. For more information telephone 01825 713035 or e-mail info@mfbi.org

  • Subscribe to Fleet News.
  • Get the news delivered to your desktop
  • Leave a comment for your chance to win £20 of John Lewis vouchers.

    Every issue of Fleet News the editor picks his favourite comment from the past two weeks – get involved for your chance to appear in print and win!

    Login to comment

    Comments

    No comments have been made yet.

    Compare costs of your company cars

    Looking to acquire new vehicles? Check how much they'll cost to run with our Car Running Cost calculator.

    What is your BIK car tax liability?

    The Fleet News car tax calculator lets you work out tax costs for both employer and employee